Bitcoin mining is a legal and accomplished way of earning Bitcoin. The Bitcoin network compensates Bitcoin miners who have successfully added a block to the blockchain.
In reality, Bitcoin mining is difficult and expensive to actually do profitably. If you are testing the waters, then you have to understand what is Bitcoin mining and how it works.
What You Need To Start Bitcoin Mining
There are three essential things you need to start bitcoin mining. They are listed below;
- Bitcoin wallet- This is needed if you want to start to mine. A wallet is an encrypted online account that allows you to store, transfer, and accept Bitcoin or other cryptocurrencies. You’ll need a wallet to store the bitcoin you earn after successfully mining.
- Mining software- You’ll need mining software that would be connected to the necessary hardware for you to mine. This software can be downloaded for free and can run on Windows and Mac computers.
- Computer hardware- It’s no longer possible to BTC with your computer CPU or high-speed video processor card. You’ll need a powerful computer like GPU (graphic processing unit) or custom Bitcoin ASIC chips to mine. These computers make use of an enormous amount of electricity to make mining work.
How To Start Bitcoin Mining
The following steps are all you are required to do if you want to start mining bitcoin;
Get the best Bitcoin mining hardware-
You might need to purchase mining hardware with bitcoins. This mining hardware is available on Amazon. Some of the best mining hardware based on their price hash and electricity efficiency include AntMiner S7, AntMiner S9, Avalon 6, and so on.
Download free Bitcoin Mining software
You’ll need to download a special program used for Bitcoin mining after you have your mining hardware in place. The two most popular Bitcoin mining hardware today are CG miner and BFG miner which are command-line programs.
Join a Bitcoin Mining Pool
You’ll have to join a Bitcoin mining pool if you want to really mine. Bitcoin mining pools are groups of Bitcoin miners working together to solve a block and share in its rewards. Without a BTC mining pool, you might mine Bitcoins for over a year and never earn. You’ll only have to share the reward of mining when you join a Bitcoin mining pool which is better than nothing. Some of the Bitcoin mining pools you can join include P2pool, Bitminter, CKpool etc.
Set up a Bitcoin wallet
The next thing to do is to set up a Bitcoin wallet or use your existing Bitcoin wallet to receive the Bitcoin you want to mine. Bitcoins are sent to your BTC wallet by using a unique address that only belongs to you. In setting up your BTC wallet, you have to secure it from potential threats. This is done by enabling two-factor authentication or keeping it on an offline computer without access to the internet.
- Stay up to date with Bitcoin news- Staying up to date is important for your Bitcoin mining profits. If you want news regarding Bitcoins and other cryptocurrencies, Prestmit is here for you.
Also Read: Benefits of Bitcoin ATM
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