How to Get Into Cryptocurrency Mining
A few years ago, digital currencies became an everyday thing. So, thousands of people express interest in this new and strange world of blockchain every day. Many of them come to cryptos because they had heard that it’s possible to have a profit from them. If you’re one of those people, you’re a lucky guy. Today we will discuss how to mine crypto coins.
We’ll start by covering the term itself. Let’s discuss digital currency mining and why people bother mining crypto coins in the first place. Then we’ll tell you about the different ways you can mine crypto coins — their pros, cons, and so on. Lastly, we’ll discuss some of the more popular coins when it comes to crypto mining.
The Matter of Mining
Suppose we try to explain in a few words. Crypto mining is a specific process. Sophisticated equipment operates with particular tasks to obtain a few digital coins. It’s maybe the biggest TL;DR ever, so let’s dig deeper, right?
Assume that you own a device that operates to get some digital coins. We’ll discuss the particular types of tools a bit later. For the beginning, let’s just say that it’s your PC. You’re trying to find out how to mine digital currency.
Your device would solve different problems. It is needed to be ready to get even the smallest amounts of digital coins. It’s called “Proof of Work (PoW).” This system produced to make a fair competition between thousands of miners around the globe.
What is the type of them? In a nutshell, devices need to solve math problems. The more users want to deal with a particular pool, the more robust the equating becomes. It makes a balance, but it causes more prominent and more powerful tools to use.
When we talk about the mining process, there are many more complex factors. However, you need to remember one thing. If you join the “mining,” you’ll get a guaranteed piece of the profits.
It’s a concise and straightforward way to explain what cryptocurrency mining is. Let’s find out how to get cryptos.
When you want to start mining activity, there are several ways to go. Let’s begin with the easiest one called “cloud mining.”
It’s maybe the most popular way to obtain digital currencies without breaking a sweat. In this case, you pay a specific sum to someone and get the device called a “rig.” After that, you’re ready to get cryptos.
The rent duration can be different. Anyway, all of the profits are carried to your crypto wallet. But, there are the electricity and maintenance costs charged before that.
Often, some people or businesses that provide cloud mining services have considerable capacities for hundreds of rigs. That’s why they know quite excellent how to get crypto coins.
There is a straightforward reason why cloud mining is catching fire. It offers the chance to join the crypto world for those who haven’t enough money to purchase their pieces of equipment or don’t want to hold a platform.
You can choose between free and paid cloud mining. Usually, most newcomers look for “free” plans to mine crypto coins. Still, this option has some disadvantages, such as prolonged mining speeds, special conditions, etc. Paid possibility usually runs as follows.
First, you find an online host and check out the available plans. Ordinarily, the cloud mining service has up to 5 programs. They are ranked from the most affordable to the most costly. In some cases, you can create and change the conditions of your paid policy for cloud mining. Once you decide, you pay the host and register your digital currency wallet code. There are all initial steps on how to obtain crypto!
Various plans have different subscription prices and last for varying periods. The standard methods can cost up to $5000, with a subscription duration from a couple of years to a lifetime.
Many miners think that they operate with their rigs for a year, and then they become millionaires. However, no one can be entirely sure about the price of cryptos. It’s a very volatile thing. The rate could change up to thousands of dollars a day.
CPU mining uses a central processor of PC to mine digital money. It was widespread a decade ago. However, fewer people prefer this way of mining digital coins every day.
Why is that method unpopular? There are some issues. Firstly, CPU mining is a very deliberate process. Months may pass before you got the smallest piece of income.
So, you can make tiny amounts of digital money with CPU mining. Along with this, your electricity bills will be way more significant than your revenue. And don’t forget about the robust cooling of your processor. Of course, you can try to find a place with excellent cooling and cheap electricity cost, but it’s almost unreal.
Why is CPU mining still usable? Because it’s available for any person with a PC at home. You need just to install some programs and get your first pieces of crypto. It’s even possible to mine with a laptop, but we don’t advise to do it. Your computer will probably destroy in hours.
The simplicity of the CPU mining process attracts dozens of people every day. Some of them just don’t care about specifications and just want to obtain digital currency ASAP. But will you do the same? It’s up to you.
It’s maybe the most comprehensive manner of obtaining digital coins. If you type in a search system, “cryptocurrency mining,” the first things you will see are GPU platforms.
Graphics processing units are the basis of, for example, cloud services. They mostly operate with farms made of hundreds of video cards. It can be the indicator of seriousness, right?
Mining with GPU is widespread because of its efficiency and cheapness. The development of the rig, though, would be costly. However, when we talk about high hash speed and stable general performance, GPU platforms seems like an excellent choice.
