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The relevance of mining in 2019 – how to choose a cryptocurrency and what should be considered?

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The double blow, which consisted in falling prices and the ever-increasing complexity of mining, in 2018 became a complete knockout for Bitcoin miners. In this regard, let us consider whether to continue to mine bitcoin in 2019, and which altcoins can be a good option for the next year.

For bitcoin mining in 2019, only cloud mining is practically the only profitable solution, since it minimizes all the costs associated with the placement, configuration, maintenance, maintenance and monitoring of equipment.

At the same time, looking ahead, we note that Bitcoin mining (BTC) is the most reliable investment in our opinion, since there are no assets equal to BTC in importance and reliability in the cryptocurrency market.

Choosing a cryptocurrency for mining

Due to the decline in mining volumes, cryptocurrency is quite difficult to choose a new coin, given that price forecasts change almost every day. It is necessary to conduct a deep fundamental analysis, namely, to study the technology of the coin, the development team, etc.

This article lists the main factors that are important to consider when mining coins:

  • mining difficulty ;
  • recent price fluctuations;
  • price forecasts;
  • market capitalization;
  • number of use cases;
  • developer experience;
  • presence in social networks.

And do not forget about the "red flags", seeing that, you must abandon the production:

  • the project is conducting an ICO;
  • there is a masternod sale;
  • premining;
  • imitation as in the case of Ravecoin, which contain nothing new.

Determine the profitability of mining

After you have settled on a coin that satisfies all the parameters listed above, you must make sure that the mining will provide a profit (quite a difficult task, given the current state of mining cryptocurrency).

There are many factors that you have to take into account, for example, electricity costs, mining complexity, etc. We will not list all these items, as there are many calculators for a comprehensive calculation of the production of cryptocurrency .

And one more important point that you need to keep in mind is that these parameters constantly fluctuate, which makes the mining industry unpredictable.

Case in point: at the beginning of the year, the mining giant Bitmain was forced to lay off half of its employees and experienced several serious internal conflicts. So far, the achievement of the previous sustainable situation is not necessary.

Basic cryptocurrency for 2019

Let's start with the No. 1 cryptocurrency – Bitcoin , the mining of which turned into a multi-billion dollar business. In December of this year, the complexity of mining BTC decreased by 15% due to the fact that small miners massively left the market. Their place was taken by large mining farms, and they opened with more high-tech equipment than the previous participants in crypto-mining.

And this is not surprising, as it was recently estimated that mining Bitcoin is still 50 times more profitable than mining one of its forks Bitcoin SV.

The same applies to other currencies of Ethereum , which throughout the year 2018 was faced with bearish trends. Miners who have access to low electricity prices still remain in business, earning a certain profit.

A positive moment was the fact that due to an unexpected increase in prices in April, BTC miners managed to earn $ 305 million (which is 30% more compared to the previous month). It is noteworthy that in April, the commission for Bitcoin transactions jumped by as much as 250%, putting an additional $ 14 million in the miners' pockets.

According to Cryptocomes, China is currently considering banning mining of bitcoins due to its alleged negative impact on the environment. Such a turn of 180 ° is unlikely, but if it does happen, it can really be a turning point for Bitcoin, since a third of the miners will be ousted from the market and miners from other countries will get a significant profit increase.

Monero and ZCash: the best private coins

Now Monero is the 13th largest currency by market capitalization. Given the resistance to ASIC mining, this confidential cryptocurrency is especially attractive to miners. This means that you can mine Monero without buying expensive equipment, thereby breaking the Bitmain monopoly, which has already been shaken noticeably.

Bitmain developed a special miner for Monero, but the development team supplanted it with the help of a fork, which made mining ASIC ineffective.

Of course, due to the recent exodus from the market of miners, Monero's mining yields have declined, but low prices for video cards combined with low power consumption are still a good combination for mining Monero in 2019. However, despite the presence of positive price forecasts, you should not expect to receive daily profits from the sale of XMR.

Alternatively, you can consider mining another private cryptocurrency ZCash , which is responsible for more than 90% of all Equihash mining. In July 2018, ZCash hit the news headlines thanks to the outstanding mining profitability, which beat Bitcoin by 400%.

On April 24, the Zcash hash rate reached its historic maximum of 4 Gigahesh / sec, which marked a 42% increase from the beginning of 2019.

Grin is another PoW-based coin to consider when mining on a CPU (processor). Its developers have also made a choice in favor of ASIC resistance, which will be achieved with the help of hard forks held every six months.

