Introduction: How to "mine" Crypto Currency Such As LiteCoin,Feathercoin and Many Others!
So you may have heard about something called Bitcoin in the news lately. In this instructable i will introduce scrypt based cryptocurrencys and how to obtain a wallet, trade and mine for digital "coins" such as LiteCoin,FeatherCoin and StableCoin.
In this tutorial we will focus mainly on LiteCoin.
Litecoin is a peer-to-peer Internet currency that enables instant payments to anyone in the world.
It is based on the Bitcoin protocol but differs from Bitcoin in that it can be efficiently mined with consumer-grade hardware.
Litecoin provides faster transaction confirmations (2.5 minutes on average) and uses a memory-hard, scrypt-based mining proof-of-work algorithm to target the regular computers and GPUs most people already have.
The Litecoin network is scheduled to produce 84 million currency units.
One of the aims of Litecoin was to provide a mining algorithm that could run at the same time, on the same hardware used to mine bitcoins.
With the rise of specialized ASICs for Bitcoin, Litecoin continues to satisfy these goals. It is unlikely for ASIC mining to be developed for Litecoin until the currency is widely used.
Although the mining difficulty for Bitcoin has increased beyond an everyday computers capabilities, it is still possible to mine LiteCoin and other Alt Coins with consumer grade GPU(Graphics Processing Unit).
In this tutorial we will focus mainly on LiteCoin.
Litecoin is a peer-to-peer Internet currency that enables instant payments to anyone in the world.
It is based on the Bitcoin protocol but differs from Bitcoin in that it can be efficiently mined with consumer-grade hardware.
Litecoin provides faster transaction confirmations (2.5 minutes on average) and uses a memory-hard, scrypt-based mining proof-of-work algorithm to target the regular computers and GPUs most people already have.
The Litecoin network is scheduled to produce 84 million currency units.
One of the aims of Litecoin was to provide a mining algorithm that could run at the same time, on the same hardware used to mine bitcoins.
With the rise of specialized ASICs for Bitcoin, Litecoin continues to satisfy these goals. It is unlikely for ASIC mining to be developed for Litecoin until the currency is widely used.
Although the mining difficulty for Bitcoin has increased beyond an everyday computers capabilities, it is still possible to mine LiteCoin and other Alt Coins with consumer grade GPU(Graphics Processing Unit).
Step 1: Setting Up Your Wallet
To set up a wallet for Lite Coin visit https://litecoin.org/ to set up a wallet. This wallet can generate multiple addresses to receive coins and can send and receive payments within 60 seconds.
Wallet encryption allows you to secure your wallet, so that you can view transactions and your account balance, but are required to enter your password before spending litecoins.
This provides protection from wallet-stealing viruses and trojans as well as a sanity check before sending payments.
AVOID online wallets as much as possible as they are susceptible hacking.
Once you download the client you will need to wait for the wallet to sync with the network. However you can start mining right away.
Please proceed to the next step once you have downloaded the wallet.
Wallet encryption allows you to secure your wallet, so that you can view transactions and your account balance, but are required to enter your password before spending litecoins.
This provides protection from wallet-stealing viruses and trojans as well as a sanity check before sending payments.
AVOID online wallets as much as possible as they are susceptible hacking.
Once you download the client you will need to wait for the wallet to sync with the network. However you can start mining right away.
Please proceed to the next step once you have downloaded the wallet.
Step 2: Mining Scrypt Based Coins
For this step you will need a decent GPU. AMD radeon 79xxx series are considered some of the fastest cards for creating hashes based on scrypt. There is also support for NVIDIA cards with CUDAminer. CUDAminer is built in to GUIminer so you dont have to switch mining programs.
To mine LiteCoins you will need to download a scrypt miner.
Download Link here:
http://guiminer.org/guiminer-scrypt.html
extract all. feel free to scan for virus.
I have personally had problems with antivirus removing this program when you try to run it. If this occurs check your auto detect setting and switch to off. Run GUIminer, once it is running you can switch your antivirus back on.
Once you have GUIminer running you will probably need to join a mining pool. This is a dedicated site for pooling hashrate efforts to discover blocks on the blockchain. This is recommended for most people who are just starting to mine cryptocurrencies.