As we said earlier, these rigs use video cards to get even the smallest pieces of digital money. The standard equipment consists of a central processor, a motherboard, a fan, an iron framework, and up to 8 graphics cards.
This complex and well-performing GPU system costs almost $3000. It’s a massive expense. But, this amount of money will pay off much quicker than a CPU platform. If you look for an excellent way to get crypto, check out the graphics card mining rig.
And now, let’s move on to the unique devices. They are called ASICs (or Application-Specific Integrated Circuits). What are they? It’s the kind of equipment which is produced precisely to do a single task. In our case, we talk about the mining of digital currency.
ASIC gear is very well-known and appreciated. They can obtain tremendous sums of crypto if we compare it to GPU and CPU. So, didn’t we discuss this type of gear sooner?
Well, the usage of ASIC rigs is a very controversial issue. When the producer presented the new version of the equipment, this news made a big noise in the crypto community. Even more, many people required a total ban on these devices.
What is the reason? ASIC gear is high-powered stuff, so it prevents miners with GPU or CPU rigs from keeping up their earnings. Moreover, ASICs changed the game for some types of digital money. Suppose the one miner with a particular and robust platform will make the most of profit. It’d made a fuss, isn’t it?
What Manner of Mining Is the Most Reliable
Well, we analyzed different methods to mine cryptos. The question arose, however, what is the best way to obtain some digital coins? OK, let’s find out.
Your specific manner of mining depends on some crucial details:
- Do you want to make an initial investment?
- How much money can you put into rigs (if you’re ready)?
- Do you want to own the mining equipment?
There are common questions that will define your way on how to mine cryptocurrency.
On the whole, GPU and cloud options are the two significant and appreciated ways. Sadly, mining with CPU is very slow and exhausting. AT that time, ASIC manner could become very changeable in the future.
If you want to develop your platform, your final option could be the graphics card rig. If you’re going to start your mining activity in a flash, take your personal computer, install some programs, and mine cryptos using a CPU. However, if you’re going to roll the dice — ASIC gear is the best choice. Lastly, if you don’t want to deal with any type of device, choose the cloud platform for mining.
Which Digital Currency Is the Best to Mine
So, there are some words about the choice of digital currency to obtain. It’s vital to select the digital coin before you started the mining activity. The type of crypto influences the selection of equipment.
Well, let’s talk about apparent preferences. First of all, they are BTC, ETH, or Dash. But remember one thing: the mining of Bitcoin is maybe the most complicated thing. You know that BTC is so popular, and thousands of miners are trying to grab at least 100000 Satoshi. That’s why you may spend a great deal of time until the first pieces of Bitcoin begin coming in. Other miners made peace with it.
In this case, you need to think about another good bet to mine. It would be ETH or other lesser-used digital coins.
When you pick up your mining way and the currency, analyze the coin rates, and count the possible benefit. Just make a few numbers, and you’ll get to the bottom in a flash.
What Will You Do With the Mined Crypto
After you mine your first coins, you have a choice. On the one hand, you can store them in a wallet and wait for a time when your digital currency will cost thousands of dollars. On the other hand, you can trade them on the crypto exchange, which is way better. Why?
Binaryx is a fresh approach to trade. You can trade hundreds of famous and lesser-used coins. Further, you can precisely predict your actions using the latest cryptocurrency news.
You can also join the Binaryx Marketplace and compete with other traders. In the case of significant success, investors will cooperate with you.
If you need a little refresher, visit the cryptocurrency Trading Academy. It’ll give all the vital things for your rich trading experience.
The Final Thing
We found out there are so many ways to get digital money. It’s just general information. If you want, you can shift to Bitcoin faucets. That’s another story we won’t even get into. But it’s an option!
Moreover, don’t forget to choose a reliable crypto wallet. Choose the specific kind of digital money that you want to obtain and analyze the available wallet options to store your coins. It’s easy to find one for popular currencies, such as BTC, ETH, or LTC. If you are interested in some lesser-used cryptos, it’s a bit extra work. However, finding a trustworthy wallet is one of the critical tasks when it comes to crypto mining.
Just suppose that you mine BTC for half a year. And at some point, all of your coins became stolen. Why? Because you didn’t pay particular care while picking up the wallet. You may be selected as a dodgy one that was easy prey for hackers.
If you’re sober and look for plans to get some digital currency, it would be better to get a hardware (cold) wallet. It’s the most secure and reliable crypto storage out there.
Well, we have done with the analysis. We considered a few different issues and examined various types of mining. The particular way you liked depends on your demands and possibilities. So, you need to be mindful! If you decided to start your mining activity, we wish you good luck!