Do you know why the investors are attracted to the process of bitcoin mining? What Bitcoin mining exactly is? Is it legal, and is it profitable? There might be many questions that come into your mind while someone talks about bitcoin mining. You may be interested to learn how to start the mining process by hearing that you can earn rewards from it. But before you learn the process or steps of Bitcoin mining, you need to understand what bitcoin mining is.
Bitcoin mining can be accomplished using the hash verification process used to verify the bitcoin transactions. The process of bitcoin mining serves two main purposes: one is to validate the transactions, and the other is to provide security to the shared public ledger of the bitcoin network. The speed of mining bitcoin is calculated in hashes per second. The process of bitcoin mining is completely legal, and the network provides rewards to bitcoin miners for putting in their efforts.
The network compensates the miners who contribute the required computational power in solving the complex mathematical algorithms. The reward is in the form of newly issued bitcoins. The miner who contributes the more power tends you get a great reward. The equipment and hardware are required to start the bitcoin mining process. You must learn BitIQ and mining procedures. Here are the steps to mine Bitcoins:
Own a bitcoin mining rig
To start the bitcoin mining process, it is first important to get your own bitcoin mining rig. Mining can only be accomplished using the special hardware designed specially to mine digital currency based on algorithms. The special hardware is known as Application-Specific Integrated Circuit chips (ASIC). This mines bitcoin faster by utilizing less energy.
The speed of ASIC is superb, but it is also expensive, and manufacturing of it requires an ample amount of time. The speed of this machine is astonishing as it solves 14 terahashes per second, which is unbelievable.
Set up a bitcoin wallet
Secondly, you need to get a bitcoin wallet. A wallet where you can store, send and receive bitcoins. Bitcoin wallets provide its users with complete control over their funds and manage the wallet’s bitcoin address. Bitcoin address has the digital keys: a public key and a private key. Both the public key and private key are a combination of alphabets and numbers, which work exactly like bank accounts.
It is imperative to choose the right bitcoin wallet. It is suggested for miners to choose the software wallets as these are easy to operate and suitable for mined currency. Miners can easily download the software wallet and install it on computers or mobile devices and store their bitcoins in it.
Connect to a mining pool
In today’s time, it is nearly impossible to earn bitcoin. If you are thinking of mine bitcoins by yourself, note down that it is not profitable. The only solution to this problem is a collaboration between mining pools and miners. With cooperation between both, both can earn income which might be lower but will be regular. There are many different types of mining pools, and therefore it is important first to compare all and then join one.
After choosing and joining a mining pool, miners need to register themselves on their website and set up an account to start bitcoin mining.
Get a mining client for your computer
After completing all the above steps, now you need to get a mining client for your computer. The mining client helps you by connecting to the bitcoin network and its blockchain technology. The work of mining is delivered to miners by mining software, and it collects the results and adds them to the blockchain. Bitcoin mining software tends to monitor miners’ activities and depict the statistics, including average mining speed, hash rate, temperature, hash rate, and cooling.
Start bitcoin mining
Now you have everything, and you are ready to start with the process of bitcoin mining and earning rewards. It is recommended to make the mining process profitable by updating yourself with the latest news of the crypto world. The trend keeps on changing every day, and therefore development is made fast.
Disclaimer: This is a paid article and must not be considered as news/advice.
