All bitcoins in circulation have been mined from a block of mathematic calculations on the bitcoin blockchain. For each successful block to the chain, a reward of around 12.5 is given to all miners that participate. Nowadays, these blocks are being slain by the wave of new power-hungry ASIC mining rigs. Application Specific Integrated Circuits (ASICs) have a single, specific use rather than for general all-purpose use. ASICs are solely for cryptocurrency mining, and they do it extremely well. As a result, they are very costly. The Antminer Z9 mining rig will set you back $2000. This is a factor to take into consideration before you begin mining as to make a profit with mining, you will need to make more than your initial investment in your mining rig.
Mining hardware can only interact with a computer once you’ve installed and configured mining software. This software will control the various mining devices you have. It can determine whether it should mine as part of a specific pool, change the fan speeds, and can choose which cryptocurrency to mine. The mining software that is best for you will depend on a few factors. First, are you attempting to exclusively mine Bitcoin? Or are altcoins in your interest too? Also, the hardware you have will determine which type of mining software you need. For the purpose of this post, we will be focusing on BTC mining software.
You can’t stop things like Bitcoin. It will be everywhere and the world will have to readjust. World governments will have to readjust – John McAfee, Founder of McAfee
As Bitcoin mining is extremely popular, the only way to actually make a profit while mining it is to use an ASIC miner. For ASIC-specific mining, the open-source and free software BFGMiner is your best option. BFGMiner is for ASIC mining rigs, making it ideal for BTC mining and other non-ASIC resistant cryptocurrencies. Any cryptocurrencies that use the SHA-256 (such as bitcoin) work even better when using BFGMiner. This software also allows users to connect to multiple mining pools, and it will stop connecting to any pools that are unreachable. This saves on electricity costs when the software can’t interact with a mining pool in order to generate profit.
Bitcoin mining can definitely be profitable if you have the right hardware. If you’re concerned about the risks associated with cryptocurrency mining, you should check out our blog post on mining the top 10 cryptocurrencies. We go over the disadvantages and advantages of mining as well as the different ways in which you can accrue new crypto tokens.
As Bitcoin is the biggest cryptocurrency on the market, the mining world is highly competitive. Due to this, many people have resulted in cloud mining in order to have a shot at earning some BTC by purchasing server space on a powerful computer system. Be that as it may, investment returns are very slow due to mining difficulty increases.
This article is intended to educate and should in no way be seen as investment advice or an enticement to use the ice3x.com platform. Bