NiceHash Review 2024

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NiceHash is a decentralised finance (DeFi) firm that offers individual investors access to crypto mining, either by using their own hardware or by renting out their hardware’s ‘hash power’ for Bitcoin through a marketplace. The brand has designed its products to be accessible to beginner-level investors from the retail market, with competitive fees, a slick website and easy-to-follow guides.

This review will provide our unbiased opinion on NiceHash’s advantages, disadvantages and main features, as well as key information on how to get started, how to set up a mining rig, the firm’s trading terms and any applicable fees.

Our Take

• NiceHash is a DeFi company that provides an avenue for casual investors to participate in crypto mining as well as traditional exchange services
• The brand provides a good range of products that should suit different crypto customers, from casual traders to miners with dedicated, professional rigs
• Like most DeFi companies, NiceHash is not overseen by any regulator reducing its safety score
• Crypto brokers offer a more secure trading environment for aspiring investors
• The customer support is weak compared to rivals

Crypto Tokens

NiceHash operates a decent cryptocurrency exchange which is useful for miners since it means they will not incur transfer charges or other fees when they want to offload their crypto assets.

The token list is not the largest vs competitors like KuCoin or Kraken, with 95+ crypto-to-crypto and crypto-fiat pairs available, though it should be adequate for the crypto miners it is aimed at.

Popular digital assets include:

• ETH/BTC
• BTC/EUR
• EOS/BTC
• LTC/USDT
• DOGE/BTC
• XRP/USDC
• STORM/BTC

On the downside, GBP is not offered as a quote currency.

Services

Besides its cryptocurrency exchange, NiceHash services can be categorised into two fields: mining and hash power purchases.

Mining

The processes involved in crypto mining can be complicated for the uninitiated, so an explanation of some of the relevant terms is useful:

Hashing power is the output that your PC or hardware utilises to solve complex algorithms. This is how many cryptocurrency transactions are processed on a blockchain network, and individuals who use their processing power for this purpose are usually rewarded with tokens of a cryptocurrency.

This is the process known as crypto mining, and NiceHash essentially allows miners to ‘rent out’ their services as contractors to buyers through an online marketplace. The buyers can choose the cryptocurrency they wish to mine, and the miners are rewarded with Bitcoin in return for the use of their hashing power.

How Does NiceHash Work?

1. Buyers choose the crypto token they want to mine
2. Buyers choose the price in BTC they are willing to pay and initiate the order
3. The order is publicised to all miners operating on the network
4. The seller picks up the order and receives payment for processing the transaction (using their hash power)
5. The order is published and the buyer receives their cryptocurrency

Mining Software

We liked that the brand makes its services available to users of all experience levels, providing tools suitable for everyone to become involved in cryptocurrency mining. It does so with a choice of mining software which we outline below:

• For Beginners – NiceHash QuickMiner. Uses Excavator for GPU mining and XMRig for CPU mining
• For Intermediate Miners (With A Computer Or Existing Mining Rig) – NiceHash Miner. CPUs and GPUs for mining, the software chooses the most profitable algorithm automatically
• For Experienced Miners – NiceHash OS. Linux-compatible software for individuals with dedicated mining rigs

We rated that NiceHash QuickMiner offers a ‘tryout’ version, similar to a brokerage demo account, with no registration required. This is an advantage vs alternative brands including Unmineable, HiveOS, Betterhash, or Ethermine.

You can use the software in practice mode to get a feel for the mining environment. You can also connect your existing mining software to NiceHash stratum servers to mine on the network.

NiceHash QuickMiner

This is the most simple-to-use mining software at NiceHash with no third-party tools, fees, or minimum benchmarks. We liked that the tool takes away lots of the complexities involved in mining.

However, unlike the alternative software, our experts found that auto-profit switching functionality is not available. This means you will need to manually switch between NiceHash’s four supported algorithms, DaggerHashimoto (Ethereum), ETCHash (Ethereum Classic), Autolykos (Ergo), and KawPow (Ravencoin), to ensure you are using the most profitable algorithm at that time.

