In this article, we will show you the ways how Decred mining works. It is the newest change to the algorithm that makes it mineable by ASICs. Also, we want to show you all the important information to set up successful Decred mining pools. In addition, CoinQuora also suggests making a good choice of competitive mining hardware.
In order to make mining profitable, make sure that you properly set up and configure the mining rig. Lastly, we gather for the recommended Decred mining pools. However, if you can’t be bothered to set up mining gear or deal with the configuration, there is another option — Cloud Mining.
Table of contents
- What is Decred?
- Decred Price Prediction
- How to Mine Decred
- Best Way to Mine Decred
- How to Mine Decred With ASIC
- How to Calculate Decred Mining Profits
What is Decred?
This article will look at the Decred blockchain network and its native currency – the DCR coin. The Decred network is a hybrid blockchain that simultaneously uses the Proof-of-Work (PoW) and Proof-of-Stake (PoS) consensus mechanism. Besides, the main goal of the creators was to create a better version of the Bitcoin network. It happened after noticing that decision-making in the BTC community became more and more centralized.
However, it divided the block rewards between the miners, voters, and dev team at a ratio of 60%:30%:10%. In addition, Decred is one of the most promising and rapidly growing cryptocurrencies boasting great speed. Also, it can improve and connect to its community. Notably, the maximum supply of DCR coins is 21 million, expecting it will mine the last block in 2120.
In addition, Decred was launched by the Chicago-based company “0” back on February 7, 2016. Later that year, on April 25, the Decred mainnet version 1.0.0 was released. Moreover, they created the project due to the frustration of a Bitcoin developers group with the increasing centralization of the Bitcoin network.
This happened with the help of Alex Jacob-Pitt. They founded Company 0 and started developing Decred. The project was organized by the CEO of the company, Jake Yacom-Piatt, with the help of fellow co-founders Alex Yacom-Piatt, Dave Collins, David Hill, John Vernaleo, and Josh Rickmar.
In fact, the current stage of development brings software version 1.3.1 so that everyone can participate in the governance of the network. Also, this adds a Governance page to the official GUI wallet and a Paliteiavoter for the CLI users.
Decred Price Prediction
After its Initial Coin Offering (ICO) in February 2016, Decred rallied from under $1 to $2.39. Then, it languished in the range of 70 – 80 cents before the crypto bull run of 2017 and 2018. In fact, it scaled the unprecedented heights of $110 to $120. After that, it crashed to the same sustainable range of $20 – $30 but has since risen to a high 50s. Overall, the price trajectory has been observed in numerous other cryptocurrencies launched in the past five years.
As of June 09, 2021, the general Decred price prediction sentiment is bearish. Besides, 10 technical analysis indicators are bullish signals, while 19 bearish signals. At the time of writing, the price of Decred has increased by 4.15% in the past 24 hours. Moreover, Decred outperformed 46 coins from the top 100 coins by market cap. The average daily gain of the top 100 coins is 4.80%.
How to Mine Decred
One option to get Decred is through the use of mining hardware. Although it sounds well enough, like in many other cryptocurrencies, ASIC mining has completely ruined GPU mining and dominated the mining scene. While GPUs will work, they’re notably efficient or profitable. Therefore if you like to mine, you will need to get an ASIC miner.
Obelisk announced that they had created a Decred ASIC miner back in January. Named the DCR1, it has a 1200 GH/s hash rate and needs just 500 watts for power consumption. Other producers followed with their own Decred ASIC miners.
As you might expect, this is significantly increasing the mining difficulty. In fact, since the beginning of May, the mining difficulty has risen from 273,629,001 to 3,975,462,300. As you might have figured by now, GPU mining for Decred is dying and is possibly dead already.
Of course, there are still mining pools out there for Decred, and if you use the Claymore miner, you can also dual mine Decred with Ethereum. But by many news online, it isn’t even worth it to dual mine Decred any longer. Thanks to the massive increase in mining difficulty caused by the introduction of ASICs.
Please understand that these machines can consume massive amounts of electricity and radiate a lot of heat. For example, Bitmain’s miner is 1410W, equivalent to a larger kitchen appliance, working 24/7. In addition to the heat and consumption, the miners are also really noisy, so have it in mind when choosing where to place them.
