Everyone wants to earn money. If you get the right gear, mining Bitcoin can be a great to make passive income. Ever wondered how to become a Bitcoin miner? Read on.
The world has gone through a radical evolution. The way we used to live has been replaced by the new ones, which are better than before. From our living style like using a security cam, to our money-making methods, there is innovation in every single field.
People have become inclined to make money online and bitcoin is contributing to the popularity of this trend. Bitcoin is used both as an investment and a commodity. Some are investing in buying bitcoins while others are preferring the mining process.
Mining bitcoin is a difficult process and you need to follow a step-wise procedure to become a bitcoin miner. Here are five basic steps that can help you with the process:
Get Bitcoin Mining Hardware
Digging the digital gold from your PC and high-speed graphic card is no longer an available option. You will have to buy mining hardware that is specifically designed for this purpose. The popularly used hardware includes application-specific integrated circus (ASICs), field-programmable gate array (FPGAs), and graphic processing units (GPUs).
The use of FPGAs and GPUs can help in increasing the mining power which reduces the power usage, thus resulting in saving bills. Whereas ASICs provide more hashing power and enhances mining output. The electricity used while mining a bitcoin will be way less than you will earn.
Joining a Mining Pool
Joining a mining pool has to be your second step. A mining pool is a group of miners who will work together, share their mining power, and split the rewards.
It is hard to earn with bitcoin if you haven’t joined a mining pool, so you really need to share the work and divide the reward among the miners. Without joining a mining pool, you can go on and on without earning any profits.
Downloading Mining Software
After getting Bitcoin mining hardware, you will be needing software to mine Bitcoins. There are many programs that are being used specifically for this purpose, but the popular ones include CGminer and BFGminer. GUI (graphic user interface) is also used for enhanced ease of use. While you might need to get one on your own because some mining pools prefer to provide their software to the miners.
Bitcoin Wallet
Your next step has to be creating a Bitcoin wallet to get the Bitcoins you have been mining. Blockchain.com is the wallet being used by the miners widely.
It can function on several operating systems. You only need to download a Bitcoin wallet to obtain it. By enabling 2-factor authentications, you can save your Bitcoin wallet from potential threats or can simply keep it offline to prevent it from cyber threats.
Get Started
Once you are done setting up a Bitcoin wallet and linking it to your mining rig, you are all set to earn through it. Bitcoin mining is done by running double SHA256 hash function verification processes to validate Bitcoin transactions and provide the security to entire Bitcoin mining network.
The Bitcoin network rewards miner for their contribution of computational power. At the moment it is 6.25 BTC with every block. This can only be won by 1 miner, but if you’re in a mining pool, it will be shared among everyone. And the more computing power you share the more reward share you are likely to get.
How To Become A Bitcoin Miner
Many want to know how to become a Bitcoin miner, and it’s easy once you get going.
However, it can be a complicated and costly process to begin with, especially or individual miners.
It will be difficult to survive in presence of large firms and mining pools. However, by becoming a part of a mining pool, you can earn profits.
Bitcoin is in its early adoption phase, and the Bitcoin mining industry is growing along with Bitcoin adoption. It’s a greta way to earn bitcoin, so what are you waiting for?
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