Best Cryptocurrency to Mine

Best Cryptocurrency to Mine in 2023

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Cryptocurrencies are definitely here to stay. And proof of this, is that developed countries like Sweden, where the government regulatory and supervisory body of the Swedish Financial Supervisory Authority has legitimized the fast-growing industry by publicly proclaiming Bitcoin and other digital currencies as a means of payment.

And on a par with Sweden, we can mention Denmark, a country in which the government does not charge taxes for trading or mining cryptocurrencies.

Therefore, whether you are a newcomer to the world of cryptocurrencies or have been investing in these digital assets for a long time, chances are you have heard about cryptocurrency mining.

Today we will tell you the basics of blockchain mining and tell you exactly how to find the best cryptocurrency to mine.

And true to our convictions, we will not tell you a single coin to mine, as we believe in the importance of diversifying.

Digital currencies grew exponentially in 2017, and people all over the world began to explore different ways to profit from this young and thriving industry. Naturally, the first wave of cryptocurrency enthusiasts turned to speculation as a mechanism to make money. However, the enormous volatility of this market left many of them empty-handed.

Others chose to go into cryptocurrency mining. In other words, add new blocks to the chain and be rewarded with digital coins.

Of course, adding blocks is not a simple process. And while your LEGO skills won’t help you, the information you’re about to read will. You are ready?

What is cryptocurrency mining

In order to understand the mining process, and discover which is the best currency to mine, it is important that you have a clear understanding of some basic concepts about cryptocurrencies. Digital currencies rely on cryptography to secure transactions and also control the creation of new cryptocurrency units.

Cryptocurrencies run on different blockchains – public distributed ledgers programmed to record virtually anything that has value, including financial transactions. Each transaction is data stored in a particular block of the blockchain.

Cryptocurrencies are created through the mining process. The process involves miners solving complex computational problems to release blocks, to later be rewarded with new coins.

Instead of a financial institution making sure transactions are legitimate, miners, people who run mining software, do this job.

Mining is not a constant activity. Also, there is a limited amount of digital coins that can be mined. For example, the total supply of Bitcoin consists of 21 million units. Once the last Bitcoin BTC is mined, no more coins will be added to the system. This logic not only applies to Bitcoin, but to most cryptocurrencies that use a Proof of Work (PoW) consensus algorithm.

Is it profitable to mine cryptocurrencies in 2022?

During the bear market of the year of 2018, mining became less and less profitable for individual miners. Even for the big companies, like Bitmain, one of the biggest names in crypto mining, laid off 50% of its workforce at the time.

That year, mining activity ran below the break-even point, but luckily the 2019 price recovery helped some miners stay in the game.

Finding the best coin to mine will not be an easy task. Will it be Bitcoin? Litecoin maybe?

The cryptocurrency market is highly volatile, so it is vital to keep a close eye on market fluctuations as well as other factors that influence mining profitability.

What makes a cryptocurrency profitable

There are many factors that come into play when determining whether a cryptocurrency is worth mining. Here are some of the factors you should consider when determining the profitability of the coin you are looking to mine:

Cryptocurrency Price

The price of the coin is the main component that determines the profitability of the mining process. If the coin value is high, you can expect more earnings from rewards and thus easily cover mining expenses such as hardware investment and electricity costs.

However, if the cryptocurrency is in a bearish position, you may find yourself in a difficult situation.

Half Reward

From time to time, PoW -based cryptocurrencies halve their block reward to temper inflation and increase their long-term valuations.

For example, the latest Bitcoin Halving in May 2020 reduced the mining reward from 12.5 BTC to 6.25 BTC. And while that might translate into a higher Bitcoin price later on, it also makes life harder for miners.

Block Generation

The creation of new blocks is done using mining nodes according to the Waves-NG protocol and the FPoS algorithm. In simple terms, the more blocks generated, the higher your chances of getting a block reward.

Increase in the number of miners

The number of miners has increased dramatically in recent years, and this makes it extremely difficult to mine profitable coins. It might be a good idea to move away from those cryptocurrencies full of big players and focus on niche opportunities.

