Depending on the specific coin they choose to mine, people who intend to mine cryptocurrencies should familiarize themselves with the necessary mining processes and the advantages of mining pools. To succeed in any mission, it is imperative to first understand one’s objectives and limitations.
This article will introduce you to the top cryptocurrencies to mine in 2024 and provide information on the various mining platforms. Along with this, you would learn about the benefits and drawbacks of purchasing cryptocurrency through mining.
List of the Top Cryptocurrencies to Mine
Below is a list of five cryptocurrencies that anyone interested in mining cryptocurrencies should check out.
1. Bitcoin: The Most Mined Cryptocurrency
Bitcoin (BTC) is still the most popular cryptocurrency among miners worldwide. At the time of writing this article, its price was almost $42,000.
Please take note that the current block reward for Bitcoin mining is 6.25 BTC, and the next halving will drop this to 3.125 BTC after four years. Similar to other more recent cryptocurrencies on the market, mining Bitcoin requires a lot more resources and is also more challenging.
2. Ethereum – Best Crypto to Mine for Smart Contracts
Ethereum, also known as Ether, is a very well-liked cryptocurrency that is now mineable. It has garnered a reputation for being at the forefront of innovation in the crypto industry due to its “smart contracts” and “dApps.”
Right now, two ETHs are awarded for each block of Ethereum mining. Both CPU and GPU mining equipment can be used to mine it, and it employs the Ethash hashing function. Please take note that even though this cryptocurrency has switched to Ethereum 2.0 (ETH 2.0) and its consensus method has been changed from Proof-of-Work (PoW) to Proof of Stake (PoS), Ethereum miners still have a few years left to continue using PoW on the network.
3. ZCash: Best for Private Transactions and Individual Miners
2016 witnessed the introduction of several noteworthy cryptocurrencies, such as Zcash (ZEC). It’s becoming clear that ZCash is a great coin to mine because the development business is very focused on privacy. ZEC is difficult to mine even though it has an ASIC-resistant design.
That being said, for those who are prepared to commit to the long term, its lack of fragility makes it a great cryptocurrency mining opportunity. The maximum amount of coins is 21 million which are anticipated to be mined by 2032. The current mining reward is 2.5 ZEC/block. ZCash mining needs more RAM because of the Equihash algorithm.
4. Grin – Best for Private Transactions
In contrast to other cryptocurrencies, Grin (GRIN) has no limited supply. Regular cryptocurrency users can easily mine using CPU and GPU devices without making a large investment because it uses Cuckoo-style mining, which is ASIC-resistant. Grin uses the MimbleWimble hashing function and the block reward for mining currently stands at 60 GRIN per block.
5. Monero: The Best Coin for Beginners to Mine With CPU Mining
This is yet another well-known cryptocurrency that resists ASICs and recognizes the value of equity in coin mining. Monero (XMR), which has a market valuation of almost $3 billion, is still one of the most profitable cryptocurrencies to mine. The current reward for miners using Monero is 2.15 XMR per block, with a total of 2,272,762 blocks anticipated to be produced. It uses the CryptoNightR hashing function and requires only mining equipment for CPU mining and GPU mining devices.
Pros & Cons of Crypto Mining
Pros
- If you’re lucky and have access to resources, it can help you obtain coins without having to purchase them.
- It is still the most traditional and pure method of obtaining a proof-of-work coin.
- Anyone with a smartphone can now mine cryptocurrencies if they’re willing to provide some processing power.
Cons
- Popular cryptocurrencies like Bitcoin can be highly expensive to mine and it is not for everyone.
- PoS consensus is growing in popularity, therefore mining may not be as common in the future.
- A certain amount of technical knowledge is required for the process.
What is Crypto Mining?
Cryptocurrency mining is the technique of using computer power to validate transactions on a blockchain network.
To guarantee transaction security and accuracy, miners devote their computational resources to solving challenging mathematical puzzles. Miners receive a particular quantity of cryptocurrency as a reward for correctly solving a puzzle.
Types of Crypto Mining
Crypto mining can be divided into three categories: CPU, GPU, and ASIC mining.
1. CPU Mining
Using a computer’s CPU to mine cryptocurrency is known as CPU mining or central processing unit mining. For the majority of cryptocurrencies, this approach is usually not profitable and is the least efficient.
2. GPU Mining
GPU mining, also known as graphics processing unit mining, mines cryptocurrency by making use of a computer’s graphics card’s capacity. This technique is frequently used to mine altcoins since it is more effective than CPU mining.
3. ASIC Mining
Application-Specific Integrated Circuit (ASIC) mining is the process of mining cryptocurrency with specialized gear made just for that purpose.
Because ASIC miners are so strong and efficient, they are the go-to option for mining well-known cryptocurrencies like Bitcoin.
Conclusion
If you conduct careful calculations of profits and investments in advance and approach them in a planned manner, cryptocurrency mining could assist you in getting coins. Crypto mining has far more benefits than drawbacks, and as long as one’s budget allows them to mine then there is a high chance that they will be successful.