Litecoin (LTC)

Litecoin is another original cryptocurrency that has existed since 2011. It is a good option for those who want to choose an already settled currency instead of coins without their own history.

LTC stands out due to fast transaction confirmation (block generation time is limited to ten minutes) and a more efficient storage solution.

A quick look at r / litecoinmining will show that the community is now in a bad mood and is mining for the sake of heating their home or maintaining their hobby. A recent price forecast showed that after the jump in prices in April, Litecoin is on a bullish path. In addition, it is expected that the halving Litecoin, scheduled for August 6, will be the main catalyst for growth.

Ravencoin (RVN)

This altcoin is a good solution for mining in 2019. Ravencoin was created using a fork of a bitcoin code. His mission is to efficiently create and transfer Bitcoin and Ethereum assets. Ravencoin is an open source American blockchain that has recently gained popularity due to the X16R algorithm using PoW mining .

Immediately it should be noted that the mining of RVN using ASIC will fail; developers from the first days of the creation of this altcoin announced their rejection of these devices. Mining speed can vary, therefore, mining only him, you may incur losses. That is why we recommend joining a large pool.

Bitcoin Gold (BTG)

Bitcoin Gold is a bitcoin fork, created specifically for mining on GPU (video cards) . From this point of view, Bitcoin Gold is a safer coin, as miners do not need to purchase equipment designed specifically for its mining.

Consequently, BTG miners will not have to throw out the equipment and close the business if the cryptocurrency price does not correspond to price forecasts.


We have listed some of the traditional options, but it is difficult to reduce your choice to a specific coin when you have more than 2000 options. Therefore, it is advisable to extract several coins at once in order to insure against possible losses. However, Bitcoin is definitely worth making the foundation of your cryptocurrency portfolio.

The best coins for mining on the CPU (processors)

Yes, you heard right – in 2019 mining using the CPU is still relevant. Of course, do not think that using your old laptop, you can earn at least a dollar. Below is a list of coins, the price for which one day can soar:

  • Nimiq;
  • Nerva;
  • Pascal;
  • Uplexa;
  • Blur.

You can also track new CPU coins using the site newcpucoins.com. The cryptocurrency market is still in its infancy, so there is a high probability that in the future the value of the new coin may explode (just try not to sell it prematurely).

Do I need to mine cryptocurrency in 2019?

Over the past few years, the mining of cryptocurrencies has turned into an enterprise of industrial level, so the days when it was possible to earn money with it were mostly over. In the first half of 2018, prices for cryptocurrency began to fall, and many miners were forced to leave this business.

However, in 2019 the situation changed and the mining became quite profitable again, at least if we talk about cloud mining, because it minimizes all the costs associated with the placement, configuration, maintenance, maintenance and monitoring of equipment. A detailed review of cloud mining services can be found here .

Publication date 07/26/2019
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Robert Kiyosaki: Bitcoin will be the future of finance, unlike real estate and gold

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Robert Kiyosaki, author of the best-selling book Rich Dad, Poor Dad, said real estate and gold investments cannot be the future of finance, as cryptocurrency has come into the spotlight. The entrepreneur, who several times this year called the ideal investment portfolio to invest in gold, real estate and bitcoin, now believes that only cryptocurrency will strategically win.

In an interview with Anthony Pompliano, managing partner of cryptocurrency investment company Morgan Creek Capital, Kiyosaki said that you really need to look “beyond the horizon” of the current financial situation. He admitted that it was not easy for him to understand the phenomenon of cryptocurrencies, but nevertheless he made an effort, conducted an analysis and made certain conclusions.

According to Kiyosaki, bitcoin will reach the level of 75 thousand dollars within three years.

“It is very important to understand how cryptocurrencies work, as the financial world is already starting to change. Those investors who will continue to rely on gold and real estate will find themselves outside the main changes in the sphere of global finance. ”

The entrepreneur made his forecast while on July 9 a troy ounce of gold reached almost a 9-year high (about $ 1800), if we do not take into account the accumulated inflation in the US dollar.

Meanwhile, the precious metal has not reached the historical maximum of 2011, since for this formally a troy ounce it is necessary to rise above $ 1900, but in fact – it is sure to overcome the mark of $ 2050, given the accumulated devaluation in the US currency.

Recall that entrepreneur Kim Dotkom and billionaire Mike Novogratz declared their investment preferences in the form of gold and cryptocurrencies .

Date of publication 07.15.2020
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Staking and cryptocrediting – which is more profitable than stablecoins or PoS cryptocurrencies?