Mining Hardware

Your mining equipment also plays an essential role when looking for lucrative mining options. If you plan to invest in a hardware ASIC Bitcoin Miner, you will need a few thousand euros to get started. And since computers can get quite hot, you should consider a thermally regulated environment with low-cost electricity.

Factors Affecting the Profitability of Mining

  1. Property: Legal security of the property in which the mining is carried out.
  2. Electricity costs: Electricity is necessary to mine the cryptocurrency.
  3. Internet speed: the faster the internet speed, the more blocks can be mined.
  4. Weather Conditions: The cooler the weather, the easier it is to keep mining equipment cool, so less electricity is required to keep it cool.

Types of Crypto Mining

There are several ways to mine cryptocurrencies. For each method, the mining process is a bit different. These are the main ways to mine coins:

CPU Mining

In the beginning it was the most popular cryptocurrency mining. Almost any computer was worth to do it. The passage of time has shown that it is slow and, on many occasions, unprofitable. However, the process is simple, especially since the initial cost is low. Not all cryptocurrencies are CPU minable, those that are are among the easiest cryptocurrencies to mine.

Originally, Satoshi, the alleged creator of Bitcoin, wanted ordinary people to mine Bitcoin on a simple laptop or computer. But, over time, it has been shown that mining cryptocurrencies per CPU is very slow compared to other options, and you make little money, but spend a lot on cooling and electricity.

However, this mining is outdated and is not used nowadays. There are many reasons, including:

  • An average hash rate is 0.7MH/Sec
  • High power consumption
  • It is extremely slow

CPU mining is way too inferior to ASIC and GPU mining. You may also not be able to succeed in validating transactions with it.

ASIC mining

The system of choice for ‘professional’ miners. ASIC stands for Application Specific Integrated Circuit. They are specific equipment to mine cryptocurrencies and have a high cost.

What is GPU?

GPU mining is the most popular cryptocurrency mining method. It’s effective, cheap, and offers an excellent rate of speed, because it’s based on the use of ASICs, application-specific integrated circuits, which are essentially mining machines.

Initially, GPU equipment was used for the execution and operation of video games or interactive 3-dimensional (3D) applications. Applications that required great graphic potential. But in 2010, a programming language known as OpenCL was created, which allowed the use of these computers in other activities, including Bitcoin mining.

Thus, GPUs were introduced in cryptocurrency mining activities, and began to be used significantly, due to the great profitability they provided at that time. Since the GPUs offered their users a computing power similar to that of about 30 CPUs united. And although its cost was a bit high, the investment was worth it, since the chances of mining bitcoins with GPU equipment improved significantly.

But like all technology, cryptocurrencies evolve rapidly, which has left these teams out of the game, especially in Bitcoin mining.

Advantages and disadvantages of GPU equipment in cryptocurrency mining

Pros

  1. GPU equipment has the great advantage of allowing its users to mine and extract any cryptocurrency. There are currently many cryptocurrencies resistant to ASICs, so GPUs are an excellent option.
  2. There are many cryptocurrencies with little mining competition where GPU mining can be profitable.
  3. GPUs have multiple Arithmetic Logic Units (ALUs), so they can run multiple calculations in parallel to find different SHA-256 hashes much faster than conventional hardware.
  4. An ASIC is designed for a single Hash algorithm, if you want to use an ASIC for another currency that uses another algorithm you will not be able to. And if the currency you want to mine changes its Hash (see the case of Monero ) it will also stop working. With a GPU you can mine, at a lower speed, but any algorithm.
  5. These teams can be adapted according to the requirements of computational power, so they have great flexibility and adaptability to the market. Literally multiple GPU rigs can be built and configured to run on the same computer.
  6. Its acquisition cost is much lower than the current ASIC mining equipment, so the GPUs allowed a greater decentralization of the cryptographic market. allowing both companies and amateurs to have access to mining.

