DeepOnion Mining With Nicehash: Expected Vs. Actual Outcome
Recently I was interested in cloud
mining and whether is profitable or not. So I decided to test it out
with my current favorite project DeepOnion, which is a young and
promising privacy coin.
It uses a x13 algorithm in combination with proof of stake, is mostly
premined and many people say it's not profitable to mine it. Despite the
bad forecast, I wanted more exact information. First of all I
calculated my expected outcome. There are a few values that influence
the mining reward. The main of them are the block reward, difficulty and
the price of the hashing power. Taking them into account I have
calculated a reward of about 15 $onions for a minimum 0.005 BTC nicehash
Block reward [onion]: 8 $onion
Difficulty: 115 441 (1.1510^5)
Difficulty2^32: 495 815 319 617 536 (4.96*10^14)
Price: 0.0004 BTC/GH/day
**Expected reward:** ~15 $onions
For further details about the calculations you can look them up in my previous post.
(How To Calculate Your Expected Outcome For Nicehash Mining — Steemit)
Actually this was my second try to mine $onions. The first one was
moderately successful, because I set up an order on a pool with only a
few other miners. Compared to them my hashrate was many times higher and
so I contributed to only two blocks which means my rewards depended
mainly on luck. You can read about my first experience in this post.
(My first cloud mining experience with DeepOnion — Steemit)
With the gained experience I thought the second try should be
profitable. Luckily the price of the hashing power decreased in the
meantime and I was able to buy some with a price of only 0.0002
BTC/GH/day, so only 50% of the previous order. My expected outcome
should therefor double and be around 30 $onions.
Screenshot of the nicehash order
To prevent the same problems as with the previous order, I decided to switch to the community pool of DeepOnion (https://onionpool.youngwebsolutions.com (The Deep-Pool - Mining Evolved - Home)),
because there were many other miners with a decent hashrate. After a
few start-up difficulties my order received hashing power from many
miners and finished just in a few hours.
History chart of the nicehash order
After seeing that my
order has finished, I immediately checked my earning on the community
pool and was pleasantly surprised. I earned 30.42122232 $onions which is
really close to the projected 30 $onions and with the current price I
made about +20% compared to buying them on an exchange.
Excited about the results, I created another order on nicehash.
Unfortunately the difficulty spiked at that time and on my third order I
just received 22.940032 $onions for the same price. The following
screenshot summarizes the three orders I created.
Nicehash orders overview
In conclusion if you constantly monitor you order and the difficulty of
the network, you can mine profitable with nicehash. In total I had three
orders and paid 0.015 BTC for 64.75 $onions. According to the current
price of 0.00023669 BTC I made 0.0003 BTC profit.
Very good article. I do like your objective view of things. So, I’m very curious to know your opinion about cloud mining. Do you think that every corresponding service is priori a scam or there are some trusted ones like Genesis or hashflare for example. What’s more, I would really like to know what you think about promo codes. Are they real when we speak about cloud mining or not? For example, these ones http://hashflarecode.com/