CPU Mining in DetailsColin Baseman
Bit of Theory
Before starting mining or calculating the potential profit, let's figure out how much the device itself is designed for this.
We will say right away that this type of mining will generate revenue if cryptocurrencies specially optimized for mining on the processor are your goal. If you want to hunt for other coins - the end result can be quite modest.
Mining on the processor is suitable for mining small altcoins. The fact is that the use of this component is hundreds of times inferior in efficiency to mining on video cards or ASIC. So, it’s bad for mining very popular tokens like bitcoin.
What types of mining on the processor exist?
- Solo Mining. The bottom line is simple - you use only your computing power, without involving “colleagues” in the mining process.
- Mining through the pool. A pool is a server that allows miners to combine efforts to mine cryptocurrencies, together using the capabilities of their processors. Your reward, in this case, will be equivalent to a contribution to the production process.
- Extraction through the multipool. It is similar to the option mentioned in the second paragraph, but has its own differences, for example miners have the ability to switch between currencies and get several coins at once.
As we said above, the chosen method of cryptocurrency mining does a good job of mining altcoins. Therefore, one must proceed from this.
Algorithms that the processor can decrypt:
- Ethash. (Ethereum, Ethereum Classic, Ubiq)
- X11. (Dash, Pura)
- SHA-256 (Bitcoin, Bitcoin Cash, Namecoin, Peercoin, Syscoin)
- Scrypt (Litecoin, Dogecoin)
Having studied the theory, having decided on the most successful mining method for you and choosing cryptocurrencies, we turn to the main thing. How to approach the choice of a processor to get maximum profit? Two indicators must be taken into account, which will be the main ones:
- clock frequency
- number of cores
The logic is simple: the more powerful the processor, the higher the hashrate. Consequently, the productivity of the process will be high, and with it the income from mining.
We will not dwell on specific models, since there are a lot of them, and it is almost impossible to single out the best. We advise you to proceed from the power parameters indicated by us and give preference to trusted manufacturers known throughout the world - the best of them are AMD and Intel.
Choosing the software for mining
The last and no less important stage for cryptocurrency mining, which is necessary for mining, is the choice of a program. The main objective of such a program is computing to get rewards for developing blocks.
Programs for mining on the processor are designed for the extraction of specific cryptocurrencies. Downloading them is not difficult - use, for example, the Github website.
How to calculate profitability?
To understand what profit you can count on, you need to consider many factors:
- The performance of your processor. The higher it is, the more cryptocurrencies you can get.
- Electricity prices. Mining requires high electricity costs. This point should not be neglected, no matter how basic it may seem to you. Do not underestimate consumption otherwise you may run into giant bills.
- CPU cost. Of course, prices may differ in different countries, but the essence remains the same - equipment costs must be budgeted.
- The price of the cryptocurrency you want to mine and the complexity of its mining.
Summarizing, it can be noted that mining on the processor is a good way to get coins with minimal starting investments. Of course, it can not be compared in efficiency with the extraction of tokens on special devices. But, approaching the issue wisely, you can still get a tangible profit.
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