I have only been working with crypto for a month now. So, I have a lot of questions.
This one is: What is the incentive to mine Litecoin? With Cloud Mining, and the cut-down of contracts to one or two years, calculations show that you will break even, at best.
With ASIC miners like Antminer, it sounds like you are paying a lot of money just to get the miner. Then, you are hoping it will work as it is supposed to. If it doesn’t, it sounds like there is little if any Technical Support. Add to that the cost of electricity. It sounds like you are probably just going to break even there too.
So, what is the incentive to keep up the Litecoin blockchain if there is little hope of profitability? Since lower hash-level miners aren’t being given any incentive, is the blockchain being supported mainly by large-scale miners and institutions?
The same seems to follow for other alt coins. Monero, etc. all seem to be break-even, with little incentive to mine for the lower hash-level miner.
Thank you for your responses and insights on this! I appreciate them.
If you buy a new miner like the l3 or a a4 dominator it is more than profitable…
I have 50 mh/s I started mining in January…coin was $4…i mined 25 coins in 3 months…now price is $50+ each…
Now do your math…the price is going up my friend and way way higher than you might think…u just gotta buy and wait and buy some more…and mine and buy some more…
Now my 50mh/s only makes me .025ltc per day but I have already made my money back, profit and started a new farm from what it makes…now they just run and I get internet paid for by my miner…
The beautiful thing about mining Litecoin is the variable difficulty
So, the profitability of Litecoin mining is all about the price of Litecoin going up. I was looking at it from the perspective of the raw product you’re producing, compared to the cost of producing it.
Are you using an L3 or L3+? If so, are the miners reliable? I have heard of issues with them.
Otherwise, what do you think about Cloud Mining? Calculation wise, you can see what I was talking about. And, if you think Cloud Mining would be good, do you have any recommendations as to who I should use?
I am set up to do Bitcoin mining. I am in the queue for 5 TH/s at Genesis. Genesis is currently out of Litecoin mining, and the Bitcoin mining sign ups went quickly! But, I would like to do Litecoin too, and appreciate your help and insights on this!
Most of us mine to secure the network and for future profit because it only matters how much the coin is worth when you sell it…until then its just a digital coin
I mine at a loss because I am securing the network where I store the value of my money…and I just like Litecoin and Bitcoin…regardless of value
genesis is cool and all but they lack transparency desperately…far as I know they took my $30 and bought $30 worth of bitcoin and set it to pay out at .00015 once a month…they don’t show shares accepted by the pool or blocks being found…when a block is found is the only way to get paid which is why mining is a lottery and solo mining is based on luck with out major tweaking or ridiculous hashing power…this is why your luck can increase the more hashing power you have because you can make that many more guesses per second towards the block to be mined
crypto currency is not a “get Rich Quick Scheme”…it is a long term investment and prices are based on trading only…mining and trading have nothing to do with one another what so ever other than incentive for “immediately profitable” mining…which is why you see a lot of pools the “mine the most profitable coin at the time”…which actually makes less money because the prices fluctuate so damn much its like you never get paid on those pools…
Oh yeah! I have been investing in the stock and bond markets for two decades. And, I am definitely buy and hold. If I could make 20% a year on crypto, I would be satisfied with my investment.
I am actually looking at solar power. I live in the American South, and we get some strong sun. Again, it is an investment where you are putting down a fair amount of money at first. Then, you wait as the slow return of investment happens over time.
With solar, I could go with an Antminer, and have the electricity come from my panels, which would add value to my getting solar in the first place.
It does sound like all Cloud Miners have their issues. And, I wish that weren’t the case. Perhaps they think they don’t have to make the effort, because people will buy anyway? Oh well, I went in with 5 TH/s, and got a 3% discount. So, I can at least see how it goes for me!
It sounds like you have an L3, L3+ or A4. What have been your experiences with it? Do you consider it well built and reliable? It would be definitely a much larger investment, so I would want to know better what I am getting into before I get into it.
Thank you again for your help!
I personally have zeus miners and gridseeds I got off ebay…I am saving for an a4 dominator or 2 a2 terminators since the prices are getting more reasonable…you got the idea with the solar powered miner…a few guys have done that…I read an article today about a wind turbine that powers a computer that mines and donates the profits to wind power research…there is also a company who made a water heater bitcoin miner…it uses the heat from the miner to heat the water…so yeah…
the reliability of miners seems to be wonderful assuming a used one was not over clocked too much oand was run in a decent environment…I grew up repairing junk computers though…
I tend to stick with the brand names anyway that have good reviews…if I do a search and see a lot of complaints about not getting it to connect or constantly cutting out then i try and stay away…recently bought a block erupter cube only to find out that someone replaced the fan with a crappy one so I have been through 2 more to find out I need a badass fan that runs 2500 rpm…not available locally…go figure
anyway…the idea is to do your research on your first miner…and if your still skeptical…buy a small one like a gridseed and just watch it pay you…
my 750ti mined .01LTC in 2 weeks part time 2 years ago and I was hooked from that point
you’ll make way more than 20% return in crypto if you trade right…litecoin went up over 10 fold and topped out the other day at $90 and was $4 when I started mining…
every coin went up at least 10 fold this year…
and there was a 20% gain in all major coins today alone if you bought yesterday
One can make between 20 and 50% gains weekly trading crypto if they stick to thier trading strategy…
mining isn’t the only way to profit from crypto…that’s for sure
however I am the type who does not count profit in dollars as I do not hold dollars if I can help it now that I found crypto…I only sell when I need dollars…so I technically am broke all the time but I some how pay my bills…lol
and again I only count my dollars when I need to sell a coin…helps me to not panic sell thinking I am loosing everything because reality is I still have the coins I initially bought now I just need to buy more to make more of a profit at cash out time…
lots of discipline with trading as well as emotional roller coasters and arguments with myself
Super cool! Thank you. I do see the Gridseeds on ebay all the time. I guess they went out of business, just like most mining hardware makers. It sounds like Bitmain is the only larger-scale mining hardware company that is still going.
I am looking to build a new computer when Black Friday comes around in two months. I was thinking of getting a fast processor and a fast GPU so I can play with mining on there.
If you need a good fan, http://www.newegg.com is my favorite place for computer hardware. The reviewers there have good technical knowledge, and you can be sure to get what you are looking for. So, a fan that’s efficient and quiet can be found with a good search on that site.
When it comes to trading, I have different crypto, and plan on holding, unless I want to make purchases with it. I am hoping to add crypto through mining and see how it goes down the line.
I use the g-blade girdseeds just because they are a better deal than the 5 chip versions…however the 5 chip versions dual mine bitcoin and litecoin…where my g-blades and my Usb Dual miner just mine litecoin…nice thing about gridseeds is that pretty much every piece of minig software out there has support for a giridseed and seems to be the most efficient option for litecoin besides bitmain and innsilicon
if your gonna build a mining rig…look at mining Monero…its the only CPU coins worth a damn…my 6 core cpu makes more than my 750ti gpu…I am building a 6 GPU mining rig currently specifically for monero and Zcash mining
…I found the fan I need and newegg is the only ones who can order the exact fan they used when they built this miner…that wattage differences makes it cut off after a while because the rpms arent high enough…any way…good luck
check this guide out…you can mine with anything at this pool…I currently have 4 large asics…2 usb asics…1gpu, 1 cpu (desktop), 2 laptop cpu’s and 2 cell phones mining litecoin at the same time at this pool…
I earned my first payout from 1 gpu and cpu on a desktop and 2 old cpus I had sitting around and 2 cell cell phones…only .01LTC but it was just to prove to myself that I could actually make money with this…