How To GPU Mine Bitcoin with NiceHash in 2020

(Last Updated on February 14, 2021)

Is it worth it to mine Bitcoin directly anymore?

Yes, if you have free energy and lots of hashing power… but what if you just have 1 or 2 graphics cards on a gaming rig?

NiceHash is an easy way for small rigs to mine some extra satoshis!

HodlNerd.com’s home 4 AMD 5700 rig – setup with 3D printed GPU supports

Why NiceHash?

Because the smaller GPU miner’s have low hashing power, it is more difficult to solve blocks on the main Bitcoin blockchain as difficulties have risen greatly.

GPU = graphics processing unit (graphics cards) and a standard mining rig usually has 5 or 6 GPU’s mining off 1 motherboard.

Directing your hashpower towards alt-coins like Ethereum, Ethereum Classic, or Ravencoin will return more consistent blockchain rewards and can be exchanged directly for Bitcoin.

You could also decide to hold that alt-coin for a longer period of time – possibly getting larger returns then Bitcoin.. or it goes to $0.

Many people prefer to get satoshis directly to their wallet, and thus the NiceHash setup is perfect for getting maximum profit returns and also earning extra off any customers competing to buy hashrates depending on the market.

NiceHash OS optimizes mining profits automatically – mining ETH, ETC, and other altcoins directly to sell for Bitcoins on the exchange.

You receive your mining profits in Bitcoin – every 6 hours

You can mine with ASICs, GPUs, CPUs, and many different algorithms are available.

NiceHash automates mining altcoins and exchanging them instantly for highest Bitcoin returns

  • Fast, easy to use, automates mining for maximum profit %
  • Pays out in Bitcoin every 6 hours
  • Prices can spike and higher returns due to buyers competing to purchase hashpower
  • High fluctuations in miner fees of ETH or BTC help contribute to higher Bitcoin earnings than mining directly
  • No KYC or AML requirements – anonymous pure satoshis to your wallet!

Great for newbies.

No more crashing cgminer.exe windows and difficult notepad script setups – the NH software has a well thought out layout that is easy to use with plenty of automated options.

If you can double click on a shortcut image, you can start mining Bitcoin on your rig.

The dashboard is very user friendly especially for new users that have not mined before and do not want to hassle with long setups and constant tweaking to find best profitability for your graphics card. It will automatically adjust and benchmark your GPU(s) each time you start the program but we do recommend turning off the auto adjust and entering your own settings especially if you have 3+ GPU in your mining rig.

Graphics cards (GPU), CPU and ASICs can all be run on the NiceHash OS platform.

Multiple GPU rigs can be run off a single USB stick if you want. More info on NiceHash OS.

Our advice for best usage:

  1. Run as administrator – clear any firewall and user protections
  2. Run all updates, install all plugins, and allow for all benchmarking
  3. Once you identify your best algorithm/mining plugin – turn off all others
  4. Turn off benchmarking and run specific commands per plugin
  5. Input specific mining command line per rig (see below for Pheonixminer settings)

We love utilizing NiceHash for mining Bitcoin on our GPU rigs because it is efficient, stable, and constantly hunts most profitable returns for your hashrate. One of the major struggles that “DIY miners” have is keeping their multi-GPU rigs stable while alternating between cryptocurrencies and platforms.

You can run the OS on Ubuntu, Windows 10, and Mac. We have found both Ubuntu and Win10 to be very stable and consistent when working with AMD cards, the newest drivers, and Gigabyte motherboards created for mining.

System recommendations for max stability – 16GB or higher RAM!!

NiceHash OS likes to run atleast 4GB of ram per card, so it really helps to have atleast 16GB of DDR3 or DDR4 and then open up the virtual memory on your machine to maximum settings.

Custom settings within each plugin are available

PheonixMiner, Grin, Claymore Miner, and other plugins are all available within the program. Allowing you to pick whichever plugin works best for your graphics cards, operating system, or ASIC miner.

PheonixMiner settings for my 4 GPU Radeon 5700 XT rig shown below:

Top hashrates for mining scripts – October 27th, 2020

Additional features:

  • Auto plugin updates and install for various mining algorithms
  • Device status and power mode monitoring
  • Benchmark testing for each script to maximize profitability
  • Auto restart settings
  • Remote access for rigs

Use WhatToMine.com when you want to check NiceHash OS vs. mining direct

The key to GPU mining is energy efficiency + miner consistency = profit over time

The new AMD 5700 XT is very energy efficient averaging 120-130 watts depending on BIOS settings

Averaging 50.4 mh/s @ 127 watts per card.

Total output (4 cards) = 201.55 mh/s @ 508 watts

Daily profit range = $5.50 average (highest day $17.20 when ETH gas fees peaked in August)

Most new GPU rigs will take between 6-12 months to pay off the equipment cost = MANY of you should buy Bitcoin directly instead as a better investment!

Mining is really a hobby that many enjoy and produce some anonymous satoshis slowly that may repay you well in the long term.

One of the major reasons we started GPU mining again back in July was that the new(er) AMD 5600 and 5700 XT cards are getting excellent hashrates while utilizing LOW electricity. My new rig of 4 5700 xt takes up about 1/2 as much wattage (about 508 watts on average) than my older AMD GPU rig. Energy efficiency pays off when it matches with the newer AMD cards ability to mine easily and be stable. The majority of AMD drivers are providing very consistent hashing results with Pheonixminer and other ETH based mining algorithms.

The greatly improved energy efficiency of the newer cards are a big help in areas of the U.S. where energy costs can be higher than .19 cents per kw/h!

Always be sure to check your local electrical rates to help decide whether GPU, CPU, or ASIC mining would be worth it as you’ll need to mine 24/7/365 to turn a profit.

This includes PEAK season utility rates – your miner might be awesome for heating your room in the winter.. But what about summer time when temperatures are over 80 degrees and your room is cooking from all the GPU’s hashing away.

Be sure to look at all costs over a 2-4 year time period as that is how long you’ll be hoping to mine if you decide to setup a dedicated GPU miner.

What command lines are we using with NiceHash?

-proto 3 -mi 10 -gt 21 -lidag 1 -dagrestart 2

What have been the most successful NiceHash mining options for our 4x AMD 5700 XT rig?

Best algorithm = daggerhashimoto

Top miner = Pheonixminer

Highest alt-coin profit % = ETH and ETC

Always run in administrator mode for best stability on Windows.

Running daggerhashimoto algorithm on a few AMD 5700 XT

2 thoughts on “How To GPU Mine Bitcoin with NiceHash in 2020”

  1. Virgilio Decourley

    I guess Dogecoin has made a major rally this week and it can still be mined through POW and Nicehash? I guess Mark Cuban had a lot to say about it on the CNBC. But is it possible for Dogecoin to increase in price as much as Bitcoin has? I sure wish I would have bought some a while ago but tempted to start mining it.

  2. GPUs are impossible to find and overpriced right now. Otherwise NiceHash has been pumping out satoshis with the high GAS FEES on my solo 3070

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