Cons

  1. The high energy consumption produced by these equipment minimizes the profitability of mining, especially for the current difficulty of Bitcoin. Also, when a miner connected so many GPUs externally to a computer to improve its computing power, they would get excessively hot. Therefore, the energy consumption of temperature regulators, such as air conditioners, among others, was added.
  2. GPUs were not designed for Bitcoin mining, so many of their components were wasted without use.
  3. GPU equipment requires a special configuration to start Bitcoin mining activities. For example, special bases for their assembly and operation.
  4. Compared to current mining equipment, GPUs no longer provide high efficiency in the Bitcoin mining process; In addition, the high difficulty of the system today made these teams no longer profitable to carry out this process.

How to Mine Cryptocurrency with GPU?

To mine cryptocurrencies with GPU, you need to go through and require the set of things mentioned below:

  • Get Free mining software package.
  • Have a free private database; your coin wallet will hold all your earnings and allow you to view all your transactions.
  • Get a Membership in an online pool in which you need to join the community of well-versed miners in combining their computers to ensure income and profit consistency.
  • Online currency exchange Membership Required.
  • To mine seamlessly need Custom-built computer.
  • A specialized processing device or ATI Graphic Processing Unit (GPU)
  • Extensive research and development.

Cloud Mining

Cloud mining is one of the newer methods of mining cryptocurrencies.

As the name suggests, the process involves hiring a mining company to carry out the entire process on your behalf. However, cloud mining tends to be extremely slow and can take years, not months, to turn a profit.

Thus, it becomes easy for you to find the best Cryptocurrency to mine with minimal investment. Besides, you may also quit anytime without incurring any extra pressure of investment.

Mobile Mining

Mobile mining is a crypto mining process that does not require you to invest in heavy equipment. Instead, you should invest in a quality mobile device and download an app like MinerGate Mobile Miner, Bitcoin Miner, or Pi Network.

But this option is not likely to provide any benefit due to the limited computational power of the device, except for the Pi Network, which is a “social miner”.

Also, there have been reports that this type of mining significantly affects the performance of devices.

Now yes, let’s see what are the best coins to mine in 2022.

Cryptocurrency Mining Terms

Mining is perhaps one of the most complex and misunderstood sectors in the world of cryptocurrencies. Intrinsically related to the blockchain network protocol and its cryptographic processes, miners perform some of the more technical activities to keep cryptocurrencies like bitcoin running optimally.

Because they are close to the software of these financial tools, there are various concepts of programming, cryptography and the blockchain ecosystem whose understanding is vital in order to understand how transactions are approved and how money is earned on these networks.

Consensus Algorithm

A consensus algorithm is, at a technical level, the set of rules that make up the protocol of a blockchain network to ensure its operation. In short, it is a software mechanism that makes decision-making possible within a group of participants that are interconnected in a decentralized manner.

To ensure its operation, all the statutes that make up the consensus algorithm are audited and verified by the nodes that make up said network. In the case of cryptocurrencies such as bitcoin (BTC), the full nodes and miners are in charge of reviewing the operations to ensure that the rules of the protocol are followed.

Socially, consensus algorithms are an agreement that the participants of a network have about how a certain platform or cryptocurrency will behave. In this sense, the consensus of the community has an impact on issues such as the block size, the reward for mining and the validity criteria of the transactions.

The two best-known consensus models are the Proof of Work (PoW), popularized by Bitcoin, and the Proof of Stake (PoS) that was put into practice with networks like Tezos or Dash.

Mining Algorithm

A mining algorithm is that element of a blockchain network that makes it possible to process blocks of transactions, register them in the distributed ledger and generate new coins. That is, they allow mining as we know it today.

These elements are described as “complex cryptographic hash functions”, in charge of defining the way in which the network data will be processed to confirm new transactions. Likewise, a consensus algorithm may be tasked with adjusting the mining difficulty, thus calibrating the time that new blocks are confirmed depending on the number of participants mining.

Depending on the mining algorithm that has been selected for a given blockchain, transaction blocks will be identified under unique and specific characteristics. Likewise, the algorithms have the capacity to define with which equipment said network can be mined and how all the operations that make the registration of new blocks possible are carried out.