Once you have your miner open you can choose to create a new miner. If you have AMD video cards then start a new CGminer, if you are using NVIDIA then use CUDAminer. Reaper miner works well but is for more advanced users. Once you have created a new miner, visit you mining pools Getting Started page and enter in your mining pools URL as well as your mining pools miner name and password. You must create a new miner and link your address from your wallet on your mining pool to mine and receive lite coins. Once you have pointed your miner to the correct mining pool address you will see a hashrate number on your bottom right screen, and a shares generated number on the bottom left. Refresh your mining pools page and you should see your dail income of LTC. Remember to keep your computer cool to avoid damaging your graphics cards when mining. You will need to adust certain parameters to optimize your particular card. The GUIminer also comes with presets for AMD video cards for easy mining setup.
To mine LiteCoins you will need to download a scrypt miner.
Download Link here:
http://guiminer.org/guiminer-scrypt.html
extract all. feel free to scan for virus.
I have personally had problems with antivirus removing this program when you try to run it. If this occurs check your auto detect setting and switch to off. Run GUIminer, once it is running you can switch your antivirus back on.
Once you have GUIminer running you will probably need to join a mining pool. This is a dedicated site for pooling hashrate efforts to discover blocks on the blockchain. This is recommended for most people who are just starting to mine cryptocurrencies.
Once you have your miner open you can choose to create a new miner. If you have AMD video cards then start a new CGminer, if you are using NVIDIA then use CUDAminer. Reaper miner works well but is for more advanced users. Once you have created a new miner, visit you mining pools Getting Started page and enter in your mining pools URL as well as your mining pools miner name and password. You must create a new miner and link your address from your wallet on your mining pool to mine and receive lite coins. Once you have pointed your miner to the correct mining pool address you will see a hashrate number on your bottom right screen, and a shares generated number on the bottom left. Refresh your mining pools page and you should see your dail income of LTC. Remember to keep your computer cool to avoid damaging your graphics cards when mining. You will need to adust certain parameters to optimize your particular card. The GUIminer also comes with presets for AMD video cards for easy mining setup.
Step 3: Where to Use Your LiteCoins
Once you have mined or traded for some LTC there are many options on how to spend them or exchange for other currencies.
As always you should encrypt you wallet and create backups. Be cautious with online traders and wallets. Always try to deal locally or have a 3rd party you trust to make larger transactions. If you found my instruct-able helpful or have questions please comment and i will reply. Thanks for reading and happy mining!
feel free to donate to any of the following:
LTC-LgyJJVKQMk7pr6PZJutwdzBWjgJMsZebqv
CNC-CNLY41dXcPyNXc7RBtDAbx3QT2MMvnmGiq
SBC-sSXZ45epugYN7vdYbveKUhfFFzLHxBdtsv
PPC-PL3vBucY25g7f23iMeTPZSVhpHU5Uvhbqq
Also remember to check out these links
Mining
www.mine-litecoin.com
www.litecoinpool.org
www.coinhuntr.com/
ltc.kattare.com/
More info on Mining
www.weminecryptos.com
https://litecoin.info/Mining_hardware_comparison
Trading
mtgox.com
bter.com
www.kraken.com
http://www.reddit.com/r/ltcmarket/
Games
http://litecoinkamikaze.com
As always you should encrypt you wallet and create backups. Be cautious with online traders and wallets. Always try to deal locally or have a 3rd party you trust to make larger transactions. If you found my instruct-able helpful or have questions please comment and i will reply. Thanks for reading and happy mining!
feel free to donate to any of the following:
LTC-LgyJJVKQMk7pr6PZJutwdzBWjgJMsZebqv
CNC-CNLY41dXcPyNXc7RBtDAbx3QT2MMvnmGiq
SBC-sSXZ45epugYN7vdYbveKUhfFFzLHxBdtsv
PPC-PL3vBucY25g7f23iMeTPZSVhpHU5Uvhbqq
Also remember to check out these links
Mining
www.mine-litecoin.com
www.litecoinpool.org
www.coinhuntr.com/
ltc.kattare.com/
More info on Mining
www.weminecryptos.com
https://litecoin.info/Mining_hardware_comparison
Trading
mtgox.com
bter.com
www.kraken.com
http://www.reddit.com/r/ltcmarket/
Games
http://litecoinkamikaze.com
