ABC of mining

Basic things you should know before you’ll sink into cryptoworld.

Introduction

“Crypto mining” is legal and is carried out by running double looped algorithmic analysis processes as SHA-256 or X11 to check the correctness of transactions and security for the emerging major networks. The speed with which is measured in hashes per second.

The network compensates miners for their effort, making the crypto available to those who bring the necessary coordination. It applies to households of newly issued coins, as well as ordering in households inspected during extraction. The more computing power you have, the greater the participation in the prize is.

Step I - Equipment

To start mining, you need to get equipment. Previous bitcoins could have been put on the process on CPU or GPU. Today it is not possible anymore. Custom ASIC chips set performance up to 100 times greater than the older systems.

“Mining” requires the highest quality of machines, so it consumes more electricity than you can earn if you use weak machine. Several companies, such as Bitmain or Avalon, which offer advanced systems built specifically for bitcoin mining.

Step II - Software

After receiving the mining equipment, you must download a special program to issue cryptocurrency supervision. However, the purchased equipment, for example Antminer S9, is already pre-programmed to such an available one. There’s also software like CGminer and CCminer, which are command line programs.

Step III - Mining Pool
For those who are ready to mine bitcoins, we recommend joining the mining pool. Mining pools belong to the group of miners, they operate on the same block and then split profits. If you are trying to do this alone, you can dig for over a year before mining up any bitcoin. It is much more convenient to share and work. We recommend joining to decentralized mining pools, such as P2Pool, Antpool or Slushpool.
Step IV - Wallet

The next step on the way to mine up the currency is a wallet for receiving dug coins. A great wallet is Trezor – it has many functions and operates in many operating rooms. These are also online wallets, such as Blockchain.info.

Bitcoins are sent only to you. The essential elements when it comes to setting up “Wallet” is to protect them from taking over the process.

Step V - Being up-to-date

Succeed! To make profits from mining, it is important to stay aware for everything that changes in cryptosphere.