Marco Streng is the 27-year-old behind Genesis Mining, the largest company in the business of mining cryptocurrency from the cloud. Alhough other sites that help users mine such currencies do exist, their credibility is often lacking. Realizing this, Streng saw an opportunity to provide a valuable service to people through gaining customer trust and by building a reliable brand.

What Do Mining Services Do?

Crytocurrencies that currently exist can be traded or used to buy products and services. They can be used online for gambling as well. In addition, there are websites that will pay users in Bitcoin in exchange for completing a particular task. The monies that are created in this way are brand new, and they are what the Bitcoin mining industry is centered around. The Bitcoin is exchanged for a proof-of-work which is something showing that a certain action took place. The function carried out must be considered costly in terms of either time or energy.

One way to mine for online cash is for users to figure out math problems using their computers. At first, this could be done with a regular computer, but as the number of miners increased, so did the difficulty of the computations required. Eventually, the computers needed to perform these complicated jobs, along with the heat caused as a result, were replaced with special hardware having inbuilt chips designed specifically for this purpose. This is where the genius of Genesis Mining comes in.

Customers can sign on with the company, and after providing a fee, they can begin to make profits. There is no hardware to buy, and they can receive regular payouts from the earnings they make. Several farms exist to complete the jobs necessary to receive Bitcoin. Consumers are not just restricted to Bitcoin, they can also mine in DASH or in Ethereum, depending on how their contracts have been written. Sums can be transferred to other cryptocurrencies as well.

Building the Company

Streng was enrolled in college and was in training for mathematics when he decided to drop everything to pursue his idea for this company. Streng paired up with Björn Tilmann Arzt and Dr. Florian Putzka, both of UniCredit, and looked to begin building his company. Started in 2013, his business is now the largest of its kind in the world. It did not take long before venture capitalists took notice of their success, and some offered to give investment money to the startup. Streng and crew refused.

As their vision experienced explosive growth, they fueled further expansion with proceeds they had already gained. The desire behind this novel approach was to build a model that would be able to sustain itself in the future. In March of 2016, Streng created Logos Fund as an opportunity for investors to get in on Bitcoin mining, and it is geared toward business people of high net worth.

The idea behind Logos is to enable people to invest safely in Bitcoin. Streng explained that Bitcoin mining necessitates a certain amount of infrastructure which includes access to sites with the best electricity rates and that his company already has that. Logos is a way to leverage these benefits as a separate business model.

Streng brought on BaFin on as a financial regulator, and this was so that Logos could come into agreements with clients from the EU. Investors are required to commit a particular and unspecified amount and are to allow it to be held for a particular amount of time. Currently, Logos is worth $100 million.