Security Above All
At only four years old, Monero is one of the older Cryptocurrencies. It is very much based on privacy with those wanting additional security choosing it over and above Bitcoin or Litecoin. Another very positive bonus with Monero is that it can actually be mined using a simple CPU rather than having to rely on ASICs which are not only very expensive but consume a huge amount of power.
Monero is very different to a lot of the Cryptocurrencies for several different reasons. The security and privacy factor is certainly one very large differentiator. Balances and account information is not shared as it is with Bitcoin. This is very simply achieved by “ring signatures” which allow a customer’s details to be submerged with public keys. This cocktail then produces a ring of “signers” which in turn hides the private details of said user. There are also a huge blockade of addresses which also conceals the private details of the transaction too. This concept is based on “stealth addresses” which are produced by random when a transaction is made and ensures that transaction is completely untraceable.
Mining Of Monero
To operate Monero and validate the transactions that are taking place, there needs to be power and maintenance of the network which is titled “mining”. Back in the day, this was easy to do with Bitcoin however this is no longer possible because of how far Bitcoin has come, the processing required and the amount of owner needed to mine Bitcoin. Mining Bitcoin is now only able to happen through the use of ASIC hardware.
In comparison, Monero does not need such reinforcement to mine. The very fact that it is developed on CryptoNote means that you can still mine this Cryptocurrency on a CPU or a GPU. A lot more cost and power effective. CryptoNote uses ‘CryptoNight’ as a hashing algorithm and was specifically built to be more stable and offer that decentralized option. The fact that Monero is based on ‘CryptoNight’ means that ASIC simply is not an approach that can be used.
The Individual Miner
Monero is one of the only Cryptocurrencies that you are still able to make money from as an individual. You just need to make sure you have an i5 or i7 to start with. Then CPU mining XMR on Windows is pretty easy:
Set up your Monero Wallet using MyMonero.com
Download Miner and extract xmr-stak-cpu
Decide on how many threads you would like to use. This will depend on your CPU, how many cores and cache it has
Edit the configuration files so that they match what you need them to be
Load the necessary Huge Page on Windows
As is suggested above, it is pretty simple to start mining with Monero. There is very little expense required to get you going. Added to this, Monero is one of the more private Cryptocurrencies. There is a lot of potential with this coin over the next few years.