Best Cryptocurrency to Mine in 2018
MICHAEL OWEN, Lead Finance Writer
January 8, 2018
When cryptocurrencies were just getting their footing in the digital world, it was a very simple process to obtain coins. In the very early days, it was as simple as using your standard computer and utilizing the technology inside to be able to mine the likes of Bitcoin. However, as the times have moved on and crypto’s have become more widespread and popular all over the world, unfortunately the mining process for popular cryptocurrencies like Bitcoin and Ethereum has developed into a very labour intensive process. The popularity surrounding Bitcoin has made mining the currency a very difficult task, and you can often find yourself out of pocket because you are spending more money on energy bills, to keep your mining rig operating to its full capacity.
How Does Cryptocurrency Mining Work?
For those of you who don’t understand how mining cryptocurrencies work, we will break it down for you, so you have a much clearer view of the process. Basically, the act of mining a cryptocurrency is using your computer to solve a bunch of highly complex mathematical equations, and to do this you need some specialized equipment that has been designed to handle these equations.
Cryptocurrency mining is a long and expensive process – not a get rich quick scheme. Make sure you are financially able to support long-term mining operations, including monthly energy costs, before starting.
What Do I Need To Mine Cryptocurrency?
- Graphics Card: The first thing you need is a dedicated graphics card. This is what is going to be doing the hard work for you, by solving those equations and adding newly formed blocks to the blockchain network.
- Power Supply Unit: Next on the list of things is a high quality PSU (Power Supply Unit). Your mining operation will be consuming lots and lots of power, in order to work at its full capacity. It’s important to invest in the right power unit, otherwise there is no point.
- Motherboard: Finally, you’ll need a motherboard, and preferably one with as many PCI slots as possible, because the more slots there are, the more graphics cards you can have.
So now we have outlined the mining process and gone over what equipment you need, let’s find out what cryptocurrencies are the best to mine in 2018.
What Cryptocurrency Should I Mine?
Right from the get go, Bitcoin, Ethereum, Ripple, etc. are no no’s because as mentioned before, you’ll end up costing yourself more money due to excessive monthly power usage.
Monero is an open source cryptocurrency that was created in April 2014, and it’s main message was privacy and decentralization. Many people have favored Monero because the ability it gives people make their transactions untraceable. Most importantly, it is fungible, which means there is a small chance of it being blacklisted by any exchanges. Although not the easiest cryptocurrency to mine, Monero has continued to rise in price and mining can often return an profit after only 6 months or so. In November of 2017 the block reward was 5.96 XMR. As of writing in January of 2018, the difficulty is 54.8bn with a block reward of 5.78 XMR.
Steem is a blockchain based cryptocurrency and is mostly a reward based media currency system, and is currently the most successful decentralized social network. It currently holds the record for being faster than Bitcoin and Ethereum with no fees. Since it is a rewards based decentralized social network, there needed to be some advances in blockchain technology before this cryptocurrency could be fully utilized. It has been battle tested is standing strong against the might of the powerhouses, so this digital coin is definitely one to think about.
Ethereum classic is a fork of Ethereum and has been listed as one of the most profitable new cryptocurrencies to mine. It is used to running applications and smart contracts, which are computer system that manage assets such as ATM’s. Keep an eye out for this cryptocurrency in 2018 as another easy cryptocurrency to mine.