For example, the SHA-256 algorithm, which is used by Bitcoin and Bitcoin Cash, has the peculiarity that it can be mined with multiple devices (CPU, GPU, ASIC). In addition, it is the element that makes it possible to create IDs for new blocks, to carry out proof of work (PoW) and even allows address hashing. That is, generate public addresses from the private key of each owner.

Blocks

Blocks are those elements of a blockchain network where information is stored that, in the vast majority of cases, is immutable. For example, a block usually has user transaction data, the timestamp when it was recorded, and even data from the previous block.

All of this information is recorded on the chain and referenced with a hash, which differentiates it from other operations on the network. In this way, the blocks optimize the validation process of cryptocurrency transactions.

Block Header

Every block of a cryptocurrency network stores inside information that identifies it. This set of metadata is known as the “block header”, and it is vital information when mining, since it allows the identification and registration of new transaction blocks in the network.

The block header is usually made up of a reference to a hash of the previous block. This information connects the new block with the data already registered to the network. Likewise, metadata such as the mining difficulty of the network for that moment, the timestamp and the nonce are also indicated in the header. Other data contained in the header is the root of the merkle tree, which is a structure used to efficiently and directly summarize all transactions recorded up to that point in the blockchain.

Hashes

The hash is a mathematical algorithm that transforms certain information into an alphanumeric code that has a defined length. That is, a text, a music video or transaction data can be converted into random numbers and letters that identify it as a unique piece of data.

This algorithm is characterized by throwing a code that will always have the same number of numbers and letters regardless of the amount of data that is provided.

Halving

Halving is an automated process that certain blockchain networks have, by which the reward received by miners for confirming blocks of transactions is reduced by half (or another amount). In other words, it is an economic measure of the monetary policies that blockchain protocols have. Because of this, it varies depending on the consensus of the community and the value proposition of each cryptocurrency.

In the case of Bitcoin, the most famous cryptocurrency, the halving occurs every 210,000 mined blocks. This covers a period of approximately 4 years. According to the rules of the protocol, the halving is scheduled to continue until the network stops issuing new bitcoins in the near future.

Block ID

The block identifier, also known in English as Block ID, is a fundamental element for distinguishing and registering new blocks in a blockchain. It is a unique cryptographic hash, which is used to identify each of the transaction blocks that are stored on these networks.

The sequence of hashes of each of these blocks creates a chain, which goes back to the first block created, known as the genesis block. It also plays a prominent role when mining, since it is exactly the ID Block that miners are looking for when they carry out the Proof of Work (PoW).

To explain it in a few words, a miner makes available to the network one or more processing devices capable of solving mathematical algorithms. Whether it is a CPU, a GPU or an ASIC, the function of these machines is to use their computational power to solve the puzzle of the mining algorithm proposed by the network. It is considered that a miner has solved said algorithm, only if he manages to find the block identifier that corresponds to that block that he is mining.

Yes, just as if it were a combination of a bank key or a safe. There is a unique cryptographic hash, for each block, which must be discovered, by achieving it it allows transactions to be registered in the network and the reward for mining is released. The miner, or group of miners, who finds the ID Block the fastest will be the one who keeps the reward.

Mining Difficulty Level

Mining Difficulty is a value used to set how difficult a block is to mine at a given time. Likewise, it can be described as a mechanism or number that determines how complex the hash puzzle that has to be solved in each block will be.

As one more element that allows the proof of work to work, the mining difficulty has the ability to vary depending on the computing power of the miners that are connected to the network. That is, it is intrinsically related to the hash rate of a blockchain network (also known as hash rate ), which is nothing more than the number of miners connected to a network and how powerful their machines are.

In this way, depending on whether the hash rate increases or decreases, the mining difficulty is automatically adjusted every certain number of mined blocks. In the case of Bitcoin, it is adjusted every 2,016 blocks. Every time the mining difficulty increases, the miners connected to the network will require more computing power to earn coins.

Node

A node is a computer that is connected to others, thus forming a network of participants that can share information and follow certain consensus rules. In the case of Bitcoin, these nodes are organized based on the protocol of the networks to which they are connected, increasing the distribution of data and collaborating with the fulfillment of the consensus algorithm.

