What is Cryptocurrency Mining?
Cryptocurrency mining is the process in which transactions between users are verified and added to the blockchain’s public ledger. The mining process is also responsible for introducing new coins into the existing circulating supply and is one of the key elements that allow cryptocurrencies to function as a decentralized peer-to-peer network, without the need for a third central authority.
Whenever a cryptocurrency transaction is made, a cryptocurrency miner is responsible for ensuring the authenticity of the information and updating the blockchain with the transaction. The mining process itself involves competing with other cryptominers to solve complex mathematical problems with cryptographic hash functions associated with a block containing the transaction data.
The first cryptocurrency miner to crack the code is rewarded by being able to authorize the transaction, and in return for the service provided, the cryptominers earn small amounts of cryptocurrency. However, to be competitive with other cryptominers, a cryptocurrency miner needs a computer with specialized hardware.
About GPU Mining
GPU mining uses the graphics processing unit of a gaming computer and can be used to mine Bitcoins, as well as other types of cryptocurrency called Altcoins. Also, this was a viral method of Bitcoin mining several years ago, but to this day there is still a bit of buzz floating around the web that escapes the idea that it is still a viable option for you.
As a result, the demand for mining continues to grow, creating a lot of tension between miners and gamers to compete for the purchase of these types of graphics processing chipsets.
What is GPU mining? GPU mining is a process of solving complex mathematical problems to verify electronic transactions using computer components – in this case, a graphics card. Miners who participate can either create digital coins or get paid for their processing power in a cryptocurrency.
Top 10 Best Profitable Cryptocurrencies to Mine Using GPUs in 2021
Ethereum Ether (ETH) consistently tops the list of top five digital assets in terms of market cap and value. Moreover, this popular cryptocurrency is still profitable for GPU miners. By using multiple powerful graphics cards, it is possible to transform an ether of mining profit.
The smart contract platform uses a consensus mechanism called proof of work, which requires miners to use their computing power to solve complex mathematical equations in order to earn an overall reward. As a reward, the miners are given newly extracted ether (ETH).
Unlike Bitcoin’s hash algorithm, Ethash’s Ethash algorithm was designed to be ASIC resistant, which allowed CPU / GPU miners to help keep their network secure. As a result, it can still be profitable for home miners to mine ether, provided they can deploy enough computing power using their GPUs to compete.
To start mining the ether visit ethereum.org, download the official software and allow the blockchain to sync. Once the software is installed and synced, join a suitable mining pool to optimize your GPUs for performance.
Ethereum Classic (ETC)
Ethereum Classic was launched in 2016 after Ethereum hardened to recover coins lost during the infamous DAO hack. Part of the Ethereum community did not accept this fork and, therefore, continued to mine the original Etherzem chain, which later became known as Ethereum Classic.
The Ethereum Classic blockchain has many of the same features as Ethereum, including smart contract functionality and the use of a proof-of-work algorithm that enables mining. The latter made it a popular play for minors.
Like Ethereum, Ethereum Classic uses the Ethash algorithm, which means it can be mined using GPUs. The setup process for ETC mining is actually the same as for ETH.
You need to download the official desktop client from ethereumclassic.org, sync the blockchain, and configure your GPUs to mine ETC. Additionally, you have to join a mining pool to increase mining rewards.
Monero (XMR): Blockchain networks that use the CryptoNight protocol, such as Monero, are considered among the best cryptocurrencies for home miners because they are still among the most profitable mineable coins.
The main Privacy Coin Monero (XMR) is a popular digital currency for small mining operations because it consistently ranks among the largest cryptocurrencies in terms of market value. Thus, it has the potential to be more profitable to trade the profits gained through mining. In addition, the project developers are dedicated to keeping the blockchain ASIC resistant. As a result, small scale miners can rest easy as they will still be able to compete within the privacy room network.
To start mining XMR visit getmonero.org, you need to download and install the official Monero client. Then you need to wait for your node to sync the Monero ledger. Once synced, connect and optimize your GPUs and join a mining pool.
AEON (Anonymous Electronic Online Coin) started out as a hard fork of Monero’s first consensus algorithm, CryptoNote. Today, digital currency has become a popular cryptocurrency in its own right due to its innovative features.
AEON is well suited for home mining due to its mobile compatibility status. The blockchain underlying digital currency is designed to prune the data downloaded to a device based on its storage capacity. As a result, it’s easy to run the blockchain and its consensus algorithm on low-storage devices, such as processors, without too much time.
AEON is a privacy coin and uses its own modified version of the CryptoNote protocol, called Cryptonite-light. Cryptonite-light verifies the underlying blockchain in a quick manner. The blocking time in the privacy room is four minutes.
To start mining visit aeon.cash, simply download the software, configure your GPUs, and follow the instructions.
