Thousands of new miners appear every day who are eager to join the mining process and earn new currencies. For the mining process to be successful, there are a number of key factors that need to be considered : the choice of a graphics card, processor, software, fork, wallet or exchange. All of these are just a small list of steps required for mining.
Choosing a graphics card for mining
When choosing graphics cards for mining, you should consider the following features:
- Memory size.This graphics card must have at least 2 gigabytes of memory or else the payback will be long-term, and its benefits will be minimal in the future.
- Storage speed. In terms of power consumption and computing power, DDR 5 memory is the best graphics card for this feature. It is more effective from a mining perspective than non-DDR memory.
- Cooling. Radeon graphics cards feature active cooling systems that influence both performance and lifespan.
- Bus width. A counter of at least 256 must be used for mining. When the bus width is smaller, mining speed is minimal..
- Overclocking capability. While it is not particularly crucial, overclocking the card can result in a 25-30% improvement in gain from its original value..
Most optimal video cards for mining are:
- AMD Radeon RX 470;
- AMD Radeon RX 480;
- AMD Radeon RX 580;
- Nvidia Geforce GTX 1060;
- Nvidia Geforce GTX 1070;
- Nvidia Geforce GTX 1080;
- AMD Fury X.
Choosing a Processor for Mining
A processor is one of the most important components for cryptocurrency mining. Currently, these are the best processors.:
- Intel Celeron G1840 2.8 GHz 2 MB s1150 Box (BX80646G1840). A big advantage of this processor is its affordability. It is suitable for mining operations. Main board with LGA1150 socket. The processor has 2 cores and 2 megabytes of cache. The thermal pack is 53 W at maximum load. An active cooling system prevents overheating 100%.
- Intel Pentium G3260 3.3 GHz 3 MB s1150 Box (BX80646G3260). It comes with the LGA1150 socket so choosing a motherboard is no problem. It has two cores and 3 megabytes of cache. This processor has low heat dissipation at maximum load and integrated Intel HD graphics that can replace the original graphics card.
- You need to consider all the characteristics of the processor when choosing one, since the speed of mining the cryptocurrency is dependent on them.
Choosing a Mining Pool
The mining pool is a server that distributes calculation tasks to participants. By forming a block, the participants earn profit. A group is more likely to form a block than a single miner. But. It is important to remember that the profit is shared by all participants, but the option is more profitable than individual mining.
When choosing a group, you should pay attention to the following indicators:
- Pool electricity. New groups generally do not have enough capacity to generate large profits.
- Own equipment. If you plan to mine with an old graphic card, you will not be able to make enough profit to cover the energy conversion costs.
- Profit sharing. Most of the time, earnings are divided proportionally to contributions. When there is no way you can make a meaningful contribution, the best thing to do is to divide the profits evenly.
- Payments. You need to find out about the possibility of withdrawing money to a bank card or electronic wallet, as well as about commissions and percentages of the service.
- When choosing a group, you need to be careful, as future earnings depend on proper service.
Selecting Software for Mining
Choosing the right software with a user-friendly interface is important in the cryptocurrency mining process. If you choose the right software, mining is much easier.
Software -The best programs to get cryptocurrency are:
- 50Miner software– This software is best suited for cryptocurrency mining. The program is in Russian and is quite easy to use. This program is easy to use even for beginners. It also includes an automatic user authorization function. To download the program, follow the link: http://softrare.ru/windows/50miner
- BFGMiner program- Such a program is suitable for miners who value comfort and reliability. The advantages include the ability to mine cryptocurrency using FPGA and the performance of a graphics card. Official Website: http://bfgminer.org/
- Ufasoft Miner Client- It takes only 15 minutes to learn the program. The pool, temperature, and speed can be adjusted. The training program does not take longer than 15 minutes. Download the program from the official website: http://ufasoft.com/open/bitcoin/
- CGMiner program- One of the most popular programs for cryptocurrency mining, but it is best suited to professionals. It has features for advanced mining. You can download the latest version of the program from the developer’s website: http://ck.kolivas.org/apps/cgminer/
- The Eobot.exe program- There are several steps required in order for the software to run at peak performance (set the graphics card mode to maximum, install MSI Afterburner). It is not effective for single miners. Official website of the developer: https://www.eobot.com/software
- Coin Mi Software has a user-friendly interface. With a small device capacity, it is almost impossible to earn cryptocurrency. To download the program, follow the link: https://coinminer.com/
Miners combine many graphics cards (computers) into a single chain, which leads to higher profits.
Miners are divided into:
- Created from a large number of graphics cards;
- Consists of FPGA modules.
- The former are considered to be too energy-consuming and also require active cooling. The latter take up a small area and are less energy-consuming and more reliable. Still others are quite expensive, but they are the most profitable.