Other QuickMiner features include:

• Game mode overlock option
• OCtune allows users to use other overclocking methods
• Source the best core clock to lower power consumption
• Automatic location changes based on latency availability
• Auto-recovery function to maintain mining operations after system issues
• Increase GPU performance by up to 50% and amend memory timings on GPUs

NiceHash Miner

This is the traditional connection between an existing mining rig and the NiceHash network. A disadvantage vs NiceHash OS is the compatibility with Windows 10 and Windows 11 only.

To get started with NiceHash Miner:

1. Sign in to your NiceHash account
2. Click on the ‘Mining’ tab from the main menu
3. Choose ‘Add A New Rig’
4. Install NiceHash Miner by selecting the ‘Download’ icon
5. Follow the on-screen instructions to initiate and complete the installation
6. Open NiceHash Miner and choose ‘Rig Manager’

Our team found that this software will not function effectively if you have an anti-virus programme installed on your computer device. In this case, you will need to exclude NiceHash Miner from the programme’s list.

We were impressed to see that NiceHash guides how to do so with individual tutorials for several anti-virus brands.

NiceHash OS

NiceHash’s most powerful mining setup is designed for those with a ‘dedicated mining rig or if you want to manage larger GPU operations’.

We rate the simplicity of setting up what can be a very complex programme, as NiceHash’s software loads quickly straight from a USB drive and operates using computer memory.

We were pleased to see no fees, irrespective of the number of rigs, which is a big advantage vs Minerstat with its €1.85 per rig per month fee.

Additionally, we like that there is MAC device compatibility, which is an advantage vs competitors such as T-Rex.

Other notable features of NiceHash OS include:

• Continuous status monitoring and access to remote device information
• No fees regardless of the number of rigs or length of time the service is used
• Install quickly and easily for MacOS, Linux, and Windows with USB integration
• Advanced overclocking system with algorithm switching facilities for the highest possible profits
• Full farm management with access to performance statistics, payments, and rig management from an easy-to-navigate dashboard

NiceHash Fees & Payments

We are pleased to see that NiceHash is transparent with its fee schedule, with competitive fees charged as a percentage of transactions plus, in some cases, a small service charge in Bitcoin.

All miners are paid in Bitcoin, and rewards vary depending on the routing plan. Buyers (of hash power) select the pricing they are willing to pay, so revenue streams will vary, and miners might end up earning more or less than the market value of the tokens they mine. NiceHash simply processes the payment rather than having any involvement in the pricing, though you can expect the prices to conform more or less to market prices on average.

Compensation for providing hash power will vary depending on whether you use a branded mining address or an external Bitcoin wallet. We found very minimal differences between the service fees, though the payout schedule is more competitive if you use a NiceHash account.

• NiceHash Mining Address – Minimum payment 0.00001 BTC, payouts available every four hours, 0.5% to 2% service charge
• External Bitcoin Wallet (Option One) – Minimum payment 0.001 BTC, payouts available once every week, 0.5% to 2% + 0.00001 BTC service charge
• External Bitcoin Wallet (Option Two) – Minimum payment 0.1 BTC, payouts available daily, 0.5% to 2% + 0.00001 BTC service charge

Note, UK tax payments are your responsibility.

EasyMining

The concept of EasyMining can theoretically be very rewarding, with much higher rewards available compared to the NiceHash software – though we recommend that all prospective traders carefully read the terms before investing their money, as the reward rates are not a certainty.

Rather, your investment will pay for a chance to earn a potential reward, with the probability given at the outset. For example, at the time of writing, a package worth 0.0006 BTC (roughly $18) had a potential payout of 0.00153450 (around $46), at a probability of 1:3.

The benefits of this are that the EasyMining investor does not need to install any software, and the NiceHash terminal will complete the mining on your behalf. This means you are essentially investing your money with no labour required.

The aim is to complete a mining ‘block’. Completing a block means you will have successfully validated a full transaction. If you mine a full block on your own, you will receive the full reward, up to 6.25 BTC (+€143,000). Participation is very simple and just requires you to purchase a ‘package’ from the dashboard interface and then wait for the mining round to complete. Reward amounts and probability odds are displayed by package.

Hash Marketplace

The NiceHash Hash Power Marketplace is the exchange where miners and buyers exchange Bitcoins for processing power. We like that there are no set contracts, meaning you can stop using a server as and when desired, and join your favourite mining pools with real-time data and performance statistics.

The minimum order price is low at just 0.001 BTC per algorithm and your order execution can be less than one day which is ideal for shorter-term investments.

