Bitcoin, one of the best and trending topic of the grazing money world. You voorwaarde be knowing about Bitcoin if you are reading this article. Well, wij all are need of bitcoin (talking generously) but it is not that effortless at all. But not so difficult spil well. Bitcoin Mining comes within the Bitcoin and is the process of getting or making money with Bitcoins.
Bitcoin (BTC) is prompt becoming spil fancy spil wij are moving ahead to development ter technology. The value is much higher than any other currency.
At very first, when I came to know about Bitcoin, I wasgoed excited that I’ll also earn Bitcoin and attempted so many dumb things. I also asked my friends that do they know about Bitcoins? and How to mine Bitcoins? And they were just wit just like mij spil they don’t have any idea of it.
Today, I am gonna display you the step-by-step process of mining Bitcoins effectively.
What is a Bitcoin?
Bitcoin is a cryptocurrency and worldwide payment system and almost everything can be overeenkomst with Bitcoins. Just like torrent sites or clients, it is also P2P (peer-to-peer) network and the transaction made inbetween users directly using cryptocurrency.
A hardware currency which has no form and can be carried anywhere te the world just like other currency. Or you can say a virtual form of currency. It is one of it’s kleuter and no one knows who created it. Some say “Elon Musk” is the creator of Bitcoins spil they are written ter C++ language and he is genius te C++ programming language.
Not only Bitcoins, there are also alternative coins (Altcoins) like Litecoin, Peercoin &, Ethereum and hundreds more like them.
What is Cryptocurrency?
Now you know that Bitcoin is a cryptocurrency and you voorwaarde know exactly what is cryptocurrency? A cryptocurrency is a digital asset designed to work spil a medium of exchange that uses cryptography. You can buy, sell or exchange Bitcoin but there is no such thing called Bitcoin.
Cryptocurrency is just a block of hundreds of lines of code written ter C++ programming language. Thesis lines of code are created by tens unit and high-performance computers. And there are special boards for mining made for this task only but an old PC can do the job.
The word ‘Crypto‘ comes from Cryptography which is a process or mechanism to secure communication process overheen a network. Thesis are usually used ter security and the transaction is made through Cryptography.
Here is an infographic displaying how cryptocurrency works.
How to Mine Bitcoins?
Mining is a process of using a pc system to samenvatting Bitcoins with the use of its hardware and power (electro-therapy). Just like the mining process of extraction of valuable minerals and ores, it also works the same way but ter a different manner.
Bitcoin mining process can take hours or days according to the power of your hardware and it’s compatibility. Just use your computers and go to sleep and wait for the money to come flying ter.
But, how do to you get Bitcoins?
There are two methods, either you buy a bitcoin or mine yourself with your pc.
Well, buying a Bitcoin is effortless but spil the cost is rising day-by-day, it is not cheap or affordable to buy. If you buy a Bitcoin today, you’ll surely get future benefits spil its price gonna rise by time.
The Bitcoin is valuable and a volatile virtual currency and recently made fat gains. It crosses overheen $18000 and rising day-by-day.
Now, to mine Bitcoins, here is the guide to go after but very first, here are some required things you need to get began:
1. Get a Bitcoin Wallet
The basic requirement for Bitcoin mining is a Bitcoin wallet. You have the money but where do you keep them? Yes, ter the wallet. Just like, Bitcoin Wallet is different and the Bitcoins cannot be kept te your handelsbank or lockers. You need to set up a Bitcoin wallet te order to get commenced with the Bitcoin mining process.
You have two choices, either you can store it locally using hardware available to store Bitcoins like Ledger Nano S or online. Keeping it online may feel a threat to you but if decent security is ensured, it is no harm keeping them online. Because keeping it locally may involve downloading and uploading for intense gegevens usage (blockchain files).
