0
All the basics that you need to know about crypto mining.
Idea shared by mineqhk@Gmail.com - July 15 at 10:02 AM
Proposed
Crypto Currency is indeed electronic money which is not issued by any specific country and is therefore not generated by any particular government-controlled bank. Altcoins are another name for these digital currencies. They rely upon cryptography. This currency is created by a mathematical method; therefore it will not actually lose value as a result of widespread use. There are several forms of cryptocurrency, including Litecoin, Bitcoin, Peercoin, as well as Namecoin.
 
 
 

1 Reply

Reply to Thread
0
Akshay M Replied
July 17 at 12:57 PM

Mining is the process by which people contribute computational power to the cryptocurrencu network for validating the transactions within the network, for which they are rewarded in the form of crypocurrencies.

Lets see the specific case of mining bitcoins

You can produce bitcoins by mining

What is mining?

Short answer: The process of making bitcoins out of thin air

Bitcoin offers great security to the transactions which occur in its network. This security is provided by validating the transaction. An algorithm known as Proof of work is used for validating transactions

But, why would someone validate the transaction?

When a transaction is validated, the contributor of computational power which helped in validating the transaction is rewarded, this process is called mining.

If you are contributing computational power to the network, you will be known as a miner.

For every validated block, the reward is 12.5 Bitcoins, this reward get halved every 4 years

How can you mine bitcoins?

Dont use your regular GPUs for mining, theres negligible chance of this reaping you any profits

If you are serious about mining, you make make

  • Check the feasibility of mining in your region, using online mining profit calculators
  • Setup a safe bitcoin wallet preferably hardware wallets. You can use hardware wallets like Ledger Nano S which comes with a LED screen to check your balance and to approve transactions
  • Invest in a Bitcoin ASIC, they are very powerful processors made specially for mining bitcoin. A popular bitcoin based ASIC is Antminer S9, which can provide great hash rates as compared to traditional GPUs
  • Install a legit mining software
  • Join a mining pool, mining on your own is not feasible since it only gives you lesser chances of getting rewards. When you join a mining pool, the combined computational power greatly increasing your chances of reaping rewards. Be clear about the policies of the mining pool that you are planning to join
  • Have fun mining-

Reply to Thread