While crypto mining is a fantastic way to earn passive income, it is also quite expensive. From buying GPUs and ASICs, crypto mining is becoming harder to do, particularly for beginners looking to start.
More crypto miners are looking for easier crypto to mine where they can earn cryptocurrencies without spending a lot of time and money. Here are the top cryptocurrencies easiest to mine.
How does crypto mining work?
Before we go into the easiest cryptos to mine, it’s vital to understand how crypto mining works. The process of completing difficult mathematical equations in order to validate blockchain transactions is known as cryptocurrency mining. The procedure varies based on the cryptocurrency being mined and the hardware you are using.
For example, a proof of work crypto will require a lot of electricity to be mined, while a proof of stake one will need you to invest in the said digital asset. For every algorithm solved, the system adds the new data on the chain and the miners receive a fee they can store in their wallets or choose to invest.
Crypto mining can be categorized depending on the hardware you use or the method of coin extraction.
Mining Hardware
Crypto mining methods can be categorized on the hardware you use.
CPU mining
Central Processing Unit (CPU) mining is done using a computer processor. This is the oldest crypto mining process but is also the least profitable because the process is slow and harmful to your machine as CPUs can only run one code in series.
Recently, CPU mining has taken the form of mobile mining using a smartphone. Unfortunately, the process is just as slow and ends up overheating your smartphone device.
In terms of profitability, CPU mining will earn you the least. When your machine is overloaded, the mining process takes longer and you will end up working on fewer algorithms.
However, if you are interested in learning the mining process rather than making money, CPU mining could be a great place to start, particularly if you already have a great computer.
ASIC Mining
An Application Specific Integration Circuit (ASIC) is a specialized hardware device designed to perform a specific task, in this case, crypto mining. ASIC devices for crypto mining are built to handle crypto algorithms.
Using an ASIC device for mining is the most efficient as it is designed for complex cryptographic algorithms. Not only that, these miners also have a higher hash rate, which means they can solve cryptographic puzzles quickly.
One main disadvantage of ASIC miners is that they can be quite expensive costing anywhere from $700 to $8,000. This is a huge cost considering they don’t work for all cryptocurrencies, cannot be upgraded, and are not as durable. However, if you find the right one, you can earn good money from it. For example, top ASIC miners like the Bitmain Antminer KS3 can generate around $160 per day.
GPU mining
The process of mining Bitcoin with a Graphics Processing Unit (GPU) or graphics video card is known as GPU mining. GPU mining is preferred over CPU mining because of its better computing power and efficiency. GPUs are popular among cryptocurrency miners owing to their flexibility.
GPU miners are not restricted to mining Bitcoin; they can also mine other cryptocurrencies efficiently. GPUs are a popular choice for many crypto miners looking for flexibility in their mining activities due to their versatility across different mining operations and ability to handle a varied variety of currencies.
While most people already have a machine with a GPU, similar to CPU mining, the computer will be slow and you will probably have to upgrade your graphics card and machine. And this can be an expensive endeavor.
Coin extraction
Crypto mining can also be classified according to the method of coin extraction.
Cloud Mining
Cloud mining is used to mine Bitcoin using cloud computing power. The cloud power is “rented” from a cloud firm (remote server facility used in crypto mining), which means you will not have to install any hardware or software.
Cloud computing has several benefits, the most important being relief from investing in expensive hardware or paying for electricity. The amount you use to rent out the cloud computing is a fraction of buying new equipment. Additionally, this is also another way to earn extra income as miners can rent out their facilities for the process.
To participate in cloud mining, miners can open an account with a cloud mining firm for a fee. This amount varies according to the hash power needed. Cloud miners participate in a mining pool and the users enjoy a share of the profits depending on the harsh power used.
Solo Mining
As the name suggests, solo mining refers to individual mining. This is the way most Bitcoin is mined and one person independently takes on the computational challenge of finding blocks. Solo mining is challenging and risky but highly rewarding. The odds of finding and successfully mining a block can be slim and are influenced by a miner’s hash rate and network. The faster the miner’s network the better the odds and the rewards.
Pool Mining
Pool mining has transformed the mining ecosystem as it offers a more collaborative approach to crypto mining. For pool mining to work, different devices come together and share the computational power to mine one block. This way gas and power consumption are reduced but so is the profit.
While pool miners must have their own hardware, mining this way enhances profitability because resources are pooled, increasing the chances of completing a block.
The type of pool mining is dependent on an individual’s risk tolerance and desire for payouts. One can choose a mining pool based on the payout available.
- Pay-Per-Last-N-Shares (PPLNS). This is the most popular payout method among pool miners as the rewards are distributed equally among each member depending on the work done.
- Pay Per Share (PPS). PPS pools work by calculating the odds that the pool will win a block and distributing the payments accordingly, whether the pool completes a block or not. This is a great way to mine as members are protected against losses. However, a long unlucky streak can lead to future liquidity problems.
In order to mine with a GPU (or a CPU), you need not only the usual wallet-hardware combo but also mining software. Learn more about the software you can use for GPU mining and CPU mining here.
Easiest coins to mine
The easiest cryptocurrency to mine is one that doesn’t require you to get an expensive miner, which can eventually lead to mine profitability. The best way to calculate profitability before mining is using a crypto mining calculator. It will enable you to input your hash power, the cryptocurrency, and the hardware you are using and it will automatically calculate the profits for you.
