Nowadays, at least for the majority of encryption enthusiasts, it is almost known that Bitcoin mining is not as profitable as it used to be. What was once compared to the "gold rush" of ancient times is now a very expensive process, reserved primarily for individuals or organizations with specialized, high-powered machinery.
That said, if you're looking for an alternative to Bitcoin mining, you should look into other cryptocurrencies developed to withstand the development of ASIC mining equipment. And, probably the most obvious example is Monero (XMR).
Monero is one of the few so-called coins for privacy, a cryptocurrency built to offer its holders a secure, private and untraceable monetary system thanks to various complex cryptographic shields.
Why mine Monero first?
This is the most obvious question that anyone who wants to get into cryptocurrency should ask and, immediately after, there are a couple of very interesting reasons. Monero uses a hashing algorithm called CryptoNight. The most obvious advantage of the aforementioned algorithm is the fact that it is resistant to the development of ASIC Monero-mining mounts.
So, Monero is perfectly suited for CPU and GPU extraction, which means that virtually anyone with a PC or Mac can start extracting it. That's not all, since the Monero blocks are extracted in about two minutes intervals, much less than the Bitcoin which requires ten minute intervals to extract the blocks.
Other reasons include the fact that Monero is a well established cryptocurrency (even if it is rightly or more or less mistakenly associated with criminal activities on the obscure web), which means that it can easily be traded for both BTC and ETH. Thanks to its CryptoNote algorithm, Monero mining is also a process that is much more resource-friendly. It also means that the temperatures of your mining rigs will drop and, as a result, even the life cycles of any GPU or CPU involved in Monero extraction will be higher.
Things to keep in mind before extracting Monero
Before starting to extract Monero, it is important to perform some economic calculations. The easiest way to determine the profitability of the mining process based on your equipment is to find a specialized website.
There are several services that can help in this sense, but whattomine.com is probably one of the best choices available. The Web service provides accurate information on the current price, blocking time and the hash rate of the network of various scrambles. You must fill out the form with information on the CPU and GPU of the computer and select the correct algorithm, the service, as well as provide detailed information on hashing and profitability.
Another important aspect to keep in mind in the hardware, in particular, in choosing the right hardware can mean the difference between actually making a profit or losing money. As mentioned earlier, the best thing about Monero extraction is the fact that the CryptoNight algorithm allows anyone with a decent computer to leverage mining. A basic i5 CPU is able to offer you small profits; although computers with higher specifications are clearly recommended.
Pool mining can prove to be more profitable than solitary mines. Consider taking a look at various mine pools and checking their characteristics, communities, taxes and reviews before committing yourself. All pools usually come with small fees that are justifiable most of the time, especially if you are aiming for substantial revenue. Some of Monero's most popular mining tanks are MineXMR, Moneropool, Nanopool and Dwarfpool.
Also, you should know that AMD graphics cards are more suitable for Monero extraction than Nvidia counterparts.
How to extract Monero – a general guide
One of the first things you need to do if you want to extract Monero is to make sure that your graphics card or your computer's CPU has the latest drivers installed. If you are opting for CPU mining, you will need a so-called mining software. One of the best options is to use Wolf's open source CryptoNote CPU miner. For the extraction of AMD and NVidia GPUs, you need to make sure that the latest drivers are installed on the graphics card. Be sure to download them from the official websites of AMD and Nvidia.
For the purposes of this guide, we will focus on creating Minergate. Minergate offers you an easy way to extract Monero using your computer or the GPU or CPU of your laptop. Register a free account on the Minergate website by clicking on the "Register" button and entering all the required credentials as an e-mail address and password.
So be sure to download the Minergate software from the dedicated section and install it accordingly. After installation, run the program, enter your email and password and click "Start mining".
The easiest way to go is to opt for the Smart Mining option, which will look for the most profitable currency, including Monero. The app gives you the ability to choose how many cores you want to use in your CPU and GPU.
One thing to note is the fact that dual-mining is also supported by Monero. This means that you can use both your computer's GPU and the CPU. The Minergate platform is not in conflict with other more advanced miners (like Claymore). For example, you can extract with your CPU using Minergate, and mine using your GPU with Claymore's help.
You can easily check your progress in the mining industry through the Minergate Dashboard menu. Needless to say, you will also need a Monero wallet in which you can withdraw mined funds.
Here are some basic tips to ensure that the mining process proceeds as smoothly as possible. Make sure your computer never goes "sleepy". This can be changed by going to the Power Setting section. Another good tip is to disable automatic Windows updates, as they can sometimes restart your computer and stop the entire mining process. It might also be a good idea to add programs used for mining as expected on Windows Defender or other third-party antivirus solutions you might use.
By following this basic guide, you should get a general understanding of what the extraction process consists of and how to make sure you get started well as a Monero miner.