Monero became the best-performing cryptocurrency of 2016 as the value of Monero escalated up to 2,760%. Today, Monero is about $12 worth that is comparable with its worth at 50 cents during the year’s beginning. And the collective value of all Monero is getting close to $165 million.
What is Monero?
As an open source of cryptocurrency, Monero (XMR) was launched in April of 2014. Unlike the other cryptocurrencies Bitcoin’s, Monero is focused on decentralization, emphasizing privacy and scalability. I is based on protocol CryptoNote possessing significant differences in algorithmic that blockchain obfuscation. From the start, it was accepted warmly by the general public. Later Monero underwent excessive growth in market; from a capitalization of US$5M it shoots up to US$185M. At then of summer in 2016, transaction volume likewise, escalated due in part to a major darknet market AlphaBay.
Monero’s main features
- Monero uses dual-key
The public address of a Monero user is not linked to these one used by addresses for payments. The address is used merely to generate a new address for each receiving payment.
- Ring Signatures
Ring signatures are utilized to hide the transaction origin. An onlooker sees a number of possible origins of a payment not the one true origin.
- Ring Confidential Transactions
The basic idea of the Blockstream’s confidential transaction is to camouflage the amounts involved in transactions. The transaction inputs of Monero are divided into common denominations to avoid this issue.
- Use of i2p
Similar to Tor, I2p is an anonymizing network. Each time, a node is informed of a new transaction, it is only that node that knows the identity of the12p address the transaction came from.
Before mining, consider these things
- Do you have the technical skills to mine?
- How much do you pay for your power? If the cost of your power is $0.06 / kWh or less, then do not be serious about mining.
- Are you having a consistent work flow? You have to maintain the same set-up to replicate several times that will reduce on individual tweaking.
- Are you mining only Bitcoin or the coin in a bubble? Can endure a drop of price like that for years?
- Can you resell your equipment if Bitcoin offers $0? It is unlikely you should select to mine with ASICS unless you have 100% free power.
- Can you stand a period of 3 years without an ROI? In crypto, 6 months is like forever but you can expect very large gains typically over the years.
- Can you afford to lose 100% of your investment and your time?
Step # 1 – First of all, you need register on MinerGate. If you have no account, create one here.
Step #2 – Now you have easy-to-use GUI miner to download. GUI has a capable nifty interface and you not are confused with the many commands you need to enter, as a console one. Go here for the version suitable for your system.
Step # 3 – Download and install the miner. After installation process is done, you need to log using the credentials to register. This program called Smart miner and can be found here. This useful feature allows you to look for and start mining the profitable coin for a given moment time.
Step # 4 –Proceed to the Miner tab, it is located right beside the next Smart miner. Here you will see the list of all kinds of available currencies. If you are in this post, your interest will probably focus on Monero. To hide a coin, press the crossed eye icon.
Step # 5 – Your first mine from Monero is only one click away! Now Press Start mining in the column of CPU or GPU if both are supported.
Step # 6 – Set the core number you wants to use or what you want from the GPU intensity. Note that pressing all the cores will not guarantee the best profitability. You can still choose the right number of cores by:
- In the corresponding tab, perform a Benchmark.
- Divide into 2 the total quantity of L3 cache you have.
- The closest you will have of the whole number will be the ideal amount of cores to set
Pooled Mining versus Solo Mining
In pooled mining, the clients pool all of the resources to generate the solution of a given block. As the pool solves a block, the block’s 25 BTC solution generated by that block is split and divided between the all the pools participants.
In solo mining, only a single miner performs the operations alone without anyone joining a pool. So all mined blocks are generated to the miner’s credit.
Pros & Cons
You can see both sides of the coin. What are good or bad for pooled mining and what are good and bad for solo mining. In the end, the choice is yours.
Pool Mining Pros
- Income generated is steadier
- A 1-2% higher income is generated due to long polling provided by the pools
Pool Mining Cons
- Suffers interruptions due to outages at the pool provider. Pools are subject to DOS attacks and have other downtimes
- A smaller income is generated as charges have to be paid fees in transaction are not cashed out
- Are pools fees considered as zero; none of the pools are cashing out any transaction fees
- Parts of attack scenarios are in the pool
Solo Mining Pros
- Less likely to undergo outages due to higher uptime.
- No fees are incur.
Solo Mining Cons
- Tends to generate more erratic income.
- Waste of time due to only supporting getwork pull.
Benefits of Monero
- As an open source cryptocurrency, Monero is focused towards being MORE private compared with Bitcoin.
- Due to its reputation of being more private, users are moving into Monero.
- CryptoNote as its based is different and much better than the protocol type used by Bitcoin.
- Security and privacy is main concerned. All transactions cannot be traced or linked to the user.
- So nobody is able to look at the blockchain and track your transactions.
- Users found that Monero using the “darkweb” is a much better option compared to Bitcoin because it is top on privacy.
- Note that the price of Monero price is quickly ascending