How and Why to Mine Ethereum in 2021 – What You Must Know

Ethereum mining is a process in which you can acquire new coins through the use of specialized machinery.

The process is relatively slow, and the equipment is expensive, so many users don’t opt for it because there’s no promise that they’ll profit from their investment.

That said, some crypto users either manage to make significant gains from their mining farms (multiple mining rigs) solo or in mining pools.

Mining pools allow individual users to combine their own rig’s power with thousands of other users’ rigs to mine.

It’s more cost-effective and increases the chances of success.

If you’re considering mining Ethereum specifically, you should know how to go about the process so that you invest smartly. With that said, here’s a guide on how and why to mine Ethereum in 2021.

How to Mine Ethereum in 2021

There are four different ways to mine Ethereum. Here’s a list of them:

• GPU mining
• CPU mining
• ASIC-based mining
• Cloud mining

In this day and age, you should consider GPU mining if you’re looking to do it solo.

This is because it is relatively affordable and can provide great gains.

On the other hand, CPU mining is not very effective and too expensive.

There’s a very high chance that you’ll lose money through this method.

While ASIC-based mining is effective, it’s too costly for regular users.

Cloud mining can be a great option because you don’t have to invest in any gear.

Instead, you’ll rent a rig from a farm, and they’ll handle all of the mining for you.

Other than the rent costs, you won’t have to pay a thing.

Often, users don’t take the power costs of running a rig 24/7.

So, cloud mining can help eliminate those costs.

Steps Involved in GPU Mining

Considering CPU mining is not worth it, cloud mining is simple, and ASIC-based mining uses a specialized product, we’ve provided a quick overview of what you can do to mine Ethereum in 2021 with GPU mining.

The steps below pertain to mining on a Windows PC.

Install Your Drivers

You will need to install your GPU drivers to use them correctly.

You can find the drivers on the manufacturer’s websites.

Get an Ethereum Client

Using a website called MyEtherWallet.com is a good way to get beginners started with mining.

This website will help you create a crypto wallet with a private key.

Downloading Ethereum Mining Software

There are various software programs for mining Ethereum in 2021.

One software you can use is Claymore Miner. Make sure to use the latest version always.

Set Your Windows Settings

The first Windows settings you must modify are its power controls.

Therefore, you must set your PC to never sleep.

Your mining process will be interrupted if you allow your mining rig to go to sleep.

In addition to that, you should set your system page file to 16384 MB (which is equivalent to 16GB).

You should also note that Windows Updates can restart your rig whenever it needs to install a new update.

This could interrupt your mining process, so you could consider turning it off.

However, updating your rig is a good way to limit the possibility of hackers getting access to your machinery.

So, it’s best to keep your system updated, even if it may sacrifice some crypto mining gains.

Moreover, make sure that your antivirus software doesn’t flag your mining software’s executable.

Join a Mining Pool

It’s in your best interest to join a mining pool because solo mining won’t help you acquire many Ethereum coins, and it’ll be too expensive.

There are many mining pools available.

Two great options are Ethermine and Nanopool.

Begin Mining

You can start mining Ethereum in 2021 by double-clicking the BAT file to initiate the mining process.

Be sure to monitor your hashing speed so that you know how you’re doing.

Why Mine Ethereum in 2021

If you’re still not sure if mining Ethereum at this point is worth it, you should take a look at some of the points below.

Mining may not be for everyone, but it can be profitable if done correctly.

You Can Trade Ethereum for Bitcoin

If you’re trying to build a substantial holding position in Bitcoin, you may want to consider gathering Ethereum.

You can trade the mined Ethereum for Bitcoin.

Mining Can Help Subsidize GPU Purchases

GPUs (graphics cards) can be quite expensive, especially if you’re looking to invest in high-end ones.

Well, you could use them to mine Ethereum and help cover the costs of the investment.

That said, make sure you factor in the power costs of keeping your computer running for mining.

Can Be an Affordable Entry to the Ethereum Markets

Many crypto users like dealing with Ethereum because of its high market volatility.

Therefore, one can make a good profit when sold at the right time.

Mining Ethereum can be an affordable way to get into that means of gaining profit without buying any coins.

You Directly Can Sell Ethereum for Cash

You can mine Ethereum in 2021 to gain cash without needing to purchase any coins.

You could directly sell your Ethereum for cash on various major exchanges, such as Coinbase, Gemini, Kraken, and CEX.io.

Therefore, you won’t have to involve a third party to facilitate the sales.

Last Few Words

Mining Ethereum this year can prove profitable when you approach it smartly.

It’s best not to try this process solo because you’re unlikely to make a good profit.

However, pool your resources with other miners, and you’ll start to see the benefits much quicker.

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