Easy to mine cryptocurrency
By now you may well think that I am against crypto-currencies, yet the truth is that I want very much to see this digital form of decentralized currency to finally be stabilized, become fully reliable and widely used, especially in regions that really need a parallel currency fact that may result in a fairer market. Crypto-currencies have offered a lot so far in the math and economic community. Individuals had the chance to apply economic formulas and over-complicated math equations never adopted by the centralized monetary systems, and see how these formulas respond to the needs of a market. Yet, 6 years after the release of the BitCoin, this economic system, unfortunately, is not ‘open for all’. Crypto-currencies have become in a sense, centralized and elitist.
The core concept of the decentralized digital currencies was to bypass the centralized control of the Banking system and Governments and create a truly p2p free market, yet their web is now overflowing with forex-type services which specialize on decentralized digital currencies where investors -who can afford it- may speculate on their value and make profits in USD or EUR. Moreover, the Wall Street has opened its doors to BitCoin and now practically everyone is seeking for the goose that lays golden eggs. Developers, miners and investors in a very opportunist manner aim at converting their clone digital coins into BitCoin and eventually USD, EUR, even gold, idea that was aiming for a gold standard but which failed.
I still recall the reactions of government officials a few years back, especially when crypto-currencies were linked to the Deep web and cases such as the ‘Silk Road’ project. Apparently the system can absorb anything, don’t you think? As time passes on, digital currencies develop more sophisticated cryptographic protocol that requires multiple times increased computing power comparing to 2009 when the project was first initiated. With the stakes and requirements being so high, it is reasonable to question if it is possible for anyone to make any profit out of this brave new world that unfolds before us.
The truth is no. An average PC user, an individual, who cannot afford losing money and invest in an asset that requires starting capital in Dollars or Euro, which will allow him or her to access the necessary hardware and have some chances of success, has these days no realistic chances of success. What is guaranteed at present time is most likely a burned out CPU or GPU and an electricity bill with a figure out of the ordinary. The very promising idea of decentralized digital currencies at this point of time and as things stand have failed their primary goal. They have become centralized in the sense that BitCoin develops into a natural monopoly and are no long ‘open to all’ as investing and mining have become excessively expensive, making the ecosystem practically Elitist.
The following list of the 6 easiest coins to mine on a normal computer should not be considered as an investment plan and in any case I do not suggest you to invest in crypto-currencies. Try hedge funds, they come with better success rate. The following list is based purely on technical requirements and values (hash rate, difficulty and exchange rates as well as fees for mining pools, mining pools efficiency and electricity consumption) that a miner should have in mind before proceeding with mining a crypto-currency. Mind that the profit ratio from generating coins is a changeable value and that no gains are guaranteed. No matter what your calculations are, as time passes on the more difficult mining becomes, the more computing power you need and the more valuable the coin is, provided that there is demand for the coin. Therefore, you realize that in the end, since every coin is a clone, the value of any encrypted digital currency depends on the very essence of money itself. Make it a popular mean of exchange, and that requires efficient marketing, a sector in which most developers lack.