In the particular case of Bitcoin, the nodes fulfill a vital function for its proper functioning: they are in charge of supervising all operations and even identify those that are legitimate from those that are not. In this way, they are responsible for verifying that users do not double spend, that is, that they do not use money previously spent.

Full Node

Among all the nodes that make up a network, in the case of blockchain networks there is a special term known as “full node”. To put it simply, a full node is a computer that stores an exact, complete, and up-to-date copy of the network to which it belongs. For example, in the case of Bitcoin, it is computer equipment that implements clients of this blockchain and is responsible for validating transactions.

The main task of a full node is to enforce all the protocol consensus rules of its network. Due to this, they are considered an element that provides security and stability to cryptocurrency networks. To carry out this activity, the nodes are responsible for transmitting their own transactions and those of other users. Likewise, it updates the blockchain every time a new block is generated, of course it is previously confirming that it complies with the rules established by the community.

If the created block violates any rule, such as block size, contains a double-spend transaction, or generated more BTC than scheduled, then the block will be rejected immediately and the next block will be considered valid.

Mining Node

In addition to full nodes, there is also a type of node that plays a major role in creating new blocks, known as mining nodes. These computers also keep a complete copy of the blockchain, the information of which they can transmit to other participants, along with mining software that they run to carry out their transaction confirmation activities.

Thanks to such software, these nodes can access the transactions that are awaiting confirmation in the network mempool, they can also add new blocks and then transmit all their activities to the community. Although all bitcoin users can be mining nodes, today the most used modality is that a mining pool is the one that manages the node so that its group of miners works.

Timestamp

The timestamp, also known in English as timestamp, indicates the exact time a block has been generated or a transaction has been received. It is a temporary and recurrent data in blockchain networks, whose purpose is to maintain an unalterable history of everything that happens in said system.

In the case of Bitcoin, which is the first cryptocurrency network on the market, the timestamp of a block is calculated based on the nodes. Each of the participants, when a new block is mined, is responsible for re-transmitting the information on the network and updating the blockchain, so the time stamp that is recorded in the accounting book is a measure of the moment in which they sent the blocks. nodes said data.

In short, the timestamp is used in blockchain networks as data that identifies the information stored within the system and makes the blocks unrepeatable. Additionally, the time stamp also allows you to adjust the difficulty of mining within the network, since it is programmed in networks such as bitcoin that it is modified based on the average time the network has taken to generate the last blocks.

Work test

Proof of Work, identified under the acronym PoW, is one of the most widely used consensus algorithms among cryptocurrency networks. To put it in context, the entire economy around crypto assets started thanks to PoW, since the creator of Bitcoin —Satoshi Nakamoto— selected this mechanism to be the basis of how Bitcoin works.

In the case of Bitcoin, this algorithm is used for the creation of new blocks and the protection of the network. To carry out this task, miners must use specialized equipment and software that allows them to solve a series of computations to find the cryptographic hash that identifies each block ( Block ID ). If the goal is achieved, the miners receive a reward, which works as an economic incentive to ensure honest work among network participants, as well as puts new cryptocurrencies into circulation.

Proof of Stake (PoS)

Proof of Participation, also known by its acronym PoS, is another of the most widely used consensus algorithms in blockchain networks. The appearance of this mechanism is given as a proposal to replace the use of computing power and, therefore, electricity, to ensure the processing of transactions and the creation of new currencies.

With the appearance of this algorithm, new terms such as staking are generated, which is the activity through which cryptocurrency owners use their funds to add new blocks to the network. In order to carry out this task, the owners must deposit their assets in a wallet and retain them (as if they were holding), a resource that serves as a guarantee of the honesty of their work and that can pay them profits for their operations.

Block Reward

The block reward is the money that a cryptocurrency network pays for mining on it. Similarly, it is a mechanism that is part of the monetary policies of these networks and their asset issuance plans. For each mined block, a number of new coins are generated. There are some blockchains such as Bitcoin or Litecoin whose issuance is programmed to have a limit, so in the near future they will stop issuing rewards.

