Exchanges & BrokersNewsReviews

NiceHash Review – Is NiceHash Scam or Legit?

NiceHash Exchange Rating
Account Types9.1
Trading Speed9.3
Customer Service8.9
Read our NiceHash review and learn why we recommend this exchange for online trading and why it is not a scam, learn all you need to know in this NiceHash review before you sign up with the exchange.

NiceHash Review

NiceHash logo

The cryptocurrency industry is a broad market place and many individuals look to tap into its vast financial opportunities to make considerable gains. Some individuals look to mine cryptocurrencies to later sell for profits, some look to buy and hodl while others look to trade and take advantage of the volatility in market price to earn huge returns.

To then be able to carry out these activities, the need for a crypto exchange such as NiceHash becomes important. This is the NiceHash exchange review and we’ll be noting and assessing its overall operations, services, benefits, and features to see if the exchange is decent enough for both newbies and experienced investors and traders.

For many crypto enthusiasts and miners who have been in the industry for a long time, they recognized the NiceHash exchange as one offering both trading and mining services to individuals in the crypto industry. And many investors do vouch for the NiceHash exchange as one that offers both the mining and trading services effortlessly, making sure one does not interfere with the other.

As mentioned earlier, this review will bring to light everything that is needed to be known about the NiceHash exchange. We will also be discussing its returns, competitive advantage, and costs including how to navigate and make use of the exchange. Let’s begin!

Exchange PlatformNiceHash
Withdrawal FeeVaries
Subscription planStandard and Fixed bidding
Trading assetsBitcoin, Ethereum, Ripple,Stellar, Hot, Dash, Monero, and so on
Referral bonus5%
SecurityTwo-factor Authenticator and follows both the Know Your Customer (KYC) and General Data Protection Regulation (GDPR) policies
Trading platformMobile app and Web-based
Buying and Selling of Hash power2% – 5%

The NiceHash exchange is a digital marketplace for selling and buying a computer’s processing power. In crypto terminology, this processing power is generally referred to as hashing power. In layman’s terms, it’s an exchange service that facilitates the exchange of computing power for Bitcoin.

NiceHash website

Selling and buying hashing power is quite easy. Any individual can sell their hashing power even if it is just a small gaming machine. Also, individuals interested and ready to make the best out of mining can buy hashing power without having to spend huge amounts of capital to acquire mining hardware.

The NiceHash exchange was established in April 2014 by Marko Kobal and Matjaž, and has its headquarters based in Maribor, Slovenia. Having been a fully registered and legislated company, NiceHash exchange has its production servers set up in the United States, Japan, Brazil, India, Netherland, and China.

NiceHash has evolved over the years but most especially in 2017 when the exchange experienced some fallbacks prompting it to change its business model from being narrowly focused to expanding its functionalities by upgrading its website’s interface and customization. 

To provide its services across the globe, the exchange makes available 7 different languages on its website. The languages include Chinese, English, Spanish, German, French, Russian, and Portuguese. It’s also worth mentioning that its crypto-mining services are based on more than 20 software algorithms present on the website. Among these algorithms include X11, Lyra2REv2, SHA256, Scrypt, and so on.

Asides from its primary function of being a mining exchange, NiceHash also offers trading services allowing investors and traders to store, buy and sell various digital coins on its trading platform. Presently, investors and traders can trade both fiat-to-crypto and crypto-to-crypto trading pairs on the NiceHash exchange and list more than 50 digital coins.

By gaining the trust and confidence of crypto miners, investors, and traders, NiceHash’s community has continued to grow, expanding its services and products across the globe. Presently, the exchange prides on having more than 600,000 active daily workers, 250,000 active daily miners, and more than 2 million orders fulfilled.

The NiceHash exchange in offering decent services and products to crypto enthusiasts across the globe offers considerable competitive advantages over other exchanges. Its greatest competitive advantage is in terms of its fees, ease of use, and the trading platform employed.

Now let’s have a proper look into the NiceHash exchange so we can determine if its operations, products, services, and competitive advantages many investors claim it possesses are exactly what they are.

How NiceHash Works

Both the buyers of hashing power and sellers of hashing power can register and make use of the NiceHash exchange. And because of this, the exchange customer base has seen significant growth. Immediately after the process of registration on the exchange platform has been completed, buyers can instantly start requesting hash power. On the other hand, sellers, for the sake of anonymity are not required to register on the exchange to sell hash power.

