At the beginning of this year, the price of coins saw a wave of increases. When everyone was ready for the bull market, the rate of increase slowed down... Then, small mining coins re-entered the vision of people in the coin circle.The so-called small mining coins are coins with a smaller market value that are mined by computing power with PoW as the consensus mechanism.Small mining coins such as AXE, IMG, X-CASH, QWC, BSHA3, etc. have their own unique genes and innovative gameplay. While giving people the hope of a hundredfold return, they also make industry participants shine and bring some fun to their investment activities.In this issue of the BBY roundtable "Small Mining Coins, Big Potential!", we invited F2Pool CMO Li Qingfei, Beam Project CEO Alex Zaidelson, AntPool Business Manager Li Ruixiao, CITEX Co-founder & Marketing Director Liu Xiaodong, Professor Chenpal, community leader of small mining coin projects IMG and AXE, Kevin, head of Aladdin China, and BlockArk founder Su Ye to talk with us about small mining coins.The roundtable content is summarized as follows.This article is a summary of the guests’ opinions and does not represent the position of Bibi News.Bibi News would like to remind everyone to be cautious in investing.Highlights:- 01 -
Roundtable Question 1
What are the differences between small mining coins and mainstream mining coins, and what are their respective advantages and disadvantages?Li Qingfei:Small mining coins can be said to be a concept that has emerged recently.Let's define what is a mainstream coin and what is a small mining coin.For some people, except for Bitcoin and Ethereum, other coins mined may be small coins.Small coins can refer to coins that have been online for a short time, have low market value, relatively low attention, and have great appreciation potential.Mainstream coins are coins with high market value and high consensus among mainstream miners.In addition, there are also differences in the daily total output value between the two.At present, the daily total output value of some larger PoW currencies is almost more than 300,000RMB, while the daily total output value of small mining coins is mostly below 100,000. Of course, the daily total output value of the two is not fixed. With the popularization and development of small mining coins, they may also become mainstream currencies with higher recognition.
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Roundtable Question 2
Will the requirements for mining hardware for small mining coins be relatively lower? I wonder what the configuration ratio of the mining pools and mining farms involved in the guests is for small mining coins. Will mining these small mining coins be affected by some factors, such as the market, flood season, etc. Can you tell us in detail?Li Qingfei:The performance requirements for hardware mainly depend on the algorithm (hash function) corresponding to the currency.Some currencies use existing algorithms, and the corresponding mining machines already exist in the mining market. Such mining machines already have standards, such as IMG, AXE, etc.There are also some small mining coins that use innovative algorithms. In order to combat ASIC or other factors, the developers designed the algorithms to be very special, which in turn places very high requirements on the performance of the mining hardware.Therefore, the hardware requirements for small mining coins are not necessarily low.At F2Pool, we will choose to list some small coins with more potential in Labs, and update them at a rate of about 1 coin per month.At present, there are still many small coins online in F2Pool, and the two most recent ones are IMG and SERO.The daily output value of small mining coins is relatively low, most of which are around 20,000. Compared with the PoW mining industry with a daily output value of more than150 million, the PoW coins of this scale are very small and cannot bear too many mining machines and computing power influx.Miners will choose to invest in mining small currencies, but they will not mine small coins for a long time unless they are particularly optimistic about them.As the price of coins fluctuates and the difficulty of mining changes, when the income of small coins exceeds other mainstream currencies supported by mining machines, miners will choose to switch to mining small coins, dig a wave and leave, because the income is so limited, and more people will mine fewer coins.Miners mining small coins are more affected by the market. If the income increases, the miners will be more recognized.As for factors such as electricity prices and floods, the impact is relatively small.Li Ruixiao:First of all, hardware requirements cannot be generalized.Take AntPool as an example. We launched the innovation zone - AntPool Labs in March this year, and have now launched DCR/HC/BEAM/XMR/RVN/AXE.Among them, the typical small mining coin RVN only supports A/N graphics card mining, while the newly launched AXE supports ASIC mining.There are many factors that affect mining coins. In addition to the characteristics of the coin itself, it is also mainly affected by factors such as the total network computing power, price, transaction depth, and whether the mining software is easy to use.Kevin:I will answer this question from the perspective of the community.From the perspective of the scale of miners, currently large mining pools and mining farms have relatively few allocations on small mining coins, and most of the miners of small mining coins are still retail investors with firm beliefs.The market of small mining coins is relatively independent, but it is greatly affected by the computing power of the mining pool. As the computing power increases, the output cost increases, and the coin price will rise;as the computing power decreases, the attention decreases, the output cost decreases, and the price will fall.With relatively balanced computing power support, the community has a great influence on small mining coins.A community that can deeply understand the project will form a strong consensus. As the attention increases, the project will gradually enter the vision of big capital, obtain more resources, and embark on the fast track of development, thus reflecting the true value of the project.AXE received very little attention at the beginning of the year, but with the healthy development of the community, the project has gradually matured.
