Crypto Mining Beginners Advice

[TerenceFisher]

I'm new to this forum and seriously researching mining cryptocurrency. I'd like to start my first post as a way for people to post a few helpful tips that beginners can see which may help get us started with mining cryptocurrency specifically. I'm sure this has been done many times, but here's another for August 2018. I'll start by posting a few helpful things:

• You will need a crypto wallet for storing currency
• Learn about hash rate, and ROI(return on investment) of your mining rig
• Learn about the necessary hardware to build a mining rig (number of graphics cards / power supply / motherboard / RAM / storage / etc.)
• Research reputable mining pools in order to make mining consistently profitable

I'd like to see what other tips people have. I am currently in the research phase and have yet to even buy any hardware for crypto mining. Right now I'm currently researching what indicates a good altcoin to mine.

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[AzatFinrazor]

If you want to mine ASIC-resistant cryptocurrencies such as ether, you need a motherboard that supports multiple GPUs, i.e. has multiple PCI slots. You should also be aware that some motheboard-CPU combinations are less efficient than others, so learn about their compatibility.

Begginer's Guide on Mining Hardware

Have a good day!

[bitsnack]

If you dont want to spend all that money to go into proof of work, then proof of stake is probably for you!

You mine currencies not with your expensive miner, but based on how many coins you have!

The more coins you have, the more hashpower.

[Midcrypto]

A few things to add to this are:

- Understanding past trends and speculation rises in Crypto prices. (Mining profitability always appears underwhelming at face value, so understanding a little of what the profitability will have actually been by taking into account prices in 3 months, 6 months, 1 year and beyond)

- Researching and keeping up to date on the latest trends and projects. Knowing which projects have large movements and mining accordingly can produce much higher profits than sticking with 1 currency.

Feel free to PM me if you need assistance with anything!

[TerenceFisher]

A few things to add to this are:

- Understanding past trends and speculation rises in Crypto prices. (Mining profitability always appears underwhelming at face value, so understanding a little of what the profitability will have actually been by taking into account prices in 3 months, 6 months, 1 year and beyond)

- Researching and keeping up to date on the latest trends and projects. Knowing which projects have large movements and mining accordingly can produce much higher profits than sticking with 1 currency.

Feel free to PM me if you need assistance with anything!

Thanks for the comments on my thread. Would you happen to have any "holy grail" resources for understanding crypto trends and profitability as you discussed in your post? I know of coinmarketcap, but I know next to nothing about analyzing fluctuations in crypto price. I've also found various profitability calculators online, but I'd still like to know more, especially how to calculate profitability after joining a mining pools and the different types pooling structures. Thanks a lot.

PS> you have private messaging from newbies disabled

[bitmover]

Beginners use to think that mining is free money

However, for most of the people it's not profitable, as energy costs are too high and hardware costs takes years to amortize

It's usually much better to just buy the cryptocurrency you want, than to spend thousands of dollars and expect to receive the investment in a few years.

There are a few countries with low energy costs that are very profitable to mine. Every newbie should consider his energy costs at all time.

[hase0278]

Right now I'm currently researching what indicates a good altcoin to mine.

A good altcoin to mine is an altcoin with low difficulty(easier to mine), good current price and one with a potential to grow in the future(Note: consider the latter only when you are planning to hold some of what you are going to mine). To know which altcoins have low difficulty at the moment, I suggest you go look on mining calculators that can be found by searching on google.

[Babybloomer]

Thanks for the advice. Now where can I mine one?

[jerick06]

Thanks for the advice. Now where can I mine one?

You have to download first mining softwares. 2 most popular mining softwares are CGminer and BFGminer. Once you have the software you can now join the Bitcoin Mining Pool. These are the groups of bitcoin miners who work together to create a block. Goodluck!

[Dudeperfect]

To be honest, I believe that crypto mining is a serious business now and we should leave it for them who treat it with that kind of proficiency. However, if the newbie is willing to get involved with the mining process then he should invest his time in order to explore more knowledge about it before investing his money in the resources required for mining. I would highly recommend staying away from cloud mining or anything like that unless the person knows what he's doing and what kind of returns he is expecting from it.

[ompoetra]

All of this computing is certainly consuming electricity, and electricity requires a fee. So of course the consumption of energy or electricity also needs to be considered when making a decision. You must ensure that the cost of electricity is not spent on all of your profits.
The trick is to calculate how many hashes you get from each watt of electricity used. You can divide the hash count by the number of watts directly.


As an example:

If you have a 500 GH / sec device, with 400 watts of electrical energy, then you will get = 500 GH / sec: 400 watts = 1.25 GH / sec / watt.
In addition, you also use computers to mine Bitcoin and computers use electricity. Therefore, don't forget this factor when you count.