The coins that miners receive in exchange for their work are always the native ones of the network in which it is being mined. In other words, if you mine in Bitcoin, you receive BTC, not ethers (ETH) or monero (XMR). In addition to these new coins, miners also usually receive the fees that users pay to have their transactions added to a new block.

  • Hash Rate – A miner is provided with a chance to make a number of guesses at the hash of a block.
  • GPU – GPU is designed to render a 3D design. GPU is capable of creating more guesses than CPU.
  • CPU – CPUs are the brain of the computer processing information for the command given to it. Moreover, it is the cheapest way to mine Cryptocurrency.
  • ASIC – Application-Specific Integrated Circuit is the chips particularly designed to mine Cryptocurrency. However, they consume heavy power but act as one of the best sources for mining.
  • Mining Rig – The primary purpose of the mining rig is to increase the minor’s hash rate as it is the combination of CPU, GPU, and ASIC chips running together.
  • Proof of Work – Proof of work is significant when it comes to the security of any cryptocurrency. This is because it makes it very expensive and almost impossible to cheat the crypto network. Proof of work is the process of guessing the hash and is an essential security feature for a majority of blockchain networks.

How to choose the best coin to mine in 2022?

Number of exchanges supporting the coin

It is essential to check which exchanges support the currency. If the coin is supported by less popular exchanges, it means that the withdrawal can only be made to the crypto exchanges internal wallet.

In this case, even if mining seems profitable, the miner is forced to give heavy commissions to exchanges just for withdrawals, since these unrecognized exchanges are forced to work with bad coins and rely on high commissions.

Ensure your legitimacy

Some countries have not legalized and banned cryptocurrency mining. It is better to avoid the risk if your country does not allow illegal trade.

However, in some countries, authorities allow trading of cryptocurrencies with a high level of anonymity as they serve as the perfect tool for money laundering. If you find it difficult to mine a coin in the place or country where you reside, it is better to go for the commercial option.

Evaluation of long-term use of purchased equipment

It is essential to assess the long-term use of the mining equipment through which you would mine the coin.

The possibility of withdrawing to fiat

Remember that a fee on each exchange allows you to convert newly mined coins into fiat currency. Or you also have the option to buy the famous tokens, including Bitcoin, Ethereum or Ripple.

12 Best Cryptocurrency to Mine (2022)

Pi Network (PI)

It is a project still in beta phase that promises. Pi Network has been created by Stanford doctors, its CEO is DR Nicolas Kokkalis,

The main difference with the rest of the coins is that you can mine it through a mobile app, it is very simple, you just have to install the app and enter your data.

It’s still in the beta phase, but if you install it now and the project goes ahead, which is very likely, you’ll be able to earn good money without doing anything, just having the app installed, you don’t need to invest anything.

At the moment not everyone can install it, it is only by invitation.

If the project goes well you will earn a lot of money and if it does not go well, you will not lose anything. Just an app that is useless installed on your mobile :). I think it’s worth trying.

Grin (GRIN)

The Grin cryptocurrency, currently worth €0.3112 according to Coin Market Cap, can be mined with GPUs. It was developed in 2019 through the Mimble Wimble protocol, which aimed to build a lightweight, scalable, and anonymous blockchain.

Grin is one of the newest cryptocurrencies, and a great option to mine in 2022. Unlike Bitcoin, which is capped at 21 million BTC, it has an unlimited supply. Grin is available on numerous platforms to invest in cryptocurrencies and its price at the moment is $0.44 USD.

  • ROI since launch: -95.43%
  • Algorithm: Proof-of-Work
  • Current Price as on May 2021: $8.70
  • Hashing Function: CuckARood-29, CuckAToo-31, Cuckaroom-29
  • Mining Reward: 60 GRIN per block

Ethereum Classic (ETC)

This cryptocurrency can be mined via GPU and offers a reward of 4 ETC per block. However, it is worth considering that ETC is subject to higher inflation and scarcity.

