What Is Monero Mining? - Sourajit Saha

Friday, 5 January 2018

What Is Monero Mining?

Also known as XMR mining, Monero mining is one simple cryptocurrency mining. Just like you can do with Zcash, and Ethereum, you can mine Monero with your CPU, which simply means that your laptop can also mine this crypto coin. There are a lot of software for the mining of this coin and to make it better, most of these software are free. Two of the best include Minergate and Claymore, and the downloading, configuration, and setting up of these software usually do not take up to twenty minutes.

Monero is a cryptocurrency that has a strong focus on privacy. It has amassed a lot of followers over the years and lately, it has been enjoying incredible spikes. Instead of putting all of your money on the Big Four of the cryptocurrency world (Bitcoin, Ethereum, Bitcoin Cash, and Litecoin), it is best that you diversify and invest in other small crypto coins like Monero. And since Monero mining is quite easy, you won't be risking much, and you might be earning more on the long run.
What Is Monero Mining?

There are a lot of good reasons why you should be mining Monero. We have listed some of these reasons below:

REASONS TO MINE MONERO

·  Since you can use your laptop for the mining of Monero, you can easily use it to subsidize the purchase of a high-end, new GPU.

·  Monero can be easily exchanged for Bitcoin. Mining Monero will provide you with a better holding position in BTC.

·  Traders love Monero. This is why a lot of exchanges have it on their platform. If you are good with trading, you can maximize your profit, most especially when the cryptocurrency is undergoing its huge spike. So mining Monero can also provide you with benefits even if you are a trader.

·  You can use Monero to fill up your bank account with cash. All you have to do is mine the coin, exchange for BTC on an exchange, and sell off the BTC at a higher price.

·  Monero is also one of the highest-priced altcoins on the market. Ever since it gained massive acceptance in the darknet market back in 2016, the coin has continued to gain popularity, thereby making it one of the best cryptocurrencies to invest in.

·  Monero is a really beneficial coin. When you mine Monero, you won't be using a lot of electricity like when you are mining other cryptos. This is because it uses the CryptoNote algorithm for mining, which uses less electricity than Equihash coins (Hush, Zencash, Zcash) and Ethash Dagger Hashimoto coins (UBQ, Ethereum Classic, and Ethereum). This simply means that your GPU cards can have a longer life range, and you can enjoy lower temperatures.

·  The last benefit a lot of people enjoy from Monero mining is the fact that you will enjoy a lot of future gains. The Monero GPUs you buy can be sold in future, thereby providing you with awesome ROI. Besides that, you can hold on to the coins you have been able to generate and sell them when the price spike on the market.

THE DIFFERENCE BETWEEN THE MONERO BLOCKCHAIN AND THE BITCOIN BLOCKCHAIN

In order to understand the mining of Monero, you need to understand how the blockchain works. Monero does not use the same hashing algorithm as Bitcoin. This makes it impossible to use those specialized hardware used for Bitcoin mining for the mining of Monero.

Monero's hashing algorithm is called CryptoNight. This algorithm was designed in such a way that there will be no need for the development of Monero-mining hardware. The memory-hard algorithm was created majorly for CPU and GPUs. This means that you can only mine through the use of CPUs and GPUs. Another noteworthy difference between the Monero and Bitcoin blockchain is the fact that Monero is endowed with a privacy protocol known as ring signatures. This protocol was created in order to make the cryptocurrency a leader in the market as it's based on privacy. Also, while blocks on the Bitcoin blockchain are mined in ten minutes, those of Monero are mined with just two minutes intervals.

MINING FACTORS THAT DETERMINE THE SUCCESS OF MONERO

Difficulty - Ever since the fourth quarter of 2016, the network hash rate of Monero has seen huge spikes. But the thing is, if people are increasingly mining the cryptocurrency, why then is it that the two minutes block interval has not changed? Why are blocks not being mined faster than the 2-minute interval? The answer to these questions is difficulty. The Monero blockchain can automatically increase the computational difficulty of getting a blockchain solved. This way the Monero blockchain is able to maintain its 2-minute interval time.

The question now is why is despite the fact that the difficulty is consistent and getting harder, why then is the hash rate going up? The answer to this question is price. The price didn't have any effect until late 2017 when the whole cryptocurrency market surged. That's when the price of Monero skyrocketed and got people's attention, which has led to more hash rate.

Profitability - The other factor you need to consider is profitability. Now that you have a little understanding of what the Monero blockchain is all about and the role of things like difficulty, making some economic calculations is the next thing. In order to know how profitable you'd be when you start mining Monero, you need to log on to whattomine.com; this website will provide you with the current figures on block time, price, and network hash rate (this will be measured in KH/s).

Once you've logged onto the website, plug in your cards, click on the model number, and you'll be provided with the corresponding profitability and hashing info. Ensure that you tick the CryptoNight box so as to get your calculations.

Hardware - The next factor you'll want to consider is your hardware. In order to get the right hardware that will meet your specifications and budget, you need to experiment with the different GPU selections you'll find in the calculator above. Note that when it comes to Monero mining, AMD cards outperform NVidia cards.

SUMMARY

Mining Monero can be very advantageous. The mining process is quite simple and if you are going to mine the currency, it’s best that you start now as a lot of people are still yet to get on the low altcoin train.
.................................................................................
Also known as XMR mining, Monero mining is one simple cryptocurrency mining. Just like you can do with Zcash, and Ethereum, you can mine Monero with your CPU, which simply means that your laptop can also mine this crypto coin. There are a lot of software for the mining of this coin and to make it better, most of these software are free. Two of the best include Minergate and Claymore, and the downloading, configuration, and setting up of these software usually do not take up to twenty minutes.

