Mining provides a decentralized way to issue cryptocurrency while creating a solid ground for more crypto enthusiasts to mine. It ensures that new coins are produced every 10 minutes – 10 minutes is the time basically required to mine a single BTC block. Following are the things you may require before you embark on your crypto mining journey so that you will get the most profitable cryptocurrencies to mine in 2021:
- A coin wallet that will be password-protected storage for your earnings and keeps a network-wide ledger of transactions.
- A free mining software package
- Membership in an online mining pool – a community of miners who combine their computers to increase profitability and income stability.
- Membership at an online currency exchange to exchange your mined coins for cash or Bitcoin
- A desktop or custom-built computer designed for mining.
- An Nvidia graphics processing unit (GPU) or a mining ASIC chip.
As now you know what all is required to mine a cryptocurrency, let’s explore the best coin to mine in 2021:
#1 Bitcoin (BTC)
Bitcoin is the world’s first decentralized cryptocurrency which initially reared its shiny head into digital markets in 2009. Though it is the first cryptocurrency in the world, lots of crypto fans consider it as most profitable cryptocurrencies to mine in 2021. While mining Bitcoin, a peer-to-peer computer is used to secure and verify bitcoin transactions on a decentralized network.
Bitcoin is going to undergo its third halving process in May 2020 where the block rewards for the miners are going to reduce from 12.5 BTC to 6.25 BTC. Back In 2012 and 2016, Bitcoin underwent “halving,” where the block reward reduced from 50 BTC to 25 BTC in the 1st halving method and 25 BTC to 12.5 BTC in the second halving process.
Read more: Know more about the BTC Halving 2020
#2 Litecoin (LTC)
Litecoin (LTC) is an open-source software project released under the MIT/X11 license. This peer-to-peer cryptocurrency is currently trading at US$ 44 and ranks as the world’s fourth-largest cryptocurrency in terms of market capitalization. Contrasted with different cryptographic forms of money, Litecoin provides a superior storage capacity and its confirmation is fast as well that makes it the best cryptocurrency to mine 2021.
LTC picked up a bid near US$ 20 in December 2018 and outshined BTC’s 7 percent gain with a 41 percent rise. This strong performance of LTC comes at least five months ahead of the mining reward halving.
In August 2020, the Litecoin is going to go through its second halving process wherein the miner reward will be reduced to half, i.e, from 25 LTC to 12.5 LTC. LTC halving process took place once before this, in 2012 where the block reward reduced from 50 LTC to 25 LTC.
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Convert your LTC to INR directly here.
#3 Ravencoin (RVN)
Launched on January 3rd, 2018, Ravencoin is built on a fork of the Bitcoin code. It is basically an open source ‘peer-to-peer’ blockchain designed to handle the efficient creation and transfer of assets from one party to another. Ravencoin is an American-made blockchain that focuses on asset transfers based on Bitcoin and Ethereum.
Ravencoin has recently gained popularity, and the credit goes to the X16R algorithm that it uses for proof-of-work mining.
#4 Grin (GRIN)
Grin is the latest treasure of cryptocurrency world as well as best cryptocurrency to mine 2021. This new privacy coin with unlimited supply (including circulating supply of 4.39 Million coins) has surprisingly received positive response hostile bitcoin maximalists.
Grin is an open-source project that focuses on privacy, scalability, and fungibility, and trades actively on Hotbit crypto exchange. It is now the first cryptocurrency to leverage mimblewimble privacy technology.
#5 Horizen (ZEN)
Horizen, formally ZenCash is a privacy-focused blockchain platform for communication, transactions, and publishing. It was launched on 23 May 2017 as a fork of Zclassic without any Initial Coin Offering (ICO). Now known as Horizen, it is one the best cryptocurrency to mine with CPU that uses a secure node system to relay data via connecting nodes, and e core protocol help deliver secure messages using the ZenChat service. It has been listed by many crypto exchanges as the best coin to mine in 2021.
#6 AEON (AEON)
A mobile-friendly, lightweight and the best cryptocurrency to mine with CPU, AEON (Anonymous Electronic On-line Coin) focuses on privacy and anonymity for the end-user. Aims to be Monero-lite, Aeon utilizes the CryptoNote protocol and is build upon Monero’s CryptoNote hash including features such as features – ring signatures, one-time keys, blockchain analysis resistance. Thanks to its Cryptonite-light PoW, it is the most CPU-friendly coin – allows faster verification of the blockchain with a block time of 4 minutes.
#7 Electroneum (ETN)
ETN is the fastest and the best cryptocurrency to mine with GPU. It is the first KYC compliant cryptocurrency of the world. With an aim to hit the jackpot in mobile games and online gambling market, ETN is basically built on its own chain of blocks that comes from bitcoin. A mobile cryptocurrency that has been designed for mass adoption, Electroneum has its own app, wallet and mobile miner. It focuses more on speeding up the microtransactions, like purchasing mobile games, making payments for apps, and sending money to friends.
#8 Feathercoin (FTC)
Feathercoin has been launched as an alternative coin for Bitcoin. Introduced in 2013 with a small trading volume, Feathercoin is an upgraded and customized version of Bitcoin. Initially, forked from the Litecoin source code, FTC uses NeoScrypt hashing algorithm, and GPU’s can help to extract it. It supports various desktop wallets, mobile wallets, and block explorers. Feathercoin is perfect for in-store payments, thanks to its low fees and fast settlement. The FTC wallet supports Stealth Addresses so you can make completely anonymous transactions.
#9 Monero (XMR)
Recognized as the most advanced privacy coin, Monero is based on a proof-of-work hashing algorithm known as CryptoNight. You can easily mine Monero on your PC just by downloading and installing Monero mining software that’s why it is considered as one of the best cryptocurrency to mine with GPU as compared to others. It uses a Proof of Work mechanism to issue new coins and reward miners to guard the network and validate transactions. Its design is resistant to application-specific integrated circuit (ASIC) mining, so one can also mine other cryptocurrencies such as Bitcoin.
#10 Vertcoin (VTC)
A relatively new altcoin, Vertcoin uses a Lyra2RE proof-of-work algorithm to validate transactions. Designed to be ASIC resistant, it uses a Vertcoin team issued one-click miner. It is compatible with graphical user interface (GUI) miner that simplifies mining for both CPU and GPU users. It supports AMD and NVIDIA graphics cards. An open source platform that offers 2.5-minute block time, Vertcoin is a Scrypt-N coin that offers comparatively low hash rates. It is the best cryptocurrency to mine in 2021.
And the list doesn’t end here, there are several best coin to mine in 2021. Many industry websites compare various cryptocurrencies mining profitability to Bitcoin to evaluate the net worth of mining cryptocurrency. However, mining should be considered as a secondary activity while trading crypto coins as it can gradually season funds into your wallet and give you some extra money. It is like ‘gathering gold dust’ rather than collecting gold nuggets.
[su_note] KuberVerse is an educational initiative. Anything expressed here directly or indirectly is not investment advice. And we ask you to do your own research before investing. [/su_note]
Disclaimer : Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. The information provided in this post is not to be considered as investment/financial advice from CoinSwitch. Any action taken upon the information shall be at user's own risk.
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