For individuals choosing to buy hash power, they can choose which digital coin they would prefer to mine making use of more than 30 software algorithms such as Blacke, Equihash, SHA-256, and so on. Buyers are given the freedom to mine whatever algorithm they deem is profitable and the payments are subsequently made in Bitcoin. Buyers also have the luxury of choosing their preferred mining pool and after that, a deposit in Bitcoin (minimum of 0.01) is to be made which enables them to have access to the NiceHash digital marketplace to input their order. It is also worth mentioning that on the NiceHash exchange, the prices of mined cryptocurrencies are displayed in Bitcoin regardless of the digital coin being mined.

For sellers of hash power, the NiceHash exchanges make it very simple and straightforward for its clients irrespective of the equipment and gear being used. Individuals get to sell their hash power from either an ASIC rig, GPU, or the whole rig farm as preferred by the individual. Sellers also get to choose the server location they are mining with including the software algorithm to be used. Presently, the exchange’s servers are set up in San Jose, Amsterdam, Chennai, Hong Kong, Tokyo, and Sao Paulo. So it is advisable that sellers choose the server location nearest to them to ensure maximum and best performance.

Mining Services Of NiceHash

  • Profit Calculator

The primary objective of mining various digital coins has always been to maximize huge profits and NiceHash in recognizing this reality wants its clients to fulfill this goal. To this end, the exchange provides for its clients a valuable Profitability Calculator that gives an estimate of the profit to be made. The Profitability Calculator allows miners to plug in their hardware and their cost of electricity and assesses how much to expect within a day, one week, or a month. 

By doing so, clients get to see that not all hardware is profitable, however, since the prices are influenced by the Bitcoin price, a future increase in the price of the Bitcoin will see the price of the hardware high enough to be sold for profit in the future.

  • Subscription Plans and Pricings

The NiceHash exchange platform does not offer a fixed subscription plan for its services. Buyers of hash power can begin with as little as 0.005 BTC. Normally, prices are quoted based on BTC per day but buyers still have the option to create a contract that is more than or less than a day. It is also good to note that prices do fluctuate depending on the market prices of digital coins and the overall hashing power regulated by a specific algorithm.

To then ensure that its clients have real-time information on the prices of various digital coins, NiceHash continuously updates its price list every 10 seconds. On the NiceHash exchange, buyers can purchase their hashrates using two options and these include;

  • Standard Bidding

Buyers can make use of the standard bidding to place orders using a lower price, however, the chances of getting outbid are quite high so the need to increase your bid becomes necessary. Nevertheless, standard bidding is still the cheapest available method to place an order for hash power.

  • Fixed Bidding

For buyers interested in knowing their cost estimation, and who are comfortable with having constant orders and bids, the fixed bidding is the ideal option. Although the initial price for fixed bidding is higher than that of the standard bidding, however, it is fixed for the entirety of the contract.

It’s also important to note that the fixed bidding is limited to 50% of the entire hashing power and is also limited to a duration of 24 hours. All this is to ensure that there’s a considerable amount of hashing power available for the standard bidding.

It is also worth mentioning again that payments and deposits into NiceHash must be in Bitcoin.

Trading Services Of NiceHash

  • Supported Cryptocurrency

The NiceHash exchange lists quite some digital assets on its trading platform. It allows investors and traders to store, buy and sell various digital coins on its exchange.  NiceHash lists the major cryptocurrencies such as Bitcoin, Ethereum, Ripple, Litecoin as well as various altcoin which includes Stellar, Hot, Dash, Monero, and so on.

In all the NiceHash exchange lists about 50 digital coins on its trading platform and has more than 66 trading pairs that its clients can trade and exchange for profits

  • Security Protocol

A major concern for many individuals including investors, miners, and exchange platforms is the issue of security. Fraudulent activities such as identity theft, money laundering, terrorist funding, and cyber-attacks have become a menace in the crypto industry. As a result, the need to become more security conscious and take the issue of security as serious business becomes paramount. 

Many investors now look to choose an exchange platform that can offer standard security measures that are adequate enough to protect and safeguard their investments and personal information against these fraudulent and criminal activities. And the NiceHash exchange has proven to be a decent exchange platform when it comes to offering standard security measures.

NiceHash has put in place several security protocols and follows world standard policies to ensure the safety of client’s investments and personal information. The exchange has established the Two-factor Authenticator and follows both the Know Your Customer (KYC) and General Data Protection Regulation (GDPR) policies.

