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How to Start Mining Ethereum (or Any Other Cryptocurrency)

What you need to know, a primer on starting your path to becoming a crypto mogul.
Image Credit: Shutterstock/Morrowind

Part 1: Mining Basics

What you need to know, a primer on starting your path to being a crypto mogul.


Cryptocurrency coin mining has been around for over 10 years, with Bitcoin being the most recognizable. The basic principle is that a user runs software, called a miner, which performs mathematical calculations in order to try and “solve” a block. When a miner solves the block, they claim the rewards, which are the coins.  The coins are minted onto the blockchain and broadcast to “nodes” that act as validators and accept the transaction and associate them with the miner(s) address on the blockchain. Sounds simple so far, right? 

Types of mining

Mining can be done on three main types of hardware, the first being CPU mining. Like it sounds, CPU mining involves using your PC’s processor in order to perform the mathematical calculations. Personally, my recommendation would be to forgo CPU mining as it is not super profitable and could have some negative long-term consequences on stressing your PC. The most common CPU mining crypto would be Monero. The second type is ASIC, which is basically a purpose-built machine created solely for the purpose of mining. Bitcoin is mined this way as the speed and complexity of the mathematical equation needed to solve a block is ill suited to CPU and GPU mining. ASICs are generally quite expensive and have a limited lifetime before the complexity of the coin increases and slows them down the point of consuming more electricity than they generate in coin revenue. The last and currently the most popular form for home miners would be GPU mining. Ethereum is currently the most popular coin being mined by GPU miners, and can be profitable. GPU mining involves putting your graphics card to work, and can be done simply and effectively with just a few steps.

How can I get started?


The easiest answer would be an all-in-one solution that streamlines and unifies all the components needed for mining. Those components and steps include setting up a wallet to “hold” the cryptocurrency, obtaining and configuring mining software that harnesses your GPU and optionally CPU (see above for my advice, which would be to NOT CPU mine), and placing your machine in a “pool” with other miners in order to increase the collective rate at which you solve a block.

Option 1: Nicehash

Nicehash.com is the most popular and easiest on-ramp to mining for most users. It does all the above steps, has free transfers to Coinbase, which is a popular cryptocurrency exchange (think NASDAQ or DOW for coins), and has the distinction of paying the user in Bitcoin, even if they are mining another coin such as Ethereum. These two qualities – free transfer to Coinbase and paying in Bitcoin – are done in exchange for a slightly lower rewards rate than otherwise mining coins directly but offer significant ease of entry into the mining world and are a great way for beginners to get started with minimal effort.

rmceHasH 
Mining 
Hash Power Buying v 
Excha nge 
Help 
Blog 
LOGIN 
GET STARTED 
Want to get the best mining optimization With just one dick? Use OPTIMIZE button with NiceHash QuickMiner! Watch the video here' 
NiceHash Miner 
Most profitable and easy to use mining software! 
Connect your GPU/CPU and start earning Bitcoins. 
CHECK YOUR PROFITS 
TRY MINING NOW 
Solutions for professional miners. Learn more 
Berv:hmark 
1 
Plugins 
Mining 
0.0191616 
O 
0,0191616 
How TO START MININC 
Complete Video Goide 
4 
NiceHash Exchange 
Trade more than 50 cryptocurrencies! 
Buying Hash Power 
Most advanced hash-power marketplace!

(Figure 1 – Nicehash landing page)

*Note – Nicehash has been engaged in some unpopular behavior lately with casting aspersions at other coin mining software – Phoenix Miner – and suggesting users not trust it. I am aware of the imbroglio and recommend you read up on the topic (“nicehash phoenix miner controversy” is a good search string) and draw your own conclusions regarding whether Nicehash is a company that you would support. It would be silly not to mention them as the easiest option in any mining article, irrespective of this latest incident. 

Option 2: MPH does NOT just stand for miles per hour.

Slightly more complex would be to create an account on Mining Pool Hub and following their setup guide. It is a bit more daunting in terms of getting everything downloaded, setup and running, but it also allows payout in Bitcoin even if you are mining Ethereum, which is the most logical coin to mine at the time of this article. You will however need to get a wallet and supply an address in order to get paid, vs Nicehash which will give you a payout address.