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Round Table Question 3
CITEX is the world's first mining coin exchange. When the overall market fell, your P-board mining coins all rose. Why did you create a P-board? What are your trump cards in selecting high-quality potential mining coins?Liu Xiaodong:I will answer this question from two perspectives.1. Let’s start with the competition among exchanges.In October last year, there were 120,000 exchanges on the entire network. Now there should be more exchanges, so if we want to make a breakthrough, we must find a new and differentiated competitive path.We analyzed the situation of Binance and Huobi and decided to do what the big exchanges don’t do.Mining coins are difficult to develop and have small trading volumes. Big platforms don’t care about this piece of cake, and small platforms don’t have such capabilities. For a new trading platform, this is a good entry point.2. Based on the judgment of the future.Most of the top 30 projects in terms of market value are mining coins.IXO is becoming more and more unsustainable.The primary and secondary markets cannot bring about a real get-rich-quick effect. The number of users in the circle is small. If you want to gain economic benefits, you have to rely on projects with low valuations, potential, and fair issuance mechanisms.Therefore, we believe that the future market will still be dominated by projects with fairer issuance mechanisms and severely underestimated value.That is why CITEX chose to be a mining coin.We have two major advantages in selecting high-quality mining coins.First, based on the strength of the team.Wiliiam has more than ten years of traditional PE experience and has invested in five listed companies.I joined the cryptocurrency circle in 2014 and have also invested in several thousand-fold coin projects, which are basically mining coins.Other core team members also have their own strengths.The second is community support.Through our efforts, we have maintained a good relationship between the project side, the B-end and the C-end of the community, and have formed a positive cycle between the Chinese and foreign mining and currency circles.Influential big Vs will actively recommend projects to us, and the community will automatically push high-quality projects to the exchange. Here, we would like to thank Aladdin, Professor, Su Ye and other friends for their support.
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Round Table Question 4
Now some exchanges are carrying out mining coin activities. How long do you think the popularity of mining coins can last? Will the rise of mainstream coins affect the development of mining coin projects? How to find innovative points of development and the driving force for the sustainable development of projects?Chenpal:In the long run, mining coins are the coins that meet the original intention of digital currency.Bitcoin is a mining coin. Experience has shown that centralized tokens are actually no different from gambling chips. The dealer watches your cards and plays, and they will definitely win.In the long run, high-quality mining coins are very cost-effective investments. If you hold on to them, you will get good returns. It is hard to say how many ups and downs you will experience during this period.
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Round Table Question 5
Which investors are more willing or more suitable to invest in small mining coins, and why?Which small mining coins do you think are good, and what are their characteristics?Alex:I personally think that people are paying more and more attention to privacy.The privacy of mainstream mining coins (BTC, LTC, ETH, etc.) is not very good, and it also exposes a lot of user information.So I think that small mining coins that focus on privacy are very in the public interest.The currencies I am more optimistic about are Beam and Grin, which are based on the Mimblewimble protocol.I am also optimistic about Zcoin, which is currently upgrading its privacy technology.Kevin:We are still optimistic about the AXE and Triton projects.AXE is a fair version of Dash, which removes some backdoors of Dash and develops in parallel with Dash.This project is currently being promoted around the world. The Brazilian community has been developed in the early stage, and the European and Russian communities will soon be established.I believe that in the near future, AXE can truly achieve the effect of "Dash gold, Axe silver".Triton is a project that stands at the forefront of the crypto stablecoin trend.Recently, the project has updated its name (XEQ) and UI, and also launched a node function.Although it is not as well-known as Facebook's Lirba, as a crypto stablecoin, I believe that more companies will use its services in the future.Su Ye:After Professor brought IMG and AXE to China, we did the first AMA (ask me anything) for Dashi Duo in China with Aladdin, Professor, and Xiaodong.At that time, Charlie refused to share on WeChat due to privacy protection. Professor translated Charlie's English, and I translated the ideas of the Chinese community into English and posted them on Discord.Chenpal:At that time, many people said that I was a fictional character. Now everyone has seen my photos, and it’s only been four months, but it feels like a lifetime ago.Su Ye:At that time, mining coins had just started to attract attention and the community had just been built. It was indeed a very unforgettable period.One of the mining coins I am optimistic about is AXE.In March, AXE's market value just reached 1 million US dollars, and now it has exceeded 10 million US dollars. Its computing power is close to 1/10 of Dash. Although it was established not long ago, AXE has increased by 200 times.The Matthew effect also exists in the mining coin circle. Once this large-scale, cross-border consensus is formed, it is difficult to collapse.Why do mining coins continue to attract so much attention?I believe everyone has participated in various ICOs.Blockchain gives us a vision of an open and fair digital world, but the opacity of many token projects has left a deep shadow on investors.In my opinion, small mining coins give all users who pursue fairness a new opportunity.All information is like a vast field, showing in front of everyone.All coins are generated by mathematical algorithms and mined by consuming electricity.When users trade, they don’t have to worry about "cornerstone investors" having chips at no cost to dump the market.The attraction of mining coins lies in In Equality We Trust. Mining coins provide users with a fertile field of equality and justice.
