PegNet is a decentralized, non-custodial network of tokens pegged (stabilized) to different currencies and assets that allows for trading and conversion of value without the need for counterparties. It is a fully auditable, open source stable coin network using the competition of PoW and external oracles to converge on the prices of currencies and assets. You can mine PEG, the token of PegNet which can be seamlessly converted to any pAsset on the network with no spread, no slippage, and with infinite liquidity. The PEG mining is CPU-based thanks to its unique LXRHash algorithm and you can either solo mine or use a pool with the second option being more interesting and easier for most users with limited hashpower due to the way rewards are being distributed. PegNet was launched fairly with no premine and no ICO.

The miners in the PegNet network act as oracles for the pricing data of the PegNet assets. Miners are responsible for fetching the latest pricing data, and reporting the prices to the Factom Blockchain. Their prices will be submitted in a specific oracle chain on the Factom Blockchain. After each block is published, all of the entries within it will be analyzed by the miners and the reward will go to the miners that have given the most authoritative answers. Each entry that is published as part of the mining process must contain the Oracle Price Record (OPR). This allows the miners to give the PegNet network real-time price information. The OPR includes the full list of the PegNet assets as well as their current price in PEG. The hashing algorithm employed by PegNet is designed to be RAM access bound. CPU or GPU hardware has less of an impact on the overall performance of the hashing challenge. The PegNet provides a static 5000 PEG reward with every block with 10 minute block time with the reward distributed evenly among the top 25 graded OPRs (200 PEG each).

The only available pool at the moment for PegNet PEG mining is ORAX Pool that combines all the hashing power of many users in order to get more winning OPRs and then splits the award among all of the miners using it. Since every round the number of OPRs from the pool can vary the total block reward distributed among miners will be variable as well and in rare cases it can even be zero (no winning OPRs and no rewards). Going for solo mining PEG with little hashing power will make it harder for you to get among the winning OPRs, though if you do it would mean that you will get 200 PEG as a reward. So our guide here is for pool mining on the ORAX pool and not for solo mining.

To start mining on the ORAX pool you need to first download their client application orax-cli as it is being used both for registration on the pool as well as for mining. You need to run "orax-cli.exe register" on the system you are going to be using for mining and the first time you do so to select to create a new account, when running on the second and so on mining rig you can just select to use existing account and login with it. When registering you need to provide email address (login ID) and password for the pool as well as payment address, each mining rig will get a unique ID generated and you can set an alias to know which miner is which in the pool stats. The easiest way to obtain a wallet address is to use one of the exchanges that support PEG trading – VineX or ViteX DEX which should be fine as long as you will be mining and trading only, for holding PEG tokens it would be better if you go for local wallet. The third and newest addition is the Citex crypto exchange that has just announced it is also listing PEG for trading…

To start the actual mining process you need to run "orax-cli.exe mine". Have in mind that the first time you run the mining command it will take some time before the actual mining process starts, something like 10 or more minutes for the initial generation of 1GB map of the LXR hash (PegNet hashing function) and then run 1 minute test of the hashrate that your hardware is going to be capable of delivering, the hashrate estimate will then be reported by the miner. This is needed only the first time you run the miner on the mining rig, the next time it will start mining immediately, though no hashrate will be reported during the mining process. You can track hashrate and reward stats on the pool every 10 minutes after a block is finished and data is reported poolside.

By default the miner uses all of the available logical cores, though you cans elect the number of threads to use. Although the CPU load may be 100% when mining the actual power usage and operating temperature will most likely be lower compared to other CPU minable coins due to the specifics of the algorithm being used by PegNet. The LXRHash uses an XOR/Shift random number generator coupled with a lookup table of randomized sets of bytes. Using a 1GB lookup table results in a RAM Hash PoW algorithm that spends over 90% of its execution time waiting on memory (RAM) than it does computing the hash. Of course performance wise the CPU affects hashrate and it seems that unlike RandomX for instance where AMD Ryzen is doing quite well compared to Intel CPUs, here LXRHash does manage to provide some advantage for Intel processors. AMD Ryzen 5 3600 (6C-12T) processor manages to deliver around 45000 H/s while an Intel Core i7 6850K (6C-12T) processor gets you around 65000 H/s for mining PEG using the LXRHash algorithm.

With the upcoming Monero (XMR) hardfork to the RandomX algo in a day now, we are checking what is the current profitability of crypto coins that are already using the RandomX algorithm or a variant of it on a decent performing AMD CPU that offers great price/performance. For the tests we are using an AMD Ryzen 5 3600 processor that is 6 Core – 12 Threads with a base clock of 3.6 GHz and max boost clock of up to 4.2 GHz running at stock settings on a B450 motherboard with 8GB 3200 MHz DDR4 memory. The hashrates below are from the latest XMRig 5.0.1 and the algorithms tested are RandomARQ (RandomX variant for ArQmA), RandomWOW (RandomX variant for Wownero) and RandomXL (RandomX variant for Loki) and tomorrow we would be able to see profit results from Monero’s new RandomX algorithm after the fork as well…

XMRig 5.0.1 on Ryzen 3600 CPU:
– RandomARQ – 22600 H/s – 29.1963 ARQ – $0.28 USD daily profit
– RandomWOW – 5700 H/s – 91.1030 WOW – $0.28 USD daily profit
– RandomXL – 5900 H/s – 1.2837 LOKI – $0.53 USD daily profit

As you can see even though the performance in terms of H/s is quite good, the profitability of a single Ryzen 3600 CPU is far from great and when you consider that the power usage of a system with that processor is about 130-150W you get let us say 3.6 KW per day with cheap $0.1 USD per KW/h for the electricity that results in $0.36 electricity cost. The only coin and algorithm that is currently above the electricity cost is LOKI and you won’t actually be making much, just paying for the cost of the CPU can take quite some time and here we are all hoping that after the fork of Monero things will be looking better for miners with CPUs. Intel CPU owners might be mostly interested in ArQmA (ARQ) as the variation of the RandomX algorithm it uses performs much better on Intel compared to the version from LOKI or Wownero that are significantly faster on AMD Ryzen.

Monero (XMR) will be hardforking tomorrow, November 30th, at block number 1978433. The fork will change the current CryptoNight R algorithm for mining to the new Random X PoW algorithm, essentially moving the mining of the coin to CPU. There are already a few RandomX miners out there that you can use, links below, and although some f them also support AMD or Nvidia GPUs, you would probably want to stick to CPU mining with RandomX as the algorithm is optimized for processors and GPU mining performance is far to low currently to be considered. Also as already noted AMD’s Ryzen 3000 series of processors is doing great for Random X and performance wise it is much better than recent Intel alternatives.

Another important thing to note regarding the upcoming for is if you are mining directly to an exchange using a paymentID. Since after the fork support for PaymentIDs will be discontinued, in order to continue successfully mining after the network update you need to also update your mining address. Alternatively you can just update to the latest v0.15.0.1 wallet and use a local wallet address for mining after the fork. For an up to date pools for mining XMR you can check the list at MiningPoolStats, they should all be ready for the fork by now.

Mining software with RandomX support:
XMRig 5.0.0
SRBMiner-MULTI 0.1.7