Is It Still Worth It To Mine Bitcoin?

In the digital world, 2013 was known as the year of the Bitcoin. Bitcoin could’ve been purchased in the beginning of the year for as little as $40. Throughout the year, awareness for the digital currency rose, and skyrocketed in price, reaching over $1200 at it’s highest point.

While the awareness brought a huge increase in the price of Bitcoin, it also brought in a huge influx of new Bitcoin miners, including some people who have spent tens of thousands of dollars on Bitcoin mining machines. But what does that leave for us? Is it still profitable for new people without a huge budget to mine Bitcoin?

Unfortunately, probably not. While just last year it was very possible to mine large fractions of a Bitcoin, it’s nearly impossible to do so now without having a ton of expensive mining hardware at your disposal. The influx of new miners has pushed the difficulty up dramatically, making it harder for individual people to get a good share of a block when one is eventually found.

On top of all of this, ASIC miners, rigs designed specifically for mining Bitcoin, have dominated the Bitcoin mining scene, making it even harder for people with a lower hashrate to compete. While Bitcoin mining is still very much possible, it is often not profitable enough to cover the cost of electricity, and there are better options available.

What To Mine Instead

Altcoins

If your main goal is to get Bitcoin, there are easier ways to do so without mining Bitcoin directly. The most profitable way to get Bitcoin is actually not to mine Bitcoin at all. It is far more profitable to mine altcoins that use the scrypt hashing algorithm, such as Litecoin or Dogecoin, and exchange it for Bitcoin on an exchange such as Cryptsy. All coins that use the scrypt hashing algorithm are not able to be mined by ASIC miners, meaning that GPU users will still be able to compete for shares of the blocks found for each coin.

In the long run, the amount of alternate coins you mine will make you far more Bitcoin by trading them on an exchange than if you had just mined Bitcoin directly.

After all, the Bitcoin ship may have sailed, but now is the perfect time to jump on board for another coin.

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