Beam is a privacy coin launched in early 2019 as the first implementation of the MimbleWimble protocol, which focuses on privacy, fungibility, and scalability. In addition, BEAM has been developed to be exploitable by GPUs thanks to its Hashii mining algorithm.
To mine BEAM visit beam.mw, you must first download the official wallet from your desktop and sync the Beam blockchain. Next, you need to configure the settings by enabling the “Run Local Node” function and setting the exploration threads to a number greater than zero. Then you create a wallet address in which you will receive your mining rewards. Finally, connect your GPUs and you are ready to start mining BEAM.
Ravencoin (RVN) is a cryptocurrency launched in 2018. The network is unavailable for ASIC miners thanks to the X16R algorithm, which mixes the X15 and SHA512 algorithm depending on the hash of the previous block. Thus, ASICs don’t threaten the Raven Coin blockchain. The interest in RVN is only growing if we take a look at the mining difficulty chart. To start mining visit ravencoin.org.
Vertcoin (VTC) was launched in 2014, with its primary goal defined as staying true to the decentralization described by Satoshi Nakamoto in his Bitcoin white paper. The developers of the digital asset felt that Bitcoin and other leading cryptocurrencies had become too centralized due to the rise of ASICs. As a result, they launched Vertcoin, which they designed to be ASIC resistant.
Vertcoin (VTC) uses the Lyra2RE proof of work algorithm. The algorithm is intended to be exploitable only through the use of processors and GPUs. Due to this algorithmic consideration, Vertcoin is a popular choice for home miners.
Additionally, mining digital currency is a straightforward process as its developers created a one-click miner. You can benefit from joining a mining pool to maximize your hashrate and increase your chances of earning a bulk reward. To start mining visit vertcoin.org, you can download the software here.
Horizen (ZEN) is another privacy-focused digital currency on the list of the best cryptocurrencies to mine at home. The cryptocurrency was launched in 2017, following a hard fork of its parent blockchain Zclassic. The range was inspired by the differences when launching Zclassic, which community members felt was biased in favor of the developers. After its launch, ZenCash changed its name to Horizen.
ZEN uses the Equihash algorithm, which is ASIC resistant and therefore well suited for home mining. Additionally, Horizen is considered the best among Equihash coins in terms of the rewards earned.
Mining Horizen is a fairly straightforward process. Download the official client to your computer from horizen.io, install the program and configure your GPU settings. Once setup is complete, join a mining pool to maximize your potential returns.
Haven Protocol (XHV)
Haven Protocol (XHV) is a relatively unknown cryptocurrency project with a market cap of around $ 4 million at the time of writing. Digital currency is a fork of Monero and therefore inherited many privacy protection features from its predecessors.
Additionally, Haven Protocol aims to allow users to anonymously store funds in what it calls “offshore storage,” without having to worry about price volatility. This is made possible through the use of smart contracts and network native stablecoins.
Haven Protocol uses the CryptoNight Haven algorithm, which is a modification of Monero’s cryptonight, which allows miners to use GPUs to mine XHV.
To operate Haven visit havenprotocol.org, you need to download the official software, sync the blockchain, set up a wallet, connect your GPUs, and go!
Grin (GRIN) is another implementation of the MimbleWimble protocol, and like Beam, was launched in early 2019. Grin is a privacy-focused cryptocurrency that deploys the ASIC-resistant Cuckoo Cycle mining algorithm to enable small home miners to ‘operate GRIN.
To start mining Grin visit grin.mw, you need to download the official software, sync the blockchain, and connect your GPUs. The Grin community recommends using Nvidia graphics cards as they are considered to be the most efficient for GRIN mining. Next, you need to set up a wallet and – if you’re mining GPUs – send the mining algorithm to Cuckaroo POW, which is the one dedicated to GPU mining.
Feathercoin (FTC) was launched in 2013 as a fork of Litecoin. Digital currency uses the NeoScrypt hashing algorithm, which was unique to cryptocurrency when it was launched because it is designed to support CPU and GPU mining. Hence its popularity among community driven developers and home miners.
Due to its hashing algorithm, Feathercoin is well suited for GPU mining. However, the installation process is not very straightforward. Depending on the operating system your device is running on, you need to download the Feathercoin Core Node from feathercoin.com first. Then you need to manually configure it to fit your specific set of circumstances, which can be a challenge if you are new to blockchain technology. Once this step is completed, it is advisable to join a mining pool to potentially maximize your profits.
Crypto mining can be a great way to keep your CPU running instead of sitting idly by. However, keep in mind that choosing the right coin to mine is a crucial decision and one that requires a bit of research beforehand to make sure that you are not wasting unnecessary money and energy to mine. unprofitable part.
There are a number of online mining profitability calculators available such as CryptoCompare or WhatToMine as mentioned earlier to help you do your research first.