Monero is a cryptocurrency coin best known for its user's privacy.
Monero is built on CryptoNote was launched in April 2014. The privacy of CryptoNote coins is ensured by grouping public keys together. By combining several keys in a single transaction, it’s impossible to tell who sent it!
The use of these “ring signatures” to sign transactions provides the anonymity of the CryptoNote technology.
ASIC Resistance
Another perceived issue with Bitcoin is that mining the network is now only profitable using specialized mining equipment. These systems use components known as Application Specific Integrated Circuit chips. They’re expensive and this means that only the richest can set up mining operations.
Monero differs. It uses an alternate hashing algorithm to Bitcoin called CryptoNight. CryptoNight uses a lot of advanced features to make the production of ASIC chips suitable for mining Monero unprofitable. The specifics are a little complex for this introduction to the Monero currency but all you really need to know is that Monero can be profitably mined using both CPUs and GPUs. This should mean that the currency has the potential to be even more decentralized than Bitcoin.
Below, I’ve included the graph of the Monero coin’s performance since it was launched and currently its value is increasing.
There are two ways of earning Monero
- Transaction
- Mining
Transaction
we can earn Monero by receiving and storing it in a wallet. Here are a few Monero wallet getmonero, XMRWallet, MyMonero.
If You are a person who is trying to create passive income then your options are Mining
Monero Mining
One of the best things about Monero is it can be mined with both CPU and GPU.
There are many for the tutorials for Mining Monero on Youtube which I will not explain here, but ill make sure that you understand few things which can’t be found easily.
Choosing the CPU, RAM, Motherboard
Monero (specifically RandomX algo) requires 2Mb per core for running and does not support hyper-threading.
Let's consider Ryzen 7 3800X
→No. of cores: 8
→No. of Threads: 16
→Clock Freq: 3.9 GHz
→L3 Cache Memory: 32 MB
since each core consumes 2 MB cache memory, 8 Cores use 16 MB cache memory. Rest 16 MB cache memory will be idle
If we consider Intel i5-L16G7
→No. of cores: 5
→No. of Threads: 5
→Clock Freq: 1.40 GHz
→L3 Cache Memory: 4 MB
Since only 4 MB cache memory is available only two cores will be active, rest will be idle
Choosing the correct RAM module will help you to increase in mining from 10 to 20%. But make sure you are using a single DIMM ram for better Hasrate compared to all DIMM’s.
With a series of electronic components in the mother board, the VRM ensures your CPU or GPU receives clean power at a consistent voltage. when it comes for mining B450 board is a good choice
Increasing the efficiency of mining
- The lesser the core temp, the longer the core life. The two types of cooling are Air Cooling and Liquid Cooling. Choose which one you need.
The Air cooler and water Cooler are manufactured by companies like Noctua, Cooler Master, Corsair.
One of a different kind is Immersion cooling, where the total motherboard is dipped in either Mineral Oil or Non-toxic electronic liquid or Non-conductive liquid cooling.
2. Overclocking is the action of increasing a component’s clock rate, running it at a higher speed than it was designed to run. It makes the core hotter and further, it makes permanent damage. Use the cooling mechanism discussed above and by choosing a compatible mother board.
3. Enabling HUGE PAGES with 100% is mandatory which will increase the hash rate to 30%
4. Your profit varies based on the pool fee and electricity consumed by your, rig. Based on these two you can calculate the profit with the mining calculator
Useful links:
- xmrig github — Monero Mining Tool
- RandomX benchmark — RandomX, monero benchmark
- Mining Clalculator
- DRAM calculator for Ryzen