Monero is a cryptocurrency that has a strong focus on privacy. It has amassed a lot of followers over the years and lately, it has been enjoying incredible spikes. Instead of putting all of your money on the Big Four of the cryptocurrency world (Bitcoin, Ethereum, Bitcoin Cash, and Litecoin), it is best that you diversify and invest in other small crypto coins like Monero. And since Monero mining is quite easy, you won't be risking much, and you might be earning more on the long run.
What Is Monero Mining?

There are a lot of good reasons why you should be mining Monero. We have listed some of these reasons below:

REASONS TO MINE MONERO

·  Since you can use your laptop for the mining of Monero, you can easily use it to subsidize the purchase of a high-end, new GPU.

·  Monero can be easily exchanged for Bitcoin. Mining Monero will provide you with a better holding position in BTC.

·  Traders love Monero. This is why a lot of exchanges have it on their platform. If you are good with trading, you can maximize your profit, most especially when the cryptocurrency is undergoing its huge spike. So mining Monero can also provide you with benefits even if you are a trader.

·  You can use Monero to fill up your bank account with cash. All you have to do is mine the coin, exchange for BTC on an exchange, and sell off the BTC at a higher price.

·  Monero is also one of the highest-priced altcoins on the market. Ever since it gained massive acceptance in the darknet market back in 2016, the coin has continued to gain popularity, thereby making it one of the best cryptocurrencies to invest in.

·  Monero is a really beneficial coin. When you mine Monero, you won't be using a lot of electricity like when you are mining other cryptos. This is because it uses the CryptoNote algorithm for mining, which uses less electricity than Equihash coins (Hush, Zencash, Zcash) and Ethash Dagger Hashimoto coins (UBQ, Ethereum Classic, and Ethereum). This simply means that your GPU cards can have a longer life range, and you can enjoy lower temperatures.

·  The last benefit a lot of people enjoy from Monero mining is the fact that you will enjoy a lot of future gains. The Monero GPUs you buy can be sold in future, thereby providing you with awesome ROI. Besides that, you can hold on to the coins you have been able to generate and sell them when the price spike on the market.

THE DIFFERENCE BETWEEN THE MONERO BLOCKCHAIN AND THE BITCOIN BLOCKCHAIN

In order to understand the mining of Monero, you need to understand how the blockchain works. Monero does not use the same hashing algorithm as Bitcoin. This makes it impossible to use those specialized hardware used for Bitcoin mining for the mining of Monero.

Monero's hashing algorithm is called CryptoNight. This algorithm was designed in such a way that there will be no need for the development of Monero-mining hardware. The memory-hard algorithm was created majorly for CPU and GPUs. This means that you can only mine through the use of CPUs and GPUs. Another noteworthy difference between the Monero and Bitcoin blockchain is the fact that Monero is endowed with a privacy protocol known as ring signatures. This protocol was created in order to make the cryptocurrency a leader in the market as it's based on privacy. Also, while blocks on the Bitcoin blockchain are mined in ten minutes, those of Monero are mined with just two minutes intervals.

MINING FACTORS THAT DETERMINE THE SUCCESS OF MONERO

Difficulty - Ever since the fourth quarter of 2016, the network hash rate of Monero has seen huge spikes. But the thing is, if people are increasingly mining the cryptocurrency, why then is it that the two minutes block interval has not changed? Why are blocks not being mined faster than the 2-minute interval? The answer to these questions is difficulty. The Monero blockchain can automatically increase the computational difficulty of getting a blockchain solved. This way the Monero blockchain is able to maintain its 2-minute interval time.

The question now is why is despite the fact that the difficulty is consistent and getting harder, why then is the hash rate going up? The answer to this question is price. The price didn't have any effect until late 2017 when the whole cryptocurrency market surged. That's when the price of Monero skyrocketed and got people's attention, which has led to more hash rate.

Profitability - The other factor you need to consider is profitability. Now that you have a little understanding of what the Monero blockchain is all about and the role of things like difficulty, making some economic calculations is the next thing. In order to know how profitable you'd be when you start mining Monero, you need to log on to whattomine.com; this website will provide you with the current figures on block time, price, and network hash rate (this will be measured in KH/s).

Once you've logged onto the website, plug in your cards, click on the model number, and you'll be provided with the corresponding profitability and hashing info. Ensure that you tick the CryptoNight box so as to get your calculations.

Hardware - The next factor you'll want to consider is your hardware. In order to get the right hardware that will meet your specifications and budget, you need to experiment with the different GPU selections you'll find in the calculator above. Note that when it comes to Monero mining, AMD cards outperform NVidia cards.

SUMMARY

Mining Monero can be very advantageous. The mining process is quite simple and if you are going to mine the currency, it’s best that you start now as a lot of people are still yet to get on the low altcoin train.
.................................................................................

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Sourajit_Saha
Hi, I’m Sourajit Saha, An Online Marketer & Cryptocurrency Spectator From Kolkata, India. I Have Been Blogging Since Last Quarter Of 2010. I Started Blogging As A Hobby, And Soon It Turned Into Passion And Later Profession. Click Here To Know About Me!

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