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In this article, we will consider the prospects of cryptocurrency staking as a new way of passive earnings, about the differences between staking and cryptocrediting, as well as about the main platforms designed for this.

If you have not been interested in staking before, then a variety of coins and platforms that support this type of passive income can make you dizzy. And with the advent of stablecoins, the choice has become even wider. What type of coins is better in terms of profit and risk?

Cryptocurrency Staking in 2020

A year ago, cryptocurrency staking was much simpler than now. The cryptocurrency market was attended by only a few specialized platforms, a pair of popular cryptocurrencies and approximately the same rate of return.

But these times have passed: in 2020, staking has grown into a serious segment of the crypto industry for several reasons.

  • Firstly, the market now has more than 30 PoS coins that support the possibility of staking.
  • Secondly, many kriptobirzh now there own PoS-nodes – an interesting alternative to special steykingovym platforms.

Moreover, now investors are provided with staking and deposit accounts in stablecoins, which allow minimizing risk and getting profitability at the level of PoS-coins or even higher. What to choose?

To find out, you need to compare the two main options on the market (PoS coins and stablecoins), according to a number of clear criteria. However, an important reservation must first be made about the nature of staking.

Staking and cryptocrediting are not the same thing

Coins that use the Proof-of-Stake (PoS) consensus algorithm – Tezos, Cosmos, BIP, and LOOM – initially support staking. While the value of stablecoins is tied to a specific asset – for example, to the US dollar.

Stablecoins are not available for styling, but loans – coins are issued as a loan to another user who pays a deposit in response. However, for investors there is no particular practical difference between staking and lending. That is why one can hear on the cryptocurrency market, for example, about “USDC staking”.

Real ROI and Volatility

Let us compare the return on investment in PoS coins and stablecoins and how this indicator is affected by the volatility inherent in the crypto market.

  • PoS coins . Each coin has its own nominal rate of return built into the algorithm. For example, for Cosmos (ATOM) it is 8.35%. However, a really important value is the real profitability, which is calculated on the basis of price changes for any period. For example, if you invested $ 10,000 in the stake of ATOM coins on January 1 of this year, then by June 1 you would have received a nominal income of about 3.5%. Instead of 2309 coins, you would have 2390. However, over the same period of five months, the price of a coin fell by more than 30%: from $ 4.33 to $ 2.96. The cost of the steak, along with interest, would be only $ 7075, and the real ROI would drop to -30%.
  • Stablecoins . Everything is simple with them: what rate is declared, the investor receives such ROI, minus the platform commissions. On cryptocrediting platforms, the rates are quite stable and allow you to predict income: for example, if you pay 1.94% per annum for USDC deposits on Fulcrum platform, then your profit in dollar terms will also be 1.94%, unless something out of the ordinary happens the USDC coin will not lose its peg to the US dollar.

Verdict: on average, the real ROI of stablecoins is higher and more predictable, as there is almost no volatility. A PoS coin can suddenly increase in price and bring profitability of 20% or more, but it can also lose half its value.

Number of platforms available and conditions

Next, we compare the number of available platforms for staking PoS coins and stablecoins and the conditions that they offer to holders.

PoS Coins

Dozens of platforms offer staking popular coins like Tezos and Cosmos. These sites can be divided into two categories:

  • Specialized sites are Staked, Staking Lab and Dokia Capital, among others.
  • Crypto exchanges – Bitfinex, Kraken, and KuCoin are among the smaller platforms.

Of course, platform competition is good for investors, but such a wide choice also means that you have to spend more time searching for information.

Having chosen a coin, it will be necessary to study the rates of return taking into account the commission at different sites, as well as assess the risks of each of them. Moreover, commission rates on different platforms can vary greatly, which affects the investor’s income. For example, for the ATOM coin, the Binance exchange promises a yield of 6–9% per annum, while on Stakin this figure will be 9.1%, and on Gate.io – only 6.1%.

Stablecoins

This type of digital asset can be deposited on various lending platforms:

  • Centralized – BlockFi, CoinLoan, Nexo, as well as a number of exchanges – Binance , Bitfinex, Poloniex.
  • Decentralized – Compound, Nuo, dYdX, Aave and others.

It should be borne in mind that different lending platforms can offer completely different rates for the same coin. For example, deposit income in USDC ranges from 1.25% to 8.6%.

Verdict: by the number of platforms, ordinary staking coins win. However, in the case of staking or lending in stablecoins, choosing a platform is easier: you do not have to compare so many options.

