Exchanging crypto for FIAT and fees

BEGINNERS & HELP
#1

Hi guys,

I hope you can share a bit of info about this issue. Some friends and me are planning to set up a small ETH mining rig. I’m getting all the info I can about the whole process, including selling your crypto for EUR or USD.
What options do we have for this last step? What would be the best way? I can’t find much info, and sites like changelly.com don’t exchange ETH for EUR.

Regarding fees, I’m a bit confused as each exchange seems to have their own system. Is there any website with good info about how fees work in ETH? I’d like to be able to include them in the estimation of the cost of the whole process.

Also, how fees apply differently if exchanging ETH for Bitcoin, Bitcoin for ETH or ETH for FIAT?
Any little info would be really appreciated. Thanks in advance.

Cheers!

#2

The most popular exchanges to change to fiat is probably coinbase and bitpanda. But there are more for sure. I think if you google using this exchanges as basis, you’ll find a lot more.

I can’t recommend setting up a small mining rig for ETH, it is just not worth it. In a few months, ETH will be changed to proof-of-stake anyway.

#3

Thanks for the reply!

Changing it to proof of stake will render all mining rigs useless? I knew you’d need to put some of your ETH “at stake” in order to do the mining, but… if there are no mining rigs involved anymore, what hardware will do the operations needed then?
I really need to look more into the proof of stake thing, it’s really confusing to me :confused:

#4

Yes, it basically will. You will only earn ETH through holding ETH in a wallet, the more the better of course. I don’t think mining is profitable anymore for most of the people. Only if you are willing to invest A LOT of money … but I don’t think investing that much makes sense anymore anyway. But of course that is my opinion :slight_smile:

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#5

Hi SimonB

Have you checked out Localbitcoin.com. They’re based in Finland, but have bitcoin exchanges globally. You can arrange meet ups face to face to exchange fiat for crypto in your locality. Let me know how you get on.
ruff2trade

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#6

That’s interesting, If things go the way logic says, the price of ETH should skyrocket when POS is implemented, because having ETH would have an added value at that point (being able to make a stake and get involved in “mining”).

What I still don’t get is how is new ETH created or released. Maybe I’m mixing concepts of BTC that do not apply on ETH, but when you mine BTC, you are “creating” or ehm… well, “mining” coin that wasn’t available until then, right?

In any case, that’s a different issue.

#7

You are right! Theoretically the price should go up.

Yes, through mining you create the coins. That is called Proof-of-Work (BTC, ETH etc).
ETH will change that soon-ish, so the mining days will be over.

#8

But how are coins created in POS then?

#9

They are actually created in the same way! In bitcoin and ethereum alike, new coins are created with every new block added to the blockchain.

We commonly say that mining “creates” the coins because it’s the system used to decide which is the new valid block, and the new coins created are the ‘mining reward’.

In a POS system, these new coins would still be created, but they would instead be given to the stake holder that validates the new block (we sometimes say they are ‘minted’).

The validation system - PoW or PoS - can be decoupled from the creation of new coins, as it’s possible to have PoW systems without new coins created (future bitcoin) or PoS systems with new coins minted every block (future ethereum).

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#10

ETH isnt going to hard stop on PoW and Pos gets added, so I will being minig ETH for the next few years, I think the issue with getting into it now is GPU prices.

#11

My general advice based on my experience on this is that if you have managed to mine ETH, then you are a lucky miner and I would suggest keeping your coins and waiting for their value to increase. That’s what I do with the coin I have bought and collected (but they have cost some money ), and you have managed to mine (for which you have certainly paid some price as well), however, to make that more effective, just hold your ETH and wait!

Otherwise, all of the decent crypto exchanges do ETH-Euro and ETH-USD, just check out the rates and commissions before making your final decision (those numbers frequently change, that’s why I can’t tell any fixed price here).

Good luck!