Finding Litecoin Mining Profitability before Mining the Litecoin

By Internal Eseo - March 19, 2018

The Litecoin, like its predecessor, the Bitcoin, is a peer-to-peer decentralized network that transfers payments amongst users. Similar to its predecessor, the Litecoin also is not controlled by any bank or individual or any government entity. The Litecoin can be sold and bought at the cryptocurrency exchanges online and they have monetary values which fluctuate with time. It is also possible to mine the Litecoin once you have analyzed the Litecoin mining profitability. Like the Bitcoin which are capped at 21 million, the Litecoin is has a limit of 84 million. The Litecoin makes use of an algorithm called the Scrypt algorithm. Its founder Charlie Lee wanted to create this cryptocurrency to introduce Bitcoin’s lighter version.

There are mainly two key functions for mining any cryptocurrency, namely, adding new transactions to a blockchain and releasing new currencies. For mining any cryptocurrency you are going to need a computer as well as specialized software to solve the complex puzzles. Using huge computing resources miners can solve blocks and earn rewards. Earlier people could mine the cryptocurrencies using their computers but nowadays technological innovations have launched specialized mining hardware called ASIC miners. These ASIC or Application Specific Integrated Circuit miners process Scrypt coins similar to the Litecoin. To set up a mining rig on your own will not only demand a lot of time and effort, but also a whole lot of money. Instead, joining a mining pool will assure you of faster returns on your investment.

How to do Litecoin mining:

You could mine the Litecoin on your own after finding Litecoin mining profitability. Whether you do solo mining or join a mining pool, you will need an online or offline wallet to store the fiat currency. You can download the Litecoin Core wallet from their official website or use other wallets like Jaxx or Exodus or LiteAddress or Ledger Nano etc. When you do solo mining you will need to set up a mining rig or buy a mining rig. Ideally you will need a computer having a minimum of two graphic cards. You may either build these independently or buy these. Your job is to get a Litecoin ASIC miner. This is machine which is designed to be dedicated to improving your mining power. It may be costly but you can buy the low-power models which are power saving. Your task is to get an ASIC miner which is fast and efficient to get back funds in record time and to earn substantial profits. The world’ most popular and powerful ASIC miner is the Antminer L3+ produced by Bitmain. This is an upgraded version of the L3 and has double its hash power. Besides, it uses less electricity compared to the others in this category. It consumes about 800 watts power and Litecoin mining profitability is much more. Moreover, this device is lightweight and easier to ship.

For mining software to mine the Litecoin, most people use the CGMiner, but with change in technologies, now the GUIMiner has become more popular. There are some miners which have their dedicated software for mining purposes.

When you have found about the Litecoin mining profitability by using profitability calculators online, you can decide whether to go solo or join a mining pool. When you combine resources with co-miners, your chances of earning profits become more. Before joining a pool for Litecoin mining however, it is important to verify its credibility, check out its rewards payment system, pool fees and location of the pool.

These are some important things to keep in mind when you wish to mine the Litecoin. There may be many other cryptocurrencies using the Scrypt algorithm which are simpler to mine.

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