MINING 
POOL 
HUB 
a 
Login 
Sign up 
Auto Switches 
FAQ 
POOLS 
Auroracoin (Qubit) 
Bitcoin 
Bitcoin-Cash 
aitcoin-Gold 
D.glbyte (Groestl) 
Digiby-te (Cubit) 
Digibyte (Skein) 
Ethereum 
Ethereum-Classic 
Expanse 
Feathercoin 
Global boosty 
Groestlcoin 
Litecoin 
Monacoin 
M onero 
Myriadcoin (Groestl) 
Myriadcoin (Yescrypt) 
Ravencoin 
Startc Oin 
Vencoin 
Zcash 
Z classic 
- We will remove blockchain stopped, hardforked, or closed mining for more than a year pools. 
MUSIC, GAME, ADX, SXC, XVG, DGB(GRS), ETN, SIA, BTCP pools. DGB(GRS) balances Will be transferred to DGB(Skei11) instead (7th 
Jan) 
We are closing Zcash pool mining temporarily due to technical issue after the hardfork. Zcash hashrate is routed to mine Zencash 
instead for now 
AUTO SWITCHING PORTS PER ALGO. SORTED FOR NVIDIA GPU 
QUICK START GUIDE 
AMD NVIDIA 
Norm. Profit Total Has h 
Equihash-BTG 
Etc hash 
NeoSc rypt 
Cryptonight-Monero 
Yescrypt 
Scrypt 
Myriad-Groestl 
Equihash.ZCL 
Current Coin 
Ethereum 
Sitcom-Gold 
Vertc oin 
Feathercoin 
Digibyte-Skein 
Monero 
Myriad coin-Yesc rypt 
Zencash 
Digibyte-Oubt 
Monacoin 
Myriadcoin-Groest1 
17020 
17031 
17032 
17012 
17016 
17024 
17021 
17023 
17014 
17018 
17001 
17005 
17022 
0.06727 
004145 
002123 
0.01870 
0.01813 
0.00985 
0.00135 
0.00093 
0.00042 
0.00011 
0.00011 
0.00003 
0.00002 
1261T 
218.44K 
530.876 
920.60M 
79.37M 
196.74G 
15.48M 
7.15M 
264T 
196.41G 
41.36G 
990.54G 
1.68T 
72.05G 
No Norm. 
Coins 
3 
2 
3. 
4. 
Sign up 
Set the coin you want to get at Auto Exchange 
(Optional) 
Start mining 
Sirnple coin nning (Port 20XXX) 
Select any coin and check its port number Just 
Start mining with appropriate miner and algo right 
Algo switch mining (Port 17XXX) 
We provide auto switching port for each algo 
These ports switch coins time to time to mine the 
most profitable coin. Best for Rental, ASIC, FPGA 
Multi-algo switch mining (Port 12XXX) 
You can mine different algo cons by using Hub 
feature, or third patty mining helper programs. 
Good for GPO miners but need knowledge 
to set up and optimize 
o use rnin•ng helper program 
MultiPoolMlner (Thanks to aaronsace) 
Benchmark GPO performance, auto 
download miner programs and multi algo 
switch based on profitability 
Awesome Miner (Thanks to awesorneminer) 
Profit switching, farm 
minerstat 
Profit switch and management for OPUS and 
Learn more about optimization. 
Setting staff difficulty, Balkal mner settlngs, Forum 
pool fee is 0.9%. Lower than any other pools

(Figure 2 – Mining Pool Hub landing page)

What else do I need to do?

Nothing! You’ve got Nicehash up and running, Bitcoin is starting to trickle into your wallet, you’ve now officially a miner. Eventually you will want to move your money out of Nicehash and into either an exchange (remember Coinbase above?) or a wallet that you control.  It is a good practice to periodically move some of your money off the exchange, to a place that is under your control. Be mindful of transaction and transfer fees imposed by the exchange. I personally like Exodus for a software wallet, and Trezor if you are interested in complementing it with a hardware-based solution for securing your coins.  

Stay tuned for Part: 2 where we will go more in depth on GPU configurations, RTX overclocking, and using third party mining apps to cover different Ethereum mining pools.

Crypto Mining Tax Information

Nicehash (all in one mining setup)

Mining Pool Hub (auto switching pool)

Coinbase (Crypto Currency Exchange)

Exodus (Software Crypto Wallet)

Trezor (Hardware Crypto Wallet)

This article was written by “Cornfather” on the ATR Stonks Discord, and does not represent the views of NerdSpeak.net, or NerdSpeak LLC, and should only be used for informational guidelines. Please consult your tax CPA before engaging in any transaction.

FTC Disclosure: The links above may contain affiliate links where NerdSpeak LLC may earn a commission.

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