Spoiler: Now you can get daily payouts from the Ethereum pool starting from $1.75 without fees.
- Ethereum Miners Are Getting Less Profit after the London Upgrade
- Delayed Payouts to Ethereum Miners
- 2Miners Solves the Payout Problems
- Free Payouts in Nano for Ethereum miners
- Is Bitcoin Mining on GPU Possible?
- How to Set Up RaveOS and HiveOS for Mining in BTC and NANO
- Conclusion: Cryptocurrency Auto-Exchange in Mining
Ethereum Miners Are Getting Less Profit after the London Upgrade
For the past two months, there have been constant issues with transactions after the London upgrade in the Ethereum network. Transaction fees are too high, and transactions are often late.
Main Issue: Say, a miner with one GPU earns $3.00 per day. To get his monthly payout of $90, he must pay $7.50, which is almost 10% of his profit. Not only It’s too much, but many miners also want to get payouts each week or even more often.
The Ethereum network has had an issue with high transaction fees between addresses for a long time. It didn’t concern mining pools before: they could decide for themselves which transactions and fees to include in their blocks, and which to exclude. Now mining pools don’t have an advantage. They are forced to send payouts to miners at market price.
At the time of writing, the Ethereum transaction fee is $10 per transaction.
It happens due to the Ethereum network load. The London upgrade was supposed to solve this issue, but it only made the situation worse. When there are many transactions in line, the base gas price rises. You can read more about the “gas” concept in the dedicated article: What is Gas in Ethereum? Ethereum Transaction Fees.
In the case of smart contracts, widely used by cryptocurrency exchanges and online wallet providers, each transaction costs even more: up to $20–$30.
As a mining pool, all we can do is to limit the max gas price we pay to send payouts so that our miners don’t waste a significant part of their profits on payout fees. Currently, our max gas price is 100 gwei, so a miner pays no more than $7.60 to send a payout to a standard address.
Delayed Payouts to Ethereum Miners
High transaction fees in Ethereum lead to the second problem: payouts arrive late. They are not always delayed: only on those days when the Ethereum network is overloaded. Sadly, the network is overloaded almost non-stop, and we don’t think it is going to change for the better. The number of active cryptocurrency users is constantly growing.
As a result, it also hurts miners. The pool sends payouts only when the transaction fee reaches an acceptable level: under $7.60 per transaction. The rest of the time miners have to wait for their payouts hoping that the gas price in Ethereum goes down.
Let’s look at last week’s gas price chart. Keep in mind that the pool set a limit of 100 gwei. The chart can be roughly divided into two parts: 3 days to the left (October 2–4) when the pool pays as usual and 4 days to the right (October 5–8) when the pool payments are delayed.
Users complain about it all the time, but what can we do? We can only raise the gas limit even more. How much would a transaction cost then? $20? $30? It’s unacceptable. Most miners won’t appreciate such a decision and will have to look for other sources of income. They can’t just change the pool for mining, as all the pools are having the same problem.
2Miners Solves the Payout Problems
You are a small miner with one graphics card and you want to get paid today, right away, without paying insane Ethereum Network fees. How can you do it?
A logical thing to do is to get payouts through another cryptocurrency network that doesn’t have all these issues. So we studied transaction fees and operation speed of popular coins. Nano (ticker: NANO) turned out to be the most suitable cryptocurrency. What is this coin?
At the time of writing, Nano ranks 113th among all cryptocurrencies by market cap.
Nano’s main advantage is instant and completely free transactions.
Nano is traded on many cryptocurrency exchanges. The daily trading volume is $15+ million. Once the pool pays you, you can exchange Nano at any time for any cryptocurrency (even Ethereum). In the end, you will have even more Ethereum this way than by getting paid in Ethereum directly. Pool payouts in Nano cost you nothing.
Our Ethereum pool can now process the payouts in NANO.
We understand that you might be surprised by our decision, as you don’t trust this coin. That is why we came up with another solution: payouts in Bitcoin. What can be better? Unlike Nano, Bitcoin requires a transaction fee, but it’s much lower than Ethereum’s.
Free Payouts in Nano for Ethereum miners
Now you can get payouts in the Ethereum pool for free every day even if you have only one graphics card. Also, Nicehash and other mining rental platforms are supported.
How does it work?
Once the payout threshold set by a miner is reached, the pool automatically exchanges ETH earned by the miner to NANO. We currently use such cryptocurrency exchanges as Kraken and Binance. Cryptocurrencies are always exchanged at market price.
Say, your payout threshold is 0.0005 ETH (approx. $1.75). You accumulate 0.0006 ETH ($2.1), which sets the payout process in motion. The pool sends your 0.0006 ETH ($2.1) and coins of other miners to exchange and converts them to NANO at market price. After the pool gets money in NANO, it issues payouts to each miner in NANO. As a result, you get the equivalent of 0.0006 ETH ($2.1) in Nano to your wallet without losing a penny.
At first, we didn’t want to set a payout threshold for payments in NANO. Say, you earn 0.0001 NANO in a day (less than $0.0005 at the current exchange rate). We know that many users mine directly to an exchange. Exchanges often have a deposit threshold. For example, a minimum deposit on Kraken is 0.1 NANO. That is why we set a threshold for payouts in NANO in the pool: the equivalent of 0.0005 ETH (~$1.75). Even the weakest GPU that mines Ethereum can accumulate the required minimum in one day.
- Get a desktop or mobile NANO wallet or generate a NANO address on a cryptocurrency exchange. The best wallet is Natrium. The best exchanges are Binance, Kraken, KuCoin.