The marketplace is easy to use, with no hardware requirements or complex installation needed. Fees vary depending on the algorithm and the coins you are purchasing hashing power for.

We were pleased to see average pricing displayed on the NiceHash website. Some examples include:

• X11 – Average price 0.1625 BTC per day
• Scrypt – Average price 0.0752 BTC per day
• Quark – Average price 0.0008 BTC per day
• Blake2s – Average price 0.0047 BTC per day
• Eaglesong – Average price 0.0064 BTC per day

How To Open A NiceHash Account

Our experts found it very quick and easy to open a NiceHash account. You will require the usual ID verification documents to complete the process, though these can be added later after you have opened your account.

1. Select the ‘Get Started’ icon (top right of the exchange website)
2. Add your email address and create a password
3. Select your country of residency from the dropdown menu
4. Review and confirm the T&Cs and click ‘Create Account’
5. Approve your account registration by adding the OTP sent to your registered email address and clicking ‘Verify’

Deposits

You can deposit to your NiceHash wallet with cryptocurrencies or Euro fiat payments, and while the lack of fiat deposits is not unusual in crypto and DeFi companies, we were disappointed that there is no GBP base currency supported.

You will be given the choice of your primary wallet currency when you sign up, with plenty of digital coins accepted including Bitcoin, Ethereum, Ripple, and Dash.

We were pleased to see a €1 minimum and no maximum deposit limit, and internal fund transfers between your NiceHash wallets are supported.

Processing times will vary by blockchain confirmation requirements, which vary by the token. Ethereum payments, for instance, will require 30 confirmations vs Bitcoin’s much faster three. NiceHash does have deposit fees for some methods, though we found higher value payments have these charges waived. Euro deposits are fee-free, regardless of the value. B

itcoin deposit fees provide a good example of NiceHash’s pricing, which we found to be very competitive:

• Less than 0.00001 BTC – Fee will match the deposited amount
• Between 0.00001 BTC and 0.0005 – 0.00001 BTC fee
• More than 0.0005 BTC – No fee

How To Make A Fiat Wallet Deposit

1. Sign in to your NiceHash account and click on the ‘Wallet’ icon (top right of the dashboard)
2. Click on the ‘Deposit’ symbol from the dropdown menu
3. In the screen pop-out, choose the bank account you want to deposit from using the dropdown menu
4. Select ‘Show Deposit Information’
5. Initiate the transfer via your online banking portal (ensure you include the reference number)
6. Choose ‘I Did The Deposit’ to confirm the payment

Withdrawals

We were pleased to see that you can withdraw funds from your NiceHash wallet to an external wallet at any time, including to a Coinbase wallet. Fees and minimum withdrawal limits apply, including a 1 euro minimum for fiat.

The fees vary by token and withdrawal volume, though our experts did find free Bitcoin withdrawals if a direct connection to the NiceHash Lightning Network node is established.

Withdrawal times are blockchain confirmation dependant. We found it quick and easy to add a new withdrawal wallet option:

1. Login to your NiceHash account and click on the ‘Wallet’ icon (top right of the dashboard)
2. Click on the ‘Withdraw’ symbol from the dropdown menu
3. Before adding a ‘Withdraw From’ account click on the ‘Withdraw To’ section and select ‘Add New Withdrawal Address’
4. Choose the supported currency of the wallet
5. Add the withdrawal address and upload a nickname for reference
6. Verify the wallet address via email verification
7. The wallet is now ready for withdrawals to be processed

Bitcoin withdrawal fees:

• Via Payeer – 0.5% to 0.95% fee, minimum 0.001 BTC
• Via Lightening Network – No fee, minimum 0.00001 BTC
• To Any BTC Wallet – 0.00003 BTC fee, minimum 0.0005 BTC

NiceHash Mobile App

We were reassured to see that NiceHash offers a free mobile app for both iOS and Android devices.

The application is fully functional and allows customers the option to manage account preferences, access crypto wallets and manage trades while on the go. You can also optimise and monitor your mining rigs with ease, with the option to stop and start mining as desired.

We found the terminal easy to navigate, with stability and seamless integration with desktop activities. We would recommend enabling alerts and notifications to receive information on your activities in real-time.

