Litecoin is an early spin-off of Bitcoin, released as an open-source software project in October 2011 by Charlie Lee. Since then, Litecoin has grown to become one of the world’s biggest digital currencies, with a total market capitalization of almost $3 billion at the time of writing. Technically, Litecoin is almost identical to Bitcoin, which means that Litecoin is completely minable. However, Litecoin differs from Bitcoin in that Bitcoin uses SHA-256 while Litecoin uses a process called Scrypt mining. Scrypt mining relies heavily on computing resources whereas SHA-256 uses considerably less.
However, if your only interest is to own Litecoin, then it would be far easier to purchase some from an exchange. On the other hand, if you want to mine Litecoin for any reason, there are a number of variables you need to consider.
Is it worth it to mine Litecoin?
As the difficulty level cryptocurrency mining rises, many miners can’t afford to upgrade to the more expensive equipment. As such, Bitcoin mining, for example, probably won’t be worth it for those looking to do it casually. Mining Litecoin, however, can still be worth your time and net you some passive income. This is because the mining process of Litecoin is still relatively easy to do. Unlike currencies such as Bitcoin, it’s still possible to mine Litecoin on a GPU, though it will be considerably less profitable than investing in specific hardware.
However, CryptoCompare provides estimated profitability depending on your available resources. If the data is accurate, Litecoin mining could earn you profits of $2.31 per day, or about $69.35 a month. That equals to more than $843 a year in passive income. If you hold on those coins and the LTC price rises, you could find yourself sitting on a small fortune. But it’s important to keep in mind that the crypto market can go either way.
Best Litecoin mining software
What is the best Litecoin miner?
There are lots of different kinds of Litecoin mining software available, but perhaps the five best are:
- Easy Miner
- Awesome Miner
- GUI Miner Scrypt
Easy Miner is a free and open-source Bitcoin software miner but can be used to mine Litecoin as well. It’s completely open-source so you can customize the software to your specific needs. Easy Miner also features its own in-built wallet and comes with a dedicated “moneymaker” mode that devotes the software to the mining of Litecoin on its own stratum pool. EasyMiner also has Litecoin mining software for Android and is widely considered to be one of the best Litecoin mining software applications available thanks to its solid reputation.
MultiMiner is regarded as one of the best Litecoin mining software applications available for new users, though it isn’t as well known as some of the others on this list. The mining software is quite versatile though as it supports Windows, Mac, and Linux and comes with features like automatic detection of network devices and can even monitor and control another MultiMiner mining rig remotely. It’s perhaps not as well optimized as it could be, but it’s clear that a lot of hard work has gone into its development.
CGMiner Litecoin has been around for a while and offers the user a host of features and a large community. CGMiner Litecoin supports Windows, Mac, Linux, OS X as well as other platforms, making it incredibly versatile. The software is also open-sourced allowing you to customize it to your needs. It also comes with several features like remote interface capabilities, complete monitoring, and fan speed controls.
Awesome miner is the mining software you should choose if you’re looking to manage multiple mining rigs as it supports various types like FGPA, ASIC. It also supports over 25 mining engines, including XMRig, SRBMiner, BFGMiner, and SGMiner, but comes with a subscription fee of $4 a month for two miners, or $36 yearly. Awesome Miner also comes with several useful features including monitoring the status and temperature of all ASIC and FPGA miners, as well as its own built-in Litecoin mining calculator. Awesome Miner also boats the unique feature of overclocking operations for both NVIDIA GPU and AMD GPU without the need for any external applications.
GUIMiner Scrypt is actually a fork of GUIMiner but has been built with beginners in mind ensuring mining is as easy and straightforward as possible. It’s predominantly designed for the Windows operating system and utilizes the computer’s graphics processing unit (GPU) or computer processing unit (CPU) with support for Scrypt mining. Scrypt is an encryption method for cryptocurrency mining. Scrypt coins are different from cryptocurrencies like Bitcoin, as such, Scrypt mining can also be used with other Scrypt coins like Dogecoin. Scrypt mining has received its share of criticism as it makes mining more difficult for the specialized ASIC miners, this is done to protect the value of the cryptocurrency for miners. Litecoin CPUMiner is a good alternative.
Litecoin mining pool
There are lots of different Litecoin mining pools available, all with their own pros and cons. However, five you should consider are:
Litecoin mining software FAQs
Is Litecoin mining still profitable?
Many wonder whether it’s still profitable to mine cryptocurrencies now that many large-scale operations have taken over, making it difficult for solo miners to compete. Litecoin mining could become extremely profitable if some of the projections are to be believed. However, there is no guarantee that these will come true and many investors believe there is no space for altcoins to continue growing which could see LTC’s price plummet.
With that being said, Litecoin mining is a long-term commitment. There are risks that need to be evaluated and sums to be calculated in order to ensure the income you make outweighs the additional costs you’ll incur.
Litecoin mining factors to consider
Investment in hardware and software
Like Bitcoin miner software, Litecoin mining also requires investment into software and hardware. On the hardware side, you need specific Scrypt mining hardware, like ASIC miners. These mining rigs are considerably more powerful than mining on a CPU or GPU and often come with pre-installed software so you can get your miner up and running immediately.
In addition to the investment in hardware and cooling system, miner machines can be notoriously power-hungry. This can be an unexpected cost and may impact your ability to make a profit.
Miner and transaction fees
Whether you decide to be a solo miner, join a pool or cloud mine, there will be fees and costs involved every time you get your block rewards and transfer your new coins to your wallet. While these fees are relatively small, they can add up.
How long does it take to mine 1 Litecoin?
It’s difficult to provide an accurate figure given the various factors that contribute to mining speed and will vary depending on your equipment, the amount of time you spend running the machine, and the current difficulty factor. If you are mining on a traditional home-based computer CPU, it will take an extraordinarily long time to mine 1 LTC.
GPU mining isn’t a whole lot better thanks to the competition. However, if you’re using a high-end ASIC mining hardware, it’s possible for you to earn your first LTC within a few hours, provided you have a high enough hash rate. However, if you’re part of a pool, you’ll get rewards far more frequently.
While Litecoin mining might not be as profitable as it once was, it can still be worth the time and effort provided you account for several different factors such as hardware and software, the various methods to mine Litecoin as well as how long it will take.
So, while there are a number of factors that determine the profitability of Litecoin mining, it can still be worth your time if you’re willing to make some investments. Even if you aren’t willing to shell out the money needed for a mining rig and other equipment, you could still make some passive income though it would take much longer. Instead, if you’re deadset on mining but unsure of which currency, other projects like Ethereum, Aeon, Vertcoin, or ByteCoin are considerably easier to mine.