Is cryptocurrency mining profitable in 2023? Top 4 methods to try

Despite occasional setbacks, the cryptocurrency sector continues to expand, enticing an increasing number of newcomers to try and get their hands on their own piece of the crypto cake, particularly through crypto mining which is today possible in several different ways.

With this in mind, crypto YouTuber Drew Vosk has analyzed the existing crypto mining methods, using his own experience as a guide to measure and predict their viability, as well as to suggest the various options to earn passive income in cryptocurrencies in a video published on January 2.

Is GPU mining dead?

For a long time, mining using graphics cards or graphics processing units (GPUs) has been the go-to way for most crypto enthusiasts to generate their digital assets, but Vosk doesn’t think this method of cryptocurrency mining is that viable any longer.

According to him, there are only four graphics cards today that earn more money than they burn electricity, and there isn’t a single one that makes more than 24 cents a day right now. Moreover, they cost between $600 and $2,000, leading the YouTuber to conclude that “GPU mining is absolutely dead.”

That said, there are multiple alternatives to GPU mining, and Vosk has analyzed several.

1) Hard drive mining

One of the most viable long-term crypto mining options is hard drive mining with, for instance, Evergreen Miner v2, a plug-and-play mining option that averages about $60 per month.

The prices range from $299 for a very basic Starter Kit to $2,799 for the Starter Kit Pro, providing a mining rig that isn’t loud, doesn’t produce much heat, and doesn’t cost much to operate, and Vosk recommends it to mine Chia (XCH).

Evergreen mining rig. Source: VoskCoin

2) 5G mining

Vosk also mentions Bobcat miners like Bobber 500 as a way to mine Helium (HNT) using 5G cellular and LoRaWAN wireless coverage, but not as a very interesting or profitable option, as his 18 Helium hotspot miners have only generated $1 a day.

He is also put off by his negative experiences with Helium and NovaLabs, which is why he is not very trusting of the cryptocurrency. However, he admits that “5G mining could prove to be lucrative whether people love that or hate that.” 

Bobcat miner. Source: VoskCoin

3) ASIC mining

As another viable alternative to GPU and CPU mining, Vosk recommends Bitmain Antminer K7, the second most profitable miner after the KA3 model, although he stresses that the profit numbers can change drastically, considering it is a very new product on the market.

Furthermore, he mentioned the Bitmain Antminer L7, which is available at the mining rig reseller CoinMining Central at the price of $10,725 a piece, whereas the K7 costs $5,728, slightly more expensive than on Bitmain’s website but comparably more available.

ASIC mining rig. Source: VoskCoin

4) Equihash mining

Additionally, Vosk touched upon Equihash mining, the algorithm that allows mining cryptocurrencies with ASIC resistance like Zcash (ZEC), which he recommends considering despite many criticizing it and referring to the token as ‘Z-trash.’ 

Currently, there is only one miner showing up as profitable for mining Equihash cryptocurrencies – Bitmain Antminer Z15 from 2020 – which Vosk doesn’t see as very viable considering it is already three years old, and he projects many new Equihash mining devices replacing it very soon.

Equihash mining rig. Source: VoskCoin

Crypto mining is still profitable

Finally, Vosk advises viewers who already have the gear that generates a couple of dollars a day to continue running them but, at the end of the day, to still analyze which option is the most suitable for them – run the numbers and compare the electricity rates.

Another option is to assemble a crypto mining rig from scratch, which might sound daunting for a beginner but, with some help, can become a fun and possibly very rewarding activity that could pay out in the future, depending on the situation in the crypto field (and beyond). 

That said, if independence from the local grid and offsetting the electricity waste produced by mining Bitcoin (BTC) sound more appealing, then using solar power to mine crypto might be the right albeit weaker choice, and the results might vary.