Regulation & Security

NiceHash is not regulated by any financial authority, including the Financial Conduct Authority (FCA). This is not uncommon in the digital currency market, given the challenge of governmental control over decentralised activities.

We were pleased, however, to find that the firm complies with KYC and AML protocols, which is a sign of a responsible and legitimate DeFi company.

We were also fairly impressed with the security features offered by NiceHash:

• SSL/TLS website encryption
• Global data storage with 24/7 surveillance
• Notification of any unusual account activity
• Frequent penetration testing and bug bounty programme
• Wallets and private keys secured with AES-256 encryption
• Two-factor authentication (2FA) with an 8-digit backup code
• Signed open-source software with safe operations with EV certifications

On the negative side, our experts did find that NiceHash was hacked in 2017, with an estimated $75 million in customer assets stolen (4700+ BTC), and this is a worrying sign for the company and an alarmingly common occurrence in the crypto and DeFi markets.

However, unlike many companies that fall victim to similar attacks, the exchange managed to recover its credibility and reimbursed customers with company money over a few years.

Extra Tools

Education

We were disappointed that NiceHash does not offer any educational content for beginners. However, the ‘Blog’ section on the website provides a detailed online forum with the latest industry news and NiceHash product updates. The articles offer insights and analysis of hot topics, which can be used to support investment decisions.

We like the website’s guides and tutorials section, which hosts several step-by-step user manuals, with integrated visual support and YouTube videos. These cover topics such as how to buy hashing power, how to increase virtual memory for mining on a Windows device, or how to install GPU drivers and amend settings. We think the information provided here is easy to follow and should be enough for most beginners to get started.

Profitability Calculator

Our experts found the NiceHash GPU/CPU and ASIC mining profitability calculator to be a useful way to review the potential earnings of using the software. This tool allows you to input your hardware specifications to discover your potential profitability from mining on the NiceHash network, including a calculation of your income minus costs over a day, week, or month view.

You can add more than one device for a simple comparison too which we thought was helpful.

NiceHash Private Endpoint Solution

We like that NiceHash gives the option to access the lowest possible latency when connecting to the NiceHash server via a private IP address connected to the NiceHash Stratum server. This is ideal for larger-sized mining farms and prevents a rig from shifting offline, meaning you can optimize connections, and increase profitability, efficiency, and stability.

We were pleased with the choice of 24 server locations, including a location in London. In exchange for the service, you will be liable for a monthly fee starting from €200. Although this is expensive, your mining rewards could be increased thanks to the connection’s reliability.

Customer Service

NiceHash customer support is very limited, with no traditional contact methods available such as telephone or email, and we found the lack of a live chat function frustrating.

However, the brand’s comprehensive online support centre does go some way to compensate for the lacking support options, and we were impressed with the help available.

There are four major categories: general, mining, EasyMining, and hash power. These are further divided into subsections with answers to the most important FAQs related to the service, including how to withdraw from a wallet, how to increase your hashrate, and how to enable 2-factor authentication.

A troubleshooting section also provides support for users who encounter status error messages such as ‘error during benchmark’, ‘no available algorithms’, ‘rejected speed’, or ‘invalid wallet request’. We also liked the suitability of the search bar, which you can filter by keywords to find the most relevant information for your error query.

Nevertheless, there are some situations where live support from a human assistant is useful, and we hope that NiceHash adds traditional customer service options soon.

Company Details & History

NiceHash was established in 2014 to provide accessible crypto mining for retail markets. The brand provides services globally in 190+ countries, including the UK.

Today, NiceHash supports one million miners on the network, with a community of 500,000 users. Martin Škorjanc is the brand’s founder and current CEO.

NiceHash is registered in The British Virgin Islands and has an office presence in Slovenia.

The company’s mission is to provide top-tier tools and low costs for crypto miners and retail investors, alongside best-in-class security features.

Should You Trade With NiceHash?

NiceHash has secured its position in the market as a reliable and secure cryptocurrency mining brand. We think this firm is an attractive place for beginners to get started with mining thanks to its competitive pricing model and innovative crypto-mining exchange. Spend some time reviewing the user guides in detail given the complexities of some of the software, before getting started.

Alternatively, aspiring traders may want to consider reputable brokers that offer other investment opportunities, including crypto derivatives.

FAQ

Article Sources

NiceHash Website

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