Bitcoin mining is the process of verifying the transactions made on each blockchain. This validates each transaction and then shares the transaction publicly over a 2-peer network for all to see. Bitcoin miners are the people responsible for verifying and honoring each transaction before it is added to a block to create the blockchain. Once a miner places the next block on the blockchain, they can claim a reward, which is usually in the form of bitcoins. The more math calculations you solve, the bigger the reward.
You don’t need to be a professional developer or programmer to be able to engage in bitcoin mining. Below is an easy to follow step by step guide for bitcoin mining beginners.
Get a Bitcoin miner
bitcoin mining hardware
The world of mining is becoming more complex as more computing power is used in mining. The higher the level of mining, the more difficult it is to profit because the investment in hardware is very high. Bitcoin mining is very competitive and you should do your research before investing in hardware. Previously, it was possible to use your own personal CPU for bitcoin mining, but with the complexity of mining, this method is no longer applicable. You need to buy a specially designed computer whose main purpose is to mine bitcoins.
Get a bitcoin wallet
bitcoin wallet
You must have a local or online wallet to store your digital currency. The wallet comes with a public wallet address and a private key or password, which are the most important details to remember. It acts as a backup wallet if something unfortunate happens to your device. A highly recommended wallet is a home or self-hosted wallet.
I’m looking for a group to join
mining pool
It is recommended that you join a mining pool or pick mine on your own. Clustering ensures faster returns as you combine your computing power to achieve better results. Each pool has its own rules, reward method and fees for mining. Mining alone is complicated and you may not get any return on your investment.
Get mining software for your computer
mining pool
There are many free mining software, depending on the hardware you use. Mining software helps monitor and control your hardware. Some of the popular mining software are CGminer, BFGminer and EasyMiner. If you are in a pool, it is a good idea to check with them when connecting your pool to their program. Programs run via command line and may require a batch file to start properly.
My King
After all this, you are ready to go. Run your mining software and start entering your pool username and password. You will notice that your device slows down while the miner is running.