Best Way to Mine Decred
The best and most profitable way to mine Decred is mining with ASICs. In Fact, with the rising popularity of Decred, you can make many profits in no time. Besides, one of the benefits of this hardware is that it’s pretty easy to configure a pool.
Well, if you have got an ASIC machine, you are ready to start right into it. One of the essential things you will need is a wallet. It is what creates a bridge between the Decred mining gear and the Decred mining pools. There are different wallets, some of them have similarities, but for the most part, each wallet offers different features.
In addition, given the list of the rest requirements for you to mine Decred:
- Competitive Hardware (ASIC)
- A Decred wallet to receive your coins
- Sufficient electric capacity
- Fast internet connectivity (minimum 1 MB/s)
How to Mine Decred With ASIC
This is a step-by-step Decred mining guide to get you started, with the basic connecting hardware, software configuring, and running your device.
Step 1: Connecting the Cables
First, you need to connect all the cables for the power supply to the PCIe sockets located on your ASIC miner, followed by the LAN from your internet network to the LAN port of your ASIC control board. Lastly, connect the power supply unit to the electricity, and you are ready to continue.
Step 2: Choose Decred Mining Pool
Decred mining pools are always recommended. But, when choosing a pool, there are several key parameters that you should look for:
- Reward system – the means of payment applied by the pool.
- Fee – the fee from the miners to be collected.
- Pool Latency – the closer the server is located, the lower the latency is.
Step 3: Finding the IP Address of the Device
You can easily find it using an IP scanner or using your internet router’s admin panel.
Step 4: Enter Address into Your Browser and Login with the Default Credentials
The username and password may be different from different models. So it is great if you read your device manual.
Step 5: Add Pool Info to ASIC Setting
Go to settings > Pools, where you can fill in all three groups of mining pools. So, you can utilize the failover function in case some of the pools are not responding.
Step 6: Restart the Hardware
After entering the required field, click “Update Pools” and wait for a few minutes for the miner to restart.
Step 7: Check the Status
Go to Miner Status. In that section, you can monitor the activity of your device.
How to Calculate Decred Mining Profits
Mining calculators help miners easily estimate their profit, using their available hash rate for some time. They take into account key parameters such as the current network difficulty and the price of the given crypto coin.
Moreover, the Decred mining calculator is simple and easy to use. By entering the desired info, you will get how many coins you can expect to mine in a day, week, month and year. Besides, most people are aware that Ethereum (ETH) is probably the most profitable coin to mine with GPUs. However, DCR is not that far behind, and you can easily compare your expected profit from mining Decred if you are currently mining Ethereum.
Decred Mining Pools
If you are planning to try Decred mining pools, the four below are good choices, to begin with:
One of the largest and most popular Decred mining pools, Suprnova has pools for nearly four dozen different coins and servers located worldwide. It applies the Proportional (Prop) payment system and has 0% fees.
Coinmine is another familiar choice, particularly for privacy-concerned miners since Coinmine provides anonymous mining. Besides, it has a 0.1 DCR minimum payout, which is quite low and uses the PPLNS payment scheme. Also, it has 0% fees and servers at key locations around the globe.
Deadpool it’s quite similar to Suprnova. In fact, it is a smaller Decred mining pool, but it is still a good choice. With 0% fees and Proportional payment,
Luxor Mining has newly started their Decred mining pool that proposes a 1% PPS scheme. Currently, they have four servers that you connect to, with two in the US, one in Europe, and one in Asia.
Decred Cloud Mining
Cloud Mining allows the users to acquire mining capacity produced by the hardware in data centers. Moreover, it enables the people who mine for Decred to buy equipment, configure mining software, and pay high electricity bills.
Furthermore, Rocket Mining and NiceHash have been doing great when it comes to cloud mining contracts. Also, you can get the current best cost and profit ratio out there. However, if you use the Decred Mining Calculator, you can check the pool fee and the hash rate, which will give you an essential cloud mining estimation.
It relies on the hash rate of your equipment. Use the Decred mining calculator to make that estimation.
If you are mining with one of the ASIC machines, the approximate time it would take you to mine 1 Decred would be a week or so.
The best way to start Decred is to rise from the beginning – that means mining. For mining Decred, it recommends ASIC as the best way to mine.