  • ROI since launch: 525.52%
  • Algorithm: Proof-of-Work
  • Current Price as on May 2021: $292.10
  • Hashing Function: Ethash
  • Block Mining Reward: 3.2 ETC

ZCash (ZEC)

For those who really value their privacy, ZCash may be the best coin to mine. It was launched in 2016 and since then buying Zcash has become a viable option for those seeking privacy in the investment world.

  • ROI since launch: -99.29%
  • Algorithm: Proof-of-Work
  • Current Price as on May 2021: $307.11
  • Hashing Function: Equihash
  • Block Mining Reward: 10 ZEC

Monero (XMR)

Monero provides a unique level of anonymity, but the fees are not that competitive compared to the alternatives mentioned above. A distinctive aspect of Monero mining is that you can opt for a GPU and even a CPU method as it constantly alters its algorithm to prevent ASIC mining.

This coin generates a reward of 3.38 XMR every two minutes, making it one of the best coins to mine.

  • Current Mining reward: 2.15 XMR/block
  • Algorithm: Proof-of-Work
  • Current Price as on May 2021: $456.56
  • Hashing function: CryptoNightR
  • Network Hashrate: 1.86 GH/s
  • Number of blocks: 2,272,762

RavenCoin (RVN)

RavenCoin has been gaining popularity since its inception in 2018, thanks to a strong set of features such as a mobile wallet, messaging, and improved compatibility, among others. RaveCoin is already traded on many platforms, making it a highly liquid option.

  • ROI since launch: 39%
  • Algorithm: Proof-of-Work
  • Current Price as on May 2021: $0.1634
  • Hashing Function: X16R
  • Block Mining Reward: 5,000 RVN

Litecoin (LTC)

Litecoin is a popular choice among miners for a very good reason: it is traded almost everywhere and is fairly stable. You can change it, spend it and withdraw it easily. Also, you don’t need a huge investment to make a profit.

  • ROI since launch: 743.42%
  • Algorithm: Proof-of-Work
  • Current Price as on May 2021: $359.08
  • Hashing Function: Scrypt
  • Block Mining Reward: 12.5 LTC

Electroneum (ETN)

Electroneum was launched in 2017, it can be mined with CPU or GPU and has a mobile app that provides you with a cryptocurrency wallet, where you can directly transfer and store your block mining rewards.

  • Algorithm: Proof of Work (PoW).
  • Hash function: CryptoNight.
  • Mining Reward: 7,000 ETN.

Dogecoin (DOGE)

DOGE is among the top 30 cryptocurrencies in the world with a market cap exceeding 400 million. This coin runs on the Scrypt protocol and is not very expensive to mine, making it another one of the best coins to mine for mid-level miners.

  • ROI since launch: 216.51%
  • Algorithm: Proof-of-Work
  • Current Price: $0.558
  • Hashing Function: Scrypt
  • Block Mining Reward: 10,000 DOGE

Ethereum Classic (ETC)

Ethereum needs no introduction. Ethereum Classic is a modified version of Ethereum’s Ethash mining algorithm called EtcHash, supporting the DApps and Smart Contracts. This cryptocurrency has regained its second place among the world’s major currencies during 2019 and a significant upward recovery is expected after a reward reduction from 3 to 2 ETH. Ethereum mining is more expensive than other cryptocurrencies on the market and may require a more substantial investment. In addition, the block time for this crypto is less than another crypto which is around 13 seconds.

  • ROI since launch: 525.52%
  • Algorithm: Proof-of-Work
  • Current Price as on May 2021: $292.10
  • Hashing Function: Ethash
  • Block Mining Reward: 3.2 ETC

Bitcoin Gold (BTG)

GPU mining is incomplete without mentioning Bitcoin Gold. It is one of the best cryptocurrencies to mine using GPU launched to get rid of ASICs. Apart from kicking out ASIC miners, it also involves a minimal investment, unlike other altcoins.

The primary aim of this crypto was to lower the risk for the miner. The approach of Bitcoin Gold developers was to minimize the risk so as the investors need not throw away BTG Antminer even if the Cryptocurrency’s Price comes down drastically. The best part is you can direct your hash power to any coin you desire.

