Cryptocurrencies

Cryptocurrency Info on MinerWarz.com

by Jason Green on January 14, 2018 · 0 comments

I’m officially moving the cryptocurrency conversation to my new website, MinerWarz.com. I’ve learned a lot in the past few months, but I’m sure not an expert yet. However, I’m seeing the same questions asked over and over again on the crypto and mining forums. I’m starting MinerWarz to catalog the answers to all of those questions.

I’ll leave the existing posts here on BusinessHut, but future questions should be directed to MinerWarz.com. See you there. 🙂

My First GPU Mining Rig

by Jason Green on January 9, 2018 · 0 comments

My first GPU mining rig has been running smoothly (well, almost smoothly) for about 4 days. As there are so many questions about mining, I’m just going to post my entire adventure below. If you have any questions, leave a comment and I’ll do my best.

1. How did I get into all of this?
I only bought my first $100 worth of Bitcoin in August, 2017. Then, $100 in Litecoin….then Ethereum… The prices kept going up so I kept buying a little more here and there. Eventually, I found Hashflare which is a cloud mining service. They basically have a warehouse full of Bitcoin mining equipment and they sell contracts to mine for yourself. For example, 1 Terahash of mining power costs about $220 and will make around $2.00 per day. Learn about Hashflare here. Then, I learned that you didn’t need special equipment to mine altcoins. (altcoins are all the other non-bitcoin cryptocurrencies. aka alternate coins) You can actually mine these coins with any decent graphics card in a computer. I then joined a few Facebook groups related to GPU Mining and absorbed as much as possible. (GPU = Graphical Processing Unit (aka a graphics card)

2. Where to start with GPU mining?
If you ask anyone on a GPU mining Facebook group about what coins to mine, the first response is almost always to check out the WhatToMine.com website. This is a great site that lets you select your desired graphics card(s), input a few parameters, and it’ll tell you what is most profitable to mine. I went through each one to see how much each would make per day. Then, I searched for the best prices for each card. Sprinkle in a little math and I had a list of cards by profitability and time to break even. (The prices vary so wildly, that rather than post a list, I think you’ll need to do your own legwork on this one.)

3. So how do you build a GPU mining rig?
I expected this to be more complicated, but honestly you can start today if your home computer has any of the graphics cards listed on the WhatToMine website. As you get more into it, you’ll want to add multiple GPU’s to your PC. Many newer motherboards can fit 2 GPU’s with no major alterations. Above that, and we have to introduce risers. But let’s not go there yet. Let’s assume you’re going to get started just like me.

4. The hardware bits:
I bought a new motherboard, power supply (PSU), SSD hard drive, 8GB of DDR4 RAM and 2 GPU’s for about $1,500. I intended to use an old Xeon server case for this, but the graphics cards were so big that they didn’t fit. This led me to do what most miners do, and build an open air rig. This basically means to connect everything out in the open and tie it down as much as possible. Here’s my shopping list if you’d like to follow in my footsteps.
– Motherboard: $120 – MSI Pro Series Intel Z270 DDR4 HDMI USB 3 SLI ATX Motherboard (Z270 SLI PLUS)
– Power Supply: $100 – EVGA SuperNOVA 750 G2, 80+ GOLD 750W
– Processor: $46 – Intel BX80677G3930 7th Gen Celeron Desktop Processors
– Hard Drive: $50 – Kingston Digital, Inc. 120GB A400 SATA 3 2.5 Solid State Drive SA400S37/120G 2.5″ SA400S37/120G
– Graphics Cards (GPUs): $1,040 – 2X – MSI Gaming GeForce GTX 1080 8GB GDDR5X SLI DirectX 12 VR Ready Graphics Card (GTX 1080 AERO 8G OC)
– RAM: $100 – Corsair 8GB DDR4
After tax and whatnot, it all came to about $1,500.
As far as “building a rig frame” I just used some scrap plywood and screwed everything to that. Both GPU’s fit directly onto the motherboard, so there’s no need for risers or additional supports/mounts. The PSU sits on one side of the board, and the motherboard with GPU’s on the other.

5. What software to use for mining?
I bought this stuff with almost no idea how I’d actually go about mining. I knew I didn’t want to pay for Windows so I went with a specific Linux distribution for mining called SimpleMining. You just download the image for the SimpleMining OS (SMOS as some call it) and write the image to a USB or SSD drive. Plug that drive into your mining computer, boot up and you’re mining. Well, almost… You need to change one line in the config file so it uses your SimpleMining login email. This is how the OS communicates with the SimpleMining.net website, and that’s where you manage your rig. If you can’t edit the config directly on the USB, you’ll need to boot up your mining rig and use PuTTY to access the configfile. I thought that was all there was to it, but no, apparently you also need to join a miningpool…

6. What is a mining pool?
While SMOS is a great way to control your rig, you still need to pool your resources with other miners. Pooling resources evens out the payout. Rather than wait a month to mine a block, your resources are pooled with others. When a block is mined, everyone shares in the rewards. The pool I’m using right now is called MiningPoolHub. They take out a 0.9% fee from my mining which is the industry norm. Once you sign up for an account at MiningPoolHub then you can start mining… well…almost…

7. Now you need to choose what you want to mine and get the appropriate wallet.
Search for the most official wallet for the cryptocurrency you decide to mine. Make sure you own both the public and private keys. Without the private key, you don’t really own your wallet. There’s also an auto-exchange feature on MiningPoolHub which will…you guessed it.. automatically exchange whatever you mine into the coin of your choice. So, let’s assume you’re on MiningPoolHub and you have a wallet set up.