Without much ado, let’s look at the easiest cryptos to mine.
Monero (XMR)
Block time: 2 minutes
Best hardware to use: GPU (ASIC resistant)
Monero is a crypto established in 2014 that uses a proof of work (POW) consensus and a RandomX hash function. Miners who solve problems on the chain can append the block onto the network and receive XMR token as a reward.
Monero is a popular choice because it has a total limit of 18.4 million coins in total. (17.8 million has already been mined). The coin is also preferred because of its high price, and promising future.
Monoro miners can choose to engage in it using solo or pool mining, with solo mining being a better option. Monero encourages its miners to use
Monero software (GUI and CLI wallets). For those choosing pool mining, they are encouraged to use P2Pool.
Metaverse (ETP)
Block time: 21 sec
Best hardware to use: ASIC, GPU
Metaverse was launched in 2017 and designed to create a universe where digital assets and digital identities interact. Metaverse also uses a POW algorithm and is best mined using pools. This way, miners can combine their computational power and share the profits.
Litecoin (LTC)
Block time: 2.5 min
Best hardware to use: ASIC, GPU
Litecoin was designed to be a cheaper and faster version of Bitcoin. Litecoin uses a POW function called Scrypt, a secure alternative to Bitcoin’s SHA-256. It is not complex, uses less energy, requires lower fees, and is four times faster. Mining Litecoin can be highly rewarding but requires expensive hardware.
Monacoin (MONA)
Block time: 15 minutes
Best hardware to use: GPU
Monacoin is a Japanese cryptocurrency designed to maintain price stability during hard times. It is a widely accepted payment method approved by Japan’s Financial Services Agency and supported by many exchanges.
As a Litecoin fork, MONA is one of the easiest coins to mine because it is lesser known. This ASIC-resistant crypto uses POW and all you need is a secure hardware wallet and a powerful device that can handle the mining process.
Haven Protocol (XHV)
Block time: 2 minutes
Best hardware to use: GPU, CPU
Launched in April 2018, Haven Protocol is a decentralized and untraceable cryptocurrency that uses a custom algorithm called CryptoNight-Haven which can be used in ordinary CPUs and GPUs. As a POW, Haven uses the same emission schedule as Monero. Haven Protocol is ASIC resistant and is best mined within a pool.
Vertcoin (VTC)
Block time: 2.5 minutes
Best hardware to use: GPU
Vertcoin is a cryptocurrency launched in 2014 that was the first to lock in and activate SegWit. With a total supply of 84,000,000 coins, VTC is a wonderful currency to start mining since it employs Verthash -Vertcoin’s mining algorithm, which is comparable to Ethereum’s Ethash (Verthash). Its developers made it ASIC-resistant to maximize decentralization but miners can use CPUs and GPUs with the latter being better.
Bitcoin Gold (BTG)
Block time: 10 minutes
Best hardware to use: GPU
Bitcoin Gold is a hard fork of Bitcoin’s code that broke off from Bitcoin in 2017. It is a great option for beginners and uses POW Equihash or Zhash algorithms that are ASIC and FPGA resistant. BTC mining can be done solo or within a pool, and can be profitable if enough blocks are mined.
Dogecoin (DOGE)
Block time: 1 minute
Best hardware to use: ASIC
Dogecoin is one of the easiest cryptos to mine. Years ago, a miner only needed GPU to mine the coin but as the hash rate and network grew, the chances of finding a block with a GPU became near impossible.
Mining pools are the most used method using Scrypt and ASIC miners built for POW cryptos. Dogecoin mining can be very profitable if you find the right pool and have the right equipment.
RavenCoin (RVN)
Block time: 1 minute
Best hardware to use: GPU
Ravencoin (RVN) was launched in 2018 as an open-source network that allows instant transactions and was built as an alternative to blockchains like Ethereum. The platform uses KAWPOW, an algorithm that is ASIC resistant and works well with graphics cards.
ZCash (ZEC)
Block time: 1.25 minutes
Best hardware to use: ASIC
Zcash is a cryptocurrency created using Bitcoin as its base that uses encryption technology to shield a user’s assets. The crypto is available in major exchanges increasing its popularity. Before 2018 GPU mining was profitable for ZCash mining but now, a miner earns roughly .03 ZEC per block mined using ASIC hardware.
DigiByte (DGB)
Block time: 1.25 min
Best hardware to use: ASIC, GPU, CPU
DigiByte (DGB) is a crypto coin that offers users high levels of security and speedy transactions that are 40 times faster than Bitcoin’s. DGB is easy for beginners as it supports multiple algorithms to process transactions on the network.
Aeternity (AE)
Block time: 3 min
Best hardware to use: GPU
Aeternity, established in 2017, concentrates on scalable smart contracts and decentralized applications (dApps). This open-source platform is considered one of the more rewarding coins for mining. It employs a combination of Proof of Work (PoW) and Proof of Stake (PoS) algorithms, integrating CuckooCycle hashing. This unique approach allows miners to simultaneously create blocks and validate transactions within the Aeternity network.
Final Thoughts
Mining is critical to the Bitcoin ecosystem because it validates transactions and secures networks. Cryptocurrencies have been aggressively tackling different mining difficulties, including energy consumption, scalability, and environmental effects. Cryptocurrencies are always working to make mining more efficient, sustainable, and adaptive to the ecosystem’s shifting demands through innovations like alternate consensus processes and continuous technical improvements.
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