The objective of Bitcoin Gold to transform that thermodynamic energy into digital assets will be fulfilled. Thus, if you are thinking of starting mining a cryptocurrency, go for it!

  • ROI since launch: -96.93%
  • Algorithm: Proof-of-Work
  • Current Price as on May 2021: $118.7
  • Hashing Function: Zhash
  • Block Mining Reward: 12.5 BTG

Metaverse (ETP)

Metaverse is a China-based coin that powers the blockchain-as-a-service (BAAS) platform.

It is an open-source, public blockchain providing digital identities, assets, properties, and oracles as an infrastructure for organizational and social needs.

This is the right time to succeed by mining this Cryptocurrency. If you convert your ETP gains into other cryptocurrencies swiftly, it becomes highly possible for you to yield higher profits.

  • Algorithm: Proof-of-Work
  • Current Price as on May 2021: $0.3856
  • Hashing Function: Ethash
  • Mining Reward: 2.5 ETP per block
  • Block Mining- 30 seconds

Mining Profitability Calculators

While you are working on the best Cryptocurrency to mine, it is important to check the profitability of each Cryptocurrency with the help of a mining profitability calculator.

The values that we will place here will be:

  • Cost: This is the cost, expressed in US dollars, per kWh of consumption.
  • Sort by: Here we will select the value by which we want the list of cryptocurrencies to be organized at the bottom. By default I recommend leaving it at 24h Profitability.
  • Volume filter: (Filter volume) : Here we will leave Any Volume by default, since Whattomine does not make it clear what this filter is for.
  • Difficulty for revenue: This filter corresponds to the average with respect to the difficulty of mining. It is recommended to select Average last 7 days.
  • Selected Exchange: In this box we will choose the exchange houses from which Whattomine will take the reference prices, to calculate the value both in dollars and in BTC with respect to profitability.

What are the Risks Involved in Cryptocurrency Mining?

Mining from a farm, whether large or small, as well as from home, means that we are aware of an increasing number of dangers. I will list the most common ones and how we can fix them:

  • Electricity Costs are Exceptionally High: depending on the country where you are, the cost of energy will be higher or lower. Here the solution is to perform an efficient overclock so that consumption is reduced to the maximum. Also alternative energies such as solar panels is a solution to take into account, since there are more and more options.
  • Viruses: In both ASICs and GPUs, viruses are the order of the day. ASICs are more dangerous because their firmware is often not updated frequently and can easily become quite outdated. The solution in the case of GPUs is simpler, since we can use cybersecurity through many techniques, the most basic being through antivirus and firewalls. But ASICS is more complicated and an entire farm can easily be contaminated if one of them is infected by malware. Mining operating systems like HIVE OSThey already offer, for a fee, the possibility of better protecting their infrastructure against attacks and even in the event of an infection, in some cases solving the problem.
  • Hackers: As an individual it is not as common as in large farms, but you also have to be alert. It is very simple for an employee to access the configuration of the equipment and add a wallet that belongs to him to divert funds without anyone knowing.
  • Fires: The more power of the equipment, the more heat, the more overheating due to the effort suffered by the equipment and if they are not properly cooled, fires can occur in the worst case. It is recommended to have a fire extinguisher on hand and to configure some type of automatic shutdown or alert that certain mining control systems allow. Many fires are caused by hardware failure or very hot environments. Good cooling of the components is recommended because sometimes a simple fan is not enough.

Conclusions

No one said cryptocurrency mining was easy. But if done correctly, it can be very rewarding. Before following the crowd, take the time to do your own research, estimate the mining costs associated with the cryptocurrencies you are interested in, and make a strategic investment plan.

Which of these do you think is the best currency to mine?

Take Care of Money Website is a financial information channel, not an investment adviser. We do not provide personalized or individualized investment advice. Cryptocurrencies are volatile investments and carry significant risk, including the risk of permanent and total loss. Past performance is not indicative of future results. Proven strategies are not recommendations. Consult your financial advisor before making financial decisions.

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