General Data Protection Regulation (GDPR) policy: The NiceHash exchange complies with the GDPR to ensure that its client’s personal information is well secured and protected. The GDPR is a policy that deals with the protection of personal data as it concerns the European Union. It aims to enhance and strengthen the security of personal sensitive data for persons who live within the European Union. The GDPR policy also looks to improve transparency on the use of individual’s personal data to give European Union residents additional control over their personal data.

Know Your Customer (KYC): NiceHash also complies with the Know Your Customer (KYC) policy to curb and prevent issues of terrorist funding and identity theft The KYC policy makes sure that each trading account is linked to a real person at any location across the globe.

To fully benefit from all the trading activities of the NiceHash exchange, the KYC verification must be completed. With NiceHash, the KYC is in different tiers with each tier having its own requirements. Ideally, for the KYC verification clients are to make available and submit information concerning their personal identity. A proof of identity which could be your passport or government ID is to be submitted. Proof of residence is also required which should show your name and house address.   

Two-Factor Authentication (2FA): The NiceNash exchange sets up the Two-Factor Authentication (2FA) within its security system and encourages its clients to activate the 2FA to offer themselves a double layer of security. The 2FA is ideal in protecting clients’ trading accounts and wallets against unauthorized third-party logins or access. It also protects vulnerable trading activities within the system ensuring clients’ funds are well secured.

  • Affiliate Program

The NiceHash exchange being a customer-oriented platform offers another opportunity to earn some profits apart from trading and mining digital coins. The NiceHash exchange offers an affiliate program for us to earn extra cash by inviting more people to join the NiceHash community.

A successful referral by a client sees the client earn a commission of 5% on the total revenue share including some additional mBTC for every order executed by the referred. The commissions earned on referrals are deposited into the NiceHash wallets when due and can be easily withdrawn or used to purchase hash power.

  • Trading Platform

The trading platform offered by an exchange is one of the important features one must first consider before choosing an exchange. In fact, many investors consider the trading platform as the most vital feature provided by an exchange.

This is because it is the algorithm that controls and oversees the entire trading activities of traders and investors on the platform. And the NiceHash exchange ensures that its users have the best software algorithm available to manage and oversee its clients’ trading activities.

NiceHash makes use of TradingView as its web-based platform. TradingView is a very popular algorithm in the industry and it’s quite known to provide a smooth and incredible trading experience to traders and investors. Its interface is user-friendly, very easy to navigate, and incorporated with incredible trading tools and indicators.

Asides from TradingView as its web-based platform, NiceHash also offers a mobile trading app that allows its clients to monitor and oversee their trades anytime and anywhere. The mobile app is supported by both Android OS and iOS devices.

  • NiceHash Fees

It’s general for exchanges to charge various fees on trading activities carried out by investors and traders in the crypto market. The NiceHash isn’t excluded from this model as it also charges various fees on trading activities executed on its platform. The fees charged include;

Buying Hashing Power

  • A non-refundable fee of 0.0001 BTC for new orders
  • A 3% fee on orders amount spent on orders for purchasing hashing power

Selling Hashing Power

  • A 5% fee on total payouts for balance slower than 0.1 BTC to an external wallet
  • A 3% fee on total payouts for balances equal to or greater than 0.1 BTC to an external wallet
  • A 2% fee on total payouts for balances equal to and greater than 0.001 to an external wallet

Withdrawals And Deposits Fees

The withdrawal and deposit fees charged by the quiet leash exchange are quite competitive offering the exchange a very good competitive advantage over others. NiceHash charges a withdrawal fee of 0.0001 BTC on Bitcoin withdrawals ranging from 0.002 BTC to 0.05 BTC to any external BTC wallet. For withdrawals above 0.05 BTC, the exchange platform charges a fee of 2%. However, in terms of deposit, NiceHash does not charge any fee on deposits more than 0.01 BTC.

Final Thought

It’s easy to see why many miners, investors, and traders rate the NiceHash exchange as one of the best. It delivers both its mining and trading services simply and easily ensuring that miners and traders get to use its services without any complaint while also offering a decent trading and mining experience. The exchange also has some competitive advantages in terms of its security protocols and low fees which enable it to have healthy competition with other exchanges.

Having discussed in this review a lot of features and services the NiceHash exchange brings to the table, it can be said that the NiceHash exchange is decent and credible and its services are quite exceptional. However, the decision to make NiceHash your trading partner still lies with you, and if you have more questions about the NiceHash exchange you can always visit its website for more information.

Adebayo Owotunse (Nigeria)

Adebayo Owotunse is a versatile writer who has written hundreds of crypto articles for dozens of agencies across the years. He is now also the newest addition to the Tokenhell writers team.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button