(Last Updated on March 18, 2021)
NiceHash isn’t just a great way to earn cheap, KYC-free, satoshi’s with 1 or 2 gaming graphics cards..
It’s a great way to run a solo rig or an entire mining farm!
But those who are looking into building a GPU rig must calculate carefully on equipment and electricity costs, it may take years for you to recoup costs.. unless Bitcoin moons…
-> If you are buying a full 4, 6, 12 GPU rig – that’s a major investment that requires some due diligence in estimating costs vs. long term profitability.
-> If you are thinking about mining with your 1 or 2 gaming graphic card rig – Go for it and mine when you can or at times when electricity is cheaper.
GPU mining is a speculative activity and you should be HODLing with low-time preference
Any experianced GPU miner understands that they are speculating on these assets if they are looking for the largest profit margins. Whether you are mining Bitcoin directly or another altcoin – holding that crypcurrency for extended periods of times will generate highest profit.
-> Mining Bitcoin = lowest risk and easiest to hold long-term, highest profitability with lowest time preference
-> Mining altcoins = high risk and most difficult to hold long-term, can have extreme profitability to generate high Bitcoin returns but timing peak market prices is key
This is why I recommend NiceHash for the small hobbyist!
NiceHash automatically mines the highest % profitability altcoins for your hashpower and exchanges them daily to Bitcoin for your long-term HODL goals.
This is why I love NiceHash for small GPU mining rigs as it automates the process removes a lot of the hassle and headaches if you are trying to upkeep and switch your miner daily. Instead, you’ll have it all under control and setting you up for the highest gains while paying out satoshis every 4 hours.
Ask yourself these questions before going out and spending thousands on setting up a cryptocurrency miner in 2021.
How much are your current electricity costs? Estimate your additional expected watts from mining 24/7/365 and do not forget to add in any seasonal changes i.e. summertime electricity peak costs
What is the expected length of time to payoff the equipment costs of the graphics cards? You will recover at least 30% of cost selling them on Ebay used later.
Do you enjoy tinkering with hardware components like risers and motherboards? From re-installing drivers a million times or having finicky risers fail over time. GPU mining components are a DIY’rs playground, most of the components are cheap, but may need maintenance and attention to run consistently.
Is there a good location for your miner? You want a dedicated circuit breaker in the house or garage for safety. Airflow is the next consideration as the GPUs will output a decent amount of heat and noise depending on graphics cards.
The GPU Miner’s checklist:
- Always check hardware requirements for the operating system you want to run (Windows 10 needs 16GB of ram and 32GB of hard drive space while Ubuntu is much less)
- Format and start with clean installs only
- Install only ONE GPU to start
- Install motherboard BIOS updates
- Run all OS updates then TURN OFF automatic updates (do not want it interrupting miner)
- Install AMD or Nvidia drivers and restart system for each graphics card
- Install GPU’s one by one until all are installed
- NiceHash should be run as administrator
You can also run the NiceHash OS directly off a USB stick or HDD. This method works well for some people, but many enjoy using an OS so they can interact easily with the machine and take out common issues that occur while utilizing the remote access online to a rig.
Use any 32GB or larger USB stick
Where to download NiceHash OS?
Always double check the URLs and emails you receive from ANY Bitcoin service for frauds, scams, and other BS. This should by a constant practice by any miner to protect your crypto assets.
Miners are the cypherpunks of today in some ways, although only a few are writing code, all should be concerned with our digital privacy and security.
Don’t let your guard down and risk having large liabilities for your digital assets and leaving your mining rig farming 24/7 is something that should be secured and protected wisely.