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Round Table Question 6
What are the risks of investing in small mining coins? Can you give some investment advice to our Bibi News fans?Chenpal:First, look at the technical risks, which are fatal.For example, we need to consider whether the coin can be issued at will. Small mining coins may not be as serious as ERC20 tokens in this regard, but we still need to consider this point;and whether there are major technical loopholes;if there are a lot of insider trading in the project, we must not touch it.Second, look at the quality of the community.If the community leader does not contribute money or effort, but instead hoards the stock and shouts orders every day to find someone to take over, such coins should not be touched;if there is no valuable discussion in the community group, such coins should also not be touched.
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Round Table Question 7
Many small mining coin projects do not have ICOs or angel investments, and are mainly operated by teams and communities.Some investors will pay attention to the construction of local and foreign communities when choosing small mining coins.Where do you think the cohesion and support of projects like this mainly come from?How should the community be built?Su Ye:The scenes of the mining coin community and the token community are completely different.On Discord, the most native community of small mining coins, you can see a lot of sections.This is a screenshot of the AXE Discord.There is a General section for casual chatting, a Mining section for discussing mining, an Exchange section for discussing coin listings, a Bounty section for posting bounty tasks, and sections for Chinese, Japanese, Dutch and other languages around the world.Building a community is like managing a manor. You need someone to weed, sow seeds, install fences, and take tourists to visit.The big brother of mining coins, Turtle Coin TRTL, is one of the best communities I have ever seen.There are members in the group who volunteer to translate the weekly report, help sort out mining tutorials, create columns and write articles, show off their emojis, and help contact exchanges...As Professor Chenpal said, a healthy community is like a small society, where all kinds of talents contribute their expertise to form an organic ecosystem.
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Round Table Question 8
What do you think about the development of small mining coins after the market matures?Will they remain a niche and marginalized status, or will they be able to develop their own style like staking and Defi?In your imagination, what new ways can small mining coins be played?Li Qingfei:I think this is like a king's battle,with countless small mining coins appearing and disappearing.This competition field is large enough, the total hardware cost of the PoW mining market exceeds 100 billion, and the annual total output value exceeds 10 billion.There are many medium and large enterprises formed around PoW mining, including mining machine manufacturers such as Bitmain, mining pools such as F2Pool, mining software providers such as minerOS, etc.This is a large-scale emerging industry that can cultivate new projects with strong competitiveness.In this environment, after many small mining coins compete and compete, a group of them will complete the transformation from small mining coins to mainstream mining coins.However, more small currencies, and even some of the current mainstream mining coins, may become obscure in the future.There are many opportunities here, but the future is definitely unknown. I hope we can all bet on the right thing.Regarding the second question, I think small mining coins will not always be small mining coins, so they cannot be viewed separately. Regardless of small mining coins or mainstream mining coins, they are all PoW coins, and PoW coins are originally a school of their own.The last question is that I have the most contact with miners and mining. In terms of gameplay, I am limited by my vision.Compared with buying coins directly from the market, the cost of mining to obtain chips is lower. If you are optimistic about small mining coins, you can mine small mining coins by deploying computing power.In addition, as I mentioned before, miners generally do not mine a small coin for a long time, and usually go to the one with the highest return.So after configuring the mining machine, you can choose the high-return coin to mine based on the mining return.F2Pool provides a "popular mining machine" function, which lists the mineable currencies of each mining machine and sorts them according to the yield. Miners can refer to this data and choose high-yield currencies for mining. The homepage of the F2Pool APP has related functions directly.Liu Xiaodong:As Mr. Qingfei said, small mining coins are a king competition, with countless small mining coins appearing and disappearing.The investment risk of mining coins is very high. What CITEX wants to do is to be the Nasdaq of cryptocurrency, to screen truly high-quality potential mining coins for everyone and provide angel investment opportunities.The performance of the P board has been average in the past two days. Many people asked me whether the mining coins are dead. I feel helpless and a bit speechless.First of all, the development of everything is gradual, spiral and cyclical.It was hot in April and cold in May, but it was only a partial correction in the past few days, which may be related to several factors, such as:the entry speed of mining coin circle funds and communities is slower than diversion, and the price of CTT has fallen.I have always believed that there are thresholds for investing in mining coins. One is the depth, and the other is to bear the possible risk of zeroing.Here I would like to focus on the issue of mining coin community diversion.Recently, I found that many people are buying mining coins on some foreign websites, waiting for them to be listed on CITEX and crash the market.Here I can tell you that we will not list most of the coins.Most of the small mining coins will return to zero, so please pay attention to the risks.I think mining coins are the future before new first- and second-level gameplay comes out.Bitcoin was also a small mining coin when it was $10, and most of the top 30 projects are mining coins.I haven’t found any new ways to play yet.Personally, I think that the cryptocurrency world is a cycle. At this stage, the IXO method is struggling. The issuance mechanism and growth method of mining coins may return. The arrival of the mining coin era requires a change in thinking, including changes in community, market value management and other operating methods. Those who do not change should be eliminated.
