CryptoNight algorithm and how to mine cryptocurrency Monero, Bytecoin etc.

in #bitcoin8 years ago (edited)

 Hello, Steemers! In this post I`d like to tell you about the CryptoNight algorithm and how to mine cryptocurrency Monero, Bytecoin etc. on this algorithm. 

 A little about the algorithm:

CryptoNight is a proof-of-work algorithm. It is designed to be suitable for ordinary PC CPUs, but currently no special purpose devices for mining are available. Therefore, CryptoNight can only be CPU-mined for the time being. CryptoNight was originally implemented in the CryptoNote codebase. 

 CryptoNight relies on random access to the slow memory and emphasizes latency dependence. Each new block depends on all the previous blocks (unlike, for example, scrypt). The algorithm requires about 2 Mb per instance:

1. It fits in the L3 cache (per core) of modern processors.

2. A megabyte of internal memory is almost unacceptable for the modern ASICs.

3. GPUs may run hundreds of concurrent instances, but they are limited in other ways. GDDR5 memory is slower than the CPU L3 cache and remarkable for its bandwidth, not random access speed.

4. Significant expansion of the scratchpad would require an increase in iterations, which in turn implies an overall time increase. "Heavy" calls in a trustless p2p network may lead to serious vulnerabilities, because nodes are obliged to check every new block's proof-of-work. If a node spends a considerable amount of time on each hash evaluation, it can be easily DDoSed by a flood of fake objects with arbitrary work data (nonce values).

How to start mining?

1. You need a program for mining. Go to the link to the website Minergate

 2. Register on the website clicking "Sign up" 

 3. In the «Downloads» tab choose one of three options «GUI miners», «Console miners», «Admin edition» and download the program for mining. I recommend «GUI miners» tab for the beginners .

 4. Install the program on your computer according to your operating system, run the program and enter your login and password. 

 5. Go to the "Miner" tab and choose the currency you want to mine. In "СPU cores" choose the number of processor cores that will work for mining.

 I don’t recommend to load up all the cores, because the computer will work very slow. 

You can also connect a video card to help the processor. My video card mines Ethereum, so I use only 2 cores of the CPU. 

That’s all. The mining starts.

In the "Dashboard" tab on the website you will be able to see the indices of your mining.

 You can withdraw your coins using the "Dashboard” tab on the website or using the program in the "Wallet" tab. 

 You will also receive fun rewards. Notifications can be disabled in the "Achievments" tab. 

 In the "Calculator" tab on the website you will be able to calculate the approximate number of coins that you mined on your hashrate. 

 I have a i5 3570K processor. It produces hashrate of about 60-100 H/s on 2 cores. The amount of mined coins is small, but I have only one computer. If you have several of them, then using all your computers for mining you can get a substantial hashrate and a lot of coins.

You can also earn something from an affiliate program on this website. In the "Affiliate program" tab you will get a link, which you can share with your friends, partners, acquaintances. 

 You can trade coins on the exchange (Poloniex or Hitbtc).

That's all I wanted to tell you about the CryptoNight algorithm and mining the coins.

In the end, a few links to sites Monero and Bytecoin.

Monero website

Bytecoin website

I wish you good luck and big profits.

My post about me and my family:  @knyaz 

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Bravo, nice shirt article of mining. Would like to see something more detailed about building a dedicated mining rig.

All the best
GY

Thank you so much.

i use it too,...

With Fx(tm) AMD 8350 Eight Core processor on eight cores, I can produce 200 H/s not too much. Right now its about 0,3 Euros. And its a older processor allready. Does someone could recommend a better processor to mine XMR?

I'm using Fx(tm) AMD 8120 Eight Core Processor, it produces 300 H/s on average, but i'm using cpuminer-multi on ubuntu, with the minergate software i was getting 150 H/s, so i would recommend you change your mining program until you get a better pc, sorry i did not answer your question, i don't know the answer, but i believe this information is relevant.

yes, you are right. Without I said it explicit, I use minergate and yesterday I found out, they stealing a huge amount for the withdrawl and secondly they are -40% inefficient than xmr-miner. But with my windows 7 I have some sorts of problem setting up some miner. Often they are working incorrectly. Anyway. I read also if you run them on 7 cores you got 10% more energy than with 8 cores.

Most efficient CPU for cryptonight

1x AMD Ryzen 7 1700X = 516H/s
1x AMD Ryzen 7 1700 = 481H/s

https://forums.servethehome.com/index.php...

Revenue

AMD Ryzen 7 1700 $ 38.10 a month (without electricity)
AMD Ryzen 7 1700X $ 40.87 a month

https://www.cryptocompare.com/mining/calculator/xmr...

AMD Ryzen 7 1700X/ AMD Ryzen 7 1700 300$
http://amzn.to/2x37uvf

this is always good info to have reported, but by "(without electricity)" do you mean "before deducting electricity costs" or "after deducting electricity costs"?

thanks

It means I calculated just the revenue not the profit (- electricity costs).

Good points in this post. Same mindset here. Many people say the prices of cryptos are high but we also thought that about Amazon, Apple and Facebok last year. This is quite an interesting website I found: https://www.coincheckup.com Since I use this site I make so much less basic investment mistakes. On: https://www.coincheckup.com/coins/Bytecoin#analysis To watch Bytecoin Indepth analysis.

minergate is a scam watch out

It's a wonderful post. Thank you Knyaz

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