Risks: interest in the project

We have already mentioned volatility as a key risk factor. When staking stablecoins, the investor receives a reward in cryptocurrency , which can often be exchanged for fiat. But staking PoS-coins can lead to losses due to volatility. Another factor by which it is worth evaluating the profitability of investing in a PoS coin is the level of interest in a particular coin.

Stablecoins have a significant advantage: they were originally created as a reliable way to store and transfer funds between participants in a transaction. In the current crisis, investor interest in stablecoins can only grow. On the other hand, each PoS coin is a cryptocurrency of some kind of blockchain project , which can both succeed and fail. If the founders do not launch the product, then the price of the token may fall.

Another risk factor is the platform on which staking takes place. Both for stablecoins and for PoS-coins, both centralized (custodial) and decentralized (non-custodian) platforms are available. A cryptocurrency exchange like Binance is a classic example of a custodial solution: you transfer coins to the exchange for storage. If she is attacked by hackers, your steak may disappear.

In the case of non-custodian platforms, the risk of theft or fraud is quite low. It doesn’t matter which asset to use when staking or depositing and where: USDC – on Compound, USDN – on Waves․Exchange, XTZ – on P2PValidator.

And vice versa: on custodian platforms, the risks are higher, both in the case of providing stablecoins on credit, and in the case of PoS-coins staking. And since the bulk of PoS staking passes through exchanges such as Bitfinex and Binance, we can conclude that, on average, the risks of owners of PoS assets are more serious.

Verdict: PoS coins are more risky, because their price is highly dependent on both interest in the blockchain project itself and market sentiment. It is safer to choose non-custodian platforms for both types of coins.

Output

Nominal rates of return for PoS coins are often very attractive, but price fluctuations can lead to negative profitability. In the case of stablecoins, a positive result is almost guaranteed. At the same time, you should not expect earnings on stablecoin more than 15-17%, although it is possible with a PoS asset.

Ultimately, the choice should depend on your personal attitude to risk. Investors who are willing to take risks in the hope of earning super-high returns should invest in a classic PoS coin – for example, Tezos .

If it is important for you to keep the investment (especially in the case of large amounts), then stablecoins are definitely preferable due to the better risk-to-ROI ratio.

As the global economic crisis deepens, more and more investors will acquire crypto assets. This will undoubtedly change the market balance in the segments of staking and cryptocredit. How exactly? We will find out soon.

Date of publication 09.07.2020
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Binance Exchange added the ability to purchase cryptocurrency from Mastercard

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This Friday Binance Exchange announced the addition of the possibility of buying cryptocurrencies using bank cards in the Mastercard system.

The service covers 19 countries, including Russia and Ukraine. There are no other CIS countries on the list yet.

To use the option, you must log in to your personal account at https://www.binance.com/ , go to the “Buy Cryptocurrencies” tab and select payment using a bank card. Bitcoin, Ethereum, XRP, Binance Coin, USDT and some other assets are available for direct purchases from Mastercard cards.

Previously, users already had the opportunity to buy cryptocurrency on Binance using Russian Visa cards.

Also this morning, Binance CEO Changpen Zhao hosted another live broadcast at Periscope. Zhao’s speech mainly covered the latest achievements of the exchange, including the launch of the Binance Card , mining pool , Binance KR, OTC portal, as well as cooperation with Brave and the acquisition of CoinMarketCap . In addition, Zhao recalled the need to maintain social distance.

“We have completed the initial development of platforms, and now I think it is important for us to support mining , since bitcoin mining is now centralized. We want more players to take part in it, as well as support existing players, ” he said.

In addition, on his Twitter, Zhao shared a screenshot testifying to the preparation of the exchange for the launch of option trading.

He left no comments on this subject. In the main Twitter account of Binance, a list of tasks for testers that was “publicly available” was posted. Among other things, it includes the item “test option trading”.

Publication date 04/04/2020
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Name Price24H (%)
Bitcoin (BTC)
$11,866.30
-1.40%
Ethereum (ETH)
$396.57
0.05%
XRP (XRP)
$0.302256
2.55%
Bitcoin Cash (BCH)
$301.66
-2.01%
EOS (EOS)
$3.23
5.54%
Stellar (XLM)
$0.107487
1.05%
Litecoin (LTC)
$58.61
0.50%
Cardano (ADA)
$0.144178
-0.78%
Tether (USDT)
$1.00
-0.17%
Monero (XMR)
$94.32
0.02%
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