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
    order.

    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.

    https://steemit.com/nicehash/@...
    (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.

    https://steemit.com/deeponion/...
    (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.

    [IMG]

    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.

    [IMG]

    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.

    [IMG]

    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.

    Source:https://deeponion.org/communit...



  • @cryptoking

    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/



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