Choosing a Cryptocurrency for Mining
The first step is to decide on the kind of cryptocurrency to mine, as well as the strategy for its production. Mining cryptocurrency at home may not always produce the desired profit. Therefore, in order to receive larger amounts, it is necessary to invest part of the funds, regardless of the type of cryptocurrency, to develop your business for the extraction of an innovative currency. You also need to consider profitability and liquidity when choosing a currency.
- The total capitalization of cryptocurrencies is around $ 450 billion. Bitcoin occupies 63% of the total, 37% falls on other cryptocurrencies.
- The second currency in terms of capitalization is Ethereum. The rate has increased many times in the past months (from $ 8 to $ 3,363.28).
- The Dash cryptocurrency increased from $ 11.4 to $ 327.81. Also, the Litecoin rate has increased many times (from $ 4.5 to $ 284).
There are several factors to consider when choosing a cryptocurrency:
- Currency capitalization;
- Blockchain on which the currency is issued;
- The number of people related to the selected cryptocurrency.
A low capitalization of the currency increases the risks for the miner.
Altcoins (alternative currencies to Bitcoin) follow the same trend as Bitcoin, meaning that as the price of Bitcoin increases, a similar increase is observed in other currencies as well.
A fork is the process of using a code base on one server as the first start for another. It is worth noting that branches can exist independently. In addition, each branch has its own characteristics. There are a large number of forks out there these days. When choosing a fork, you must rely on the profitability and liquidity of cryptocurrency mining. The number of miners is also important – the fewer there are, the higher the profit will be.
Profitability is the amount of money that is made per unit of computational complexity. Such an indicator can be found by calculating the profit for the day, week or month. To assess profitability, a special calculator is used, which allows you to quickly and accurately calculate this indicator. If you decide to mine Bitcoin, you can use this calculator: https://bits.media/calculator/.
An equally important indicator is the currency’s liquidity. There are special online resources for this purpose. Based on the data received, you need to choose the most profitable cryptocurrency that has enough device capacity to produce.
Top 10 Most Liquid Cryptocurrencies Today:
- Ethereum Classic.
A total of over 2000 cryptocurrencies are available for mining. Throughout the time, Bitcoin takes 1st place and is mined by a large number of miners.
Choosing an Exchange for Mining
To choose an exchange, you need to consider the following features:
- Which cryptocurrency can be obtained?
- the ability to convert cryptocurrencies into rubles, hryvnia, etc.
- Are there any hidden exchange commissions?
- how long the operations take.
- The table shows the best exchanges for the mining process, as well as their main features.
This exchange has been verified by millions of miners. There are no less profitable foreign currencies, but they are closed to users of the Russian Federation.
Choosing a Wallet for Mining
Choosing a wallet to withdraw your earned cryptocurrency is an important step. Each wallet has its own advantages and disadvantages. The wallet programs are available for all operating systems (Windows, OS X, Android, Linux, iOS, Windows Phone) so that no problems arise when installing the client after selecting a wallet.
There are the following types of wallets:
- “Fat”. Such a wallet starts loading new data every time the system boots. This wallet is best suited for full control of laptop and PC. With the help of a “thick” wallet, you can control all processes.
- “Thin”. All data is saved on the server. When installing such a wallet, part of the control is transferred to the developer.
- Mobile clients. Includes additional functions: currency exchange; Supervision of courses; Transactions with QR codes.
- Online wallets. The positive is that you don’t have to download the program. The work can be done instantly by logging into the site. The disadvantages include the possibility of hacking the server, which leads to the loss of all funds.
- Several companies (Blockchain, GreenAddress, Coinbase, and others) have created mobile wallets for multiple platforms. These are special programs that work great on iOS and Android.
There are also hardware wallets that can be classified as the safest. This is because the private key does not leave the wallet.
When choosing a wallet, you need to rely on security, because with low security, the risk of losing money increases many times.
To start the miner, when using the cgminer miner, enter the following on the command line:
./cgminer –scrypt -o stratum + tcp: // pool_host: port -u Weblogin.Worker -p Worker_password
where Weblogin.Worker is a worker (name); Worker_password – password
This action is possible if the pool supports the Stratum protocol (all modern pools have this function).
In the absence of a graphics card, mining is possible from the central processor. To do this, you need to download Pooler CPU Miner 32bit (possibly 64 bit) for Windows. Then unzip the archive and switch to the folder you created. In this folder you need to create a document in which you write:
minerald.exe –url stratum + tcp: // pool_host: port –userpass Weblogin.Worker: Worker_password
where Weblogin.Worker is a worker (name); Worker_password is the password.
Next, you need to save the document and then rename it. If everything was done correctly, after the start a window will appear in which information about mining in the pool will be written.
Proper organization of the mining process ensures profit. However, if you neglect the recommendations, there is a chance that you will not even win back the equipment you bought. Before you start mining, you need to study all aspects of this process in detail.