- Replace your ETH address with NANO wallet address in the miner settings. A sample bat file for mining with Gminer
miner.exe --algo ethash --server eth.2miners.com:2020 --user nano_3gyf7qnmkp4puzghqks8pn1rfxsubhpya4m5hohdeqkejdjtpwd4tkfxz6a9.RIG_ID
- Once mining starts, you can go to your Statistics page by entering your wallet address in the search field on 2Miners.com. Your address is also shown on the list of all pool miners along with regular ETH addresses. For example nano_3oxxxag4jj883zt7bdsdhym8qagsbk4rxw48chmy11xgi4mfxqda7o6ro1ct. You can set a payout threshold on your Stats page. You don’t have to do it though. NANO transactions are free, so you can get paid as often as you like without any losses.
When Nano Payouts Are Processed
Payouts are processed once a day at 12:00 UTC. Payouts are not instant. Considering that your ETH must be transferred to an exchange, exchanged, and then transferred back, the whole process usually takes no more than two hours allowing for small delays. We plan to process the payouts more than once a day in the future.
When miners get paid in NANO, they don’t pay any fees at all.
The whole process is completely transparent. After the pool issues a payout (and even during the payout process), you can monitor the operation status of an exchange system, check an exchange rate, track your money from the moment ETH is sent to exchange to the moment you get NANO. The pool doesn’t retain any additional fees: all exchanged money is paid out to miners in full.
Is Bitcoin Mining on GPU Possible?
It sounds surreal: everybody knows that you can only mine Bitcoin on ASICs. We made Bitcoin mining on GPU a reality. You can mine Ethereum in the 2Miners pool and get paid in BTC.
Once the payout threshold set by a miner is reached, the pool automatically exchanges ETH earned by the miner to BTC. We currently use such cryptocurrency exchanges as Kraken and Binance. Cryptocurrencies are always exchanged at market price.
- Get a desktop or mobile BTC wallet or generate a BTC address on a cryptocurrency exchange. If you use Binance choose the Bitcoin chain.
- Replace your ETH address with BTC wallet address in the miner settings. A sample bat file for mining with Gminer
miner.exe --algo ethash --server eth.2miners.com:2020 --user 1HyyZxZAQjZenHf9TGsdUY9cxvMpbGjGBz.RIG_ID
- Once mining starts, you can go to your Statistics page by entering your wallet address in the search field on 2Miners.com. Your address is also shown on the list of all pool miners along with regular ETH addresses. For example bc1qrlpjqp2vvaan0ferh44z7tsevqzkcxrugm9g5n. You can set a payout threshold on your Statistics page. It is always set in ETH. You can choose any amount from 0.005 ETH (approx. $17.5) to 10 ETH.
When Bitcoins Payouts Are Processed
Payouts are issued once a day at 12:00 UTC. Payouts are not instant. The whole process usually takes no more than two hours allowing for small delays (like waiting for exchanged BTC withdrawn from an exchange). We plan to process the payouts more than once a day in the future.
When miners get payouts from our payment gateway, they pay only a part of the transaction fee in the Bitcoin network. We group all miner payouts in one transaction. The transaction expenses are then divided between the miners in equal parts. That is why the current fee for each miner is less than $0.5
All other fees are covered by the pool, including the fee for sending ETH to an exchange and the fee for withdrawing BTC from an exchange. If you don’t want to pay any fees at all, consider mining ETH and receiving the payouts in NANO.
The whole process is completely transparent. After the pool issues a payout (and even during the payout process), you can monitor the operation status of an exchange system, check an exchange rate, track your money from the moment ETH is sent to exchange to the moment you get BTC. The pool doesn’t retain any additional fees: all exchanged money is paid out to miners in full.
Now you can mine BTC on video cards by simply connecting to the 2Miners Ethereum pool with your BTC address instead of Ethereum address. The pool will take care of all conversions with minimal fees.
How to Set Up RaveOS and HiveOS for Mining in BTC and NANO
Let’s check the settings for popular mining Linux-based operating systems. The principle is simple: when you enter your wallet address you need to use your Bitcoin or NANO address.
Please find below the screenshot of RaveOS settings for NANO. We remind you that RaveOS is absolutely free if you mine in 2Miners pool.
If you use HiveOS select the 2Miners Ethereum pool Flight Sheet. Please pay attention that when you add the wallet address you select the ETH Coin. The address itself could be not only ETH but also BTC or NANO if you mine in 2Miners pool. Check an example of the HiveOS settings for NANO payouts below.
Conclusion: Cryptocurrency Auto-Exchange in Mining
If you mine Ethereum in the 2Miners pool, you can choose one of three cryptocurrencies for payouts: Ethereum, Bitcoin, or Nano. The minimum payout in Ethereum and Bitcoin is 0.005 ETH (~$18) and in Nano – 0.0005 ETH (~$1.80).
Payouts in ETH are issued within two hours after you reach your payout threshold. Payouts in BTC and NANO are issued once a day at 12:00 UTC.
No special setup is needed to use auto-exchange. Just add the wallet address of the cryptocurrency in which you want to get paid (ETH, BTC, or NANO) to your miner settings.
As of now, auto-exchange works only in 2Miners Ethereum pools (PPLNS and SOLO). We might also add auto-exchange for other cryptocurrencies in our pools in the future. We are looking forward to your feedback in our Telegram chat and on Twitter. We want our users to get payouts for cryptocurrency mining as easily as possible. Thank you for choosing us!