- Cryptocurrency Hardware Wallet: permits you to send and receive cryptocurrency and offers secured storage and geared towards convenience. Hardware wallets can be lightly plugged into phone or pc. The Zcash wallet keeps gegevens confidential and can be locked by a Speld code
- Compatibility Apps: ideal to use with companion apps such spil crypto-currency wallets, FIDO U2F, SSH. This digital currency wallet supports FIDO universal 2nd factor authentication standard on Google, Dropbox, GitHub or Dashlane
- Secure Digital Currency Wallet: accounts are backed up on a recovery sheet. Digital wallet offers effortless restoration on Ledger device or compatible wallets. Compactly designed hardware is black ter color and offers toegevoegd durability
- Ethereum Crypto-currency Wallet: brainy and ergonomic vormgeving makes it effortless to carry the hardware wallet anywhere and can be kept ter puny pockets lightly. Ultra-safe cryptocurrency wallet checks and confirms transactions on the display
- Nano S Wallet Supports: Bitcoin (BTC), Ethereum (ETH), Ethereum Classic (ETC), Ark (ARK), Bitcoin Contant (BCH), Bitcoin Gold (BTG), Expanse (EXP), Dash (DASH), Digibyte (DGB), Dogecoin (DOGE), Komodo (KMD), Litecoin (LTC), NEO (NEO), Pivx (PIVX), Posw Coin (POSW), Qtum(QTUM), Stealthcoin (XST), Stellar Lumens (XLM), Stratis (STRAT), Ubiq (UBQ), Vertcoin (VTC), Viacoin (VIA), Ripple (XRP), Zcash (ZEC)
There are many online wallets like GreenAddress, Bread Wallet, Airbitz. But I recommend you to use Coinbase spil seems good to mij spil well spil a elementary interface and effortless to set up which a non-technical person can also use.
- Go to the signup pagina (Coinbase)
- Inject the required details and verify your email.
- Enable Two-step Aunthication for your account from Security option to keep it safe from hackers.
Here, you’ll get an address through which you can send Bitcoins to your wallet directly. You can get this Instruments>,Addresses option.
Two. Pick a Bitcoin Mining Pool
The next step is to join a mining pool. When mining Bitcoins, you are the miner and there are hundreds of other miners doing the same. Mining Pool is a pool of resources by miners who share power (hardware/processing power) overheen a network.
There are two ways to mine, either you go solo or work with a group. I myself go solo mining bitcoins but before you need to set up a mining pool.
There are many mining pools available (see list here) like BTC Guild, Slush’s Pool. But my dearest and most popular mining pool is Slush’s Pool.
Here is the walkthrough process of joining Slush’s Pool. Spil all pools are same, you can see how to join any mining pool:
- Go to the signup pagina (Slush’s Pool)
- Choose username, password and inject email (all required fields).
- Confirm your email.
Now, when you inwards the instrumentenbord, you’ll see that a worker is created from bitcoin mining.
Here, you can create fresh workers and use them for mining bitcoins. Generally, it is not significant to create workers, but yes if you have many devices, you voorwaarde create some. You can create or view worker using the URL https://slushpool.com/workers/ at any time.
Now, the most significant thing to set up here is your Bitcoin wallet information to make sure you get all your Bitcoins.
- Go to Settings>,Bitcoin>,Payouts and come in your Bitcoin wallet address you have created above.
- On the Fresh Wallet field, paste your wallet address and click Submit.
You can check monitoring, hash rates from the instrumentenbord and monitoring tabs.
Trio. Get a Miner
Ultimately, you have set all of your pre-requisites and now it’s time to get commenced with Bitcoin mining. Mining is done using Miner software available for Windows, Mac, and Linux.
Miners use your hardware processing power (Processor &, GPU) for mining purpose. Just like other, many miners are available for all operating systems.
The simplest and basic miner is GUIMiner. It works for almost all the standard GPUs (Graphic Cards) for Windows. Linux users can use CGMiner, download it from here. And OS X users can use DiabloMiner.
Configuring Miner to Mine Bitcoins
Well, now you know how to mine Bitcoins and requirements to get embarked with the proces. Here, I am using GUIMiner to mine bitcoins. You can configure GUIMiner very lightly, check it out:
- Once you have downloaded GUIMiner, launch it.
- Your pc may misbehave because of the recommended hardware requirements.
- Server: Select Slush’s Pool spil wij are using it. You can choose other if you are using any other mining pool.
- Username &, Password: You chosen username &, password.
- Device: The device you want to use for bitcoin mining, it may be your processor or graphics card.
- CPU Affinity: Choose all for maximum voorstelling and power.
Once it has commenced, you will speed ter Mhash/s or Khash/s according to your processing power of your GUPs. Higher the rate, higher will be the chance of getting bitcoins.
You can use your Laptops, old PC or some special boards made for mining only.