Interest in cryptocurrencies has surged as bitcoin has ridden a roller coaster of value since Money can be made, but no method guarantees profit of the most popular alternatives to bitcoin include ethereum ($ per coin, you to buy fractions of cryptocurrencies, there are those who prefer to mine their coins. Bitcoins are out there for the taking. That's right - every day successful Bitcoin miners are using computer hardware to earn Bitcoin by. You can calculate your profitability using a Bitcoin mining calculator. .. Electricity cost: How many dollars are you paying per kilowatt? You'll. The right rig Depending on your budget and the type of currency you intend to mine, there are two ways to go when setting up your mining system: DIY mining rig These can be built from your own PC, with as many graphics cards ie: GPUs as you can fit or visit web page. With such a small chance at finding the next block, it could be a long time before that miner finds a block, and the difficulty going up makes things even worse. Because many miners are adding new hashpower, over the last few years blocks have often been found at 9. In the former case, you would have to keep mining for longer to recoup your expenditure on equipment and electricity. The volatility of the currency being mined also affects your long-term profitability. After the initial expense of your rig, the essential thing you need to know to calculate your ongoing profitability is the cost of your electricity. Right now, each new block adds On top of that, serious miners have built huge arrays to mine, making it harder for smaller miners to compete. Broadly speaking, there are two proof-of-work hashing algorithms in use today: SHA and scrypt. The miners are issued a reward in link cryptocurrency for each block mined, in doing so, more Bitcoin is put into circulation. I have made my initial investment back and now am mining just for profit, but it took a lot longer than expected because of bitcoins continued weak performance. As time goes on, the rewards miners receive for mining Bitcoin diminish. The reward started at 50 bitcoin as the reward and halves every 4 years, its due to become I have my doubts if mining will be feasible by then because transactions then would be in millions per day and miners will get transaction fee which will be far more rewarding than mining.