8. Config SimpleMining.net to work with MiningPoolHub
Let’s go back to SimpleMining.net and insert our mining pool info.
Under your rig groups, you’ll choose the mining software depending on your GPU brand (NVIDIA vs AMD) and you’ll enter a string as shown below.
–server us-east.equihash-hub.miningpoolhub.com –user myusername.myrig–pass x –port 20594
This will mine the equihash algorithm on miningpoolhub. “myusername” would be replaced with yours and “myrig” can be anything you want. Once you activate mining on SimpleMining, MiningPoolHub will identify your miner with whatever name you provide here. The password is usually just left as an “x”. And that’s all you should need to change. It’s scary to think that you missed something, but really the worst thing would be that you accidentally mine to someone else’s account until you figure out what’s wrong.

I hope that was a decent overview. If you’d like a deeper dive into anything, please leave me a comment.

Cryptocurrency Historical Prices

by Jason Green on December 20, 2017

crypto prices on yahoo finance
For anyone trying to analyze the prices of cryptocurrencies or altcoins, it’s been a struggle to find reliable price data. Until now… I recently noticed that yahoo finance now has cryptocurrencies listed with the rest of the stock prices. Just go to yahoo.com/finance and you can quickly check the price of your favorite crypto. If looking for Bitcoin Cash, make sure to include your currency. BCH will show you Banco de Chile prices. BCH-USD is Bitcoin Cash to US Dollars, and BCH-BTC is Bitcoin Cash in Bitcoin. This will bring up a price chart and news stories for your currencies.

To download the historical Bitcoin Cash prices as a CSV file, click the Historical Data tab and click Download Data. I believe the time period defaults to one year, but you can change these settings as you’d like. If data is all you’re looking for, you’re all set.

Bitcoin Cash Historical Prices

Cloud Mining with HashFlare

by Jason Green on December 18, 2017

I recently started cloud mining with Hashflare to help diversify my crypto investments. I’m working on a post about diversification, but I think it’s important for anyone getting started with cryptocurrencies to spread their money out. With the newfound popularity of Bitcoin and other cryptos, there are lots of scams out there. Everyone is trying to make a buck from our ignorance. Never put all of your money on any one site or into any one cryptocurrency. There are just too many horror stories of exchanges or other crypto services disappearing or outright skipping town with their customers’ money.

Anyway, I’m researching all of the various ways to make money with cryptocurrencies and cloud mining is just one of them. We will certainly investigate the differences, but for now I’m just going to show what I’m doing on Hashflare.

When I first started, I spent $150 for 1 TH (TeraHash) of SHA-256 mining power. (SHA-256 is how you mine Bitcoin and a hash is a measurement of processing power.) This amount will make you about $2 per day. At about $60 per month, you’ll have your money back in less than 3 months. HashFlare recently limited their contracts from “lifetime” to 1 year which really upset their existing customers. They are justifiably upset, but I understand the business decision. The equipment and probably even this entire industry has a finite lifespan. To think you could buy a lifetime contract for this stuff is just a bit naive. So, you make your money back in 3 months and have 9 months of profit. On a $150 investment, you end the year with $730. After accounting for your $150 investment, you profit $580. That might not sound like the 10,000% increase you were thinking, but it’s more than you’ll make in just about any traditional investment.

Once I got the bug, I kept putting more money into the account. (Mostly from prior Bitcoin/crypto profits.) So, now I’m up to 6TH for $900. Sounds like a lot, but I’m currently making $16 per day. Honestly, $16 per day doesn’t sound like much, but that’s $480 per month. In 60 days I will more than have paid for my investment. In the remaining 10 months, I’ll profit about $4,800. At those profit levels, I just can’t make the case to not invest more money here.

Ready to go? Click here to get started on HashFlare.

My actual dashboard is below. The hashrate has updated to 6.09TH based on my latest purchase today, but the revenue estimate hasn’t yet updated.

Hashflare Earnings

My only warning would be that there is almost no transparency on this site. Many people swear by HashFlare and note that they’ve been around for several years. I say…yeah, Bernie Madoff was around for several years as well. As I warned above, never put all of your eggs in one basket. Some of these sites are so sketchy that I would almost assume my money is gone as soon as I invest. The only thing stopping me is the incredible upside. My recommendation is to get in at an amount you’d be comfortable losing and withdraw as soon as your balance meets the minimum requirements.

So, if you like making 3 to 5 times your money in a year, give Hashflare a try. And if you would like to support me and this site, please use the links on this page. If you sign up through them, I’ll get a small referral bonus. Always appreciated.

Sign up for Hashflare here.

Stay tuned for a revisit when we talk about the reinvestment option where you can compound your daily earnings. That’s where this math gets really crazy.

** Update Jan, 3 2018 **
With the price of Bitcoin dropping and the difficulty increasing, my earnings outlook wasn’t looking as good for the next year. However, the market recovered and my earnings are back up to par. Not quite as good as they were but still a respectable return on a sub-$1,000 investment. *Note that prices have gone up from $150/TH to $220/TH. So this would now cost about $1,430. Still profitable though.

Cryptocurrency Market Capitalization – Dec 15, 2017

by Jason Green on December 15, 2017

To give an idea of the current cryptocurrency market, take a look at the chart below. Bitcoin accounts for 56% of a $537 Billion Dollar market. This list changes frequently, but these top 10 have made it here for a reason. These are the coins people are consistently talking about. If you’re looking to make an investment in the cryptocurrency market, these are the coins you want to research first. If you’re just getting started, check out our intro to Bitcoin article. Cryptocurrency Market

All stats are as of 12/15/2017.

1. Bitcoin – Market Cap: $298 Billion – Price: $17,825

2. Ethereum – Market Cap: $66 Billion – Price: $688

3. Ripple – Market Cap: $30 Billion – Price: $0.77

4. Bitcoin Cash – Market Cap: $30 Billion – Price: $1,767

5. Litecoin – Market Cap: $16.5 Billion – Price: $305

6. IOTA – Market Cap: $10.6 Billion – Price: $3.84

7. Dash – Market Cap: $7 Billion – Price: $900

8. Cardano – Market Cap: $5.5 Billion – Price: $0.21

9. NEM – Market Cap $5.2 Billion – Price: $0.58

10. Bitcoin Gold – Market Cap: $5 Billion – Price: $295

These top 10 coins have a combined market cap of $474 Billion, accounting for 88% of the total market.

There are nearly 1,350 more altcoins in the cryptocurrency market of varying usefulness and reliability. 15 have a market cap over $1 Billion. A good site for tracking the top crypto coins is Coinmarketcap.com.

Getting Started with Bitcoin

by Jason Green on December 14, 2017 · 2 comments

Bitcoin Wallet CodeAfter having lots of conversations with my friends and coworkers about Bitcoin and other cryptocurrencies, I’ve decided to put together this overview. If you know almost nothing about Bitcoin or cryptocurrencies, this is how you get started. It’s not that hard and you really don’t need to know what a blockchain is or how it works.

*I use and recommend every service listed below. These links are my affiliate or partner links which sometimes result in me getting a small bonus if you sign up through them. If you decide to sign up for any of these services, please use these links to help support my habit site.

1. How do I buy Bitcoin?
The easiest and most user friendly way to buy Bitcoin right now is by using Coinbase. You add a credit card and/or bank account and you can almost instantly start buying Bitcoin, Ethereum, and Litecoin.

Coinbase Link: https://www.coinbase.com/join/59756122a4c3a0029739862b

2. What is Ethereum and Litecoin?
These are the other two “cryptocurrencies” or “altcoins” you can buy on Coinbase. Bitcoin is the most widely known cryptocurrency, but Ethereum and Litecoin are close runners up. There are literally thousands of other cryptocurrencies. As you learn more, you’ll want to get into trading these other coins and eventually look at ICO’s (Initial Coin Offering).

3. How do I trade altcoins / other cryptocurrencies?
To trade the other altcoins, you need to use an exchange. I currently use Bittrex. You transfer from your Coinbase account to your Bitcoin wallet and purchase other coins with that Bitcoin balance. Every coin is denominated in Bitcoin which gets a bit confusing. If you want to dabble in the other coins, this is the way to do it. I recommend to diversify your purchases.

4. How do I mine Bitcoin?
Currently, mining Bitcoin pretty much requires an Antminer S9 which costs $3,000 to $5,000 and is currently out of stock. An alternate way of mining is called cloud mining. I use a service called hashflare.io for mining Bitcoin. Starting with about $150, you can buy 1 Terahash (TH) of mining power. I’ll write a much longer post about this, but 1 TH will return about $2 to $2.50 of Bitcoin every day. At that rate, you’ll recoup your initial investment within 2-3 months and the rest is profit. At the end of a year, they say I should expect to make about $750. On a $150 investment, I’d call that a pretty good return.

Hashflare Link: https://hashflare.io/r/A080F0E7-businesshut

Anyone interested in going in on a physical miner, leave me a note.

Please add questions to the comments below. I’ll try to answer them all and will expand the more confusing topics into their own post.

If you found this useful feel free to toss me a few coins to the links below:
Bitcoin: 1HqP5ngr55tqdxJynkR3vw5xU4HGkAw7iC
Litecoin: LhLiU7qUMpbsaZN6sqoixVa82UDnGL1Ypv
Ethereum: 0xD1612e1CE0A2BA45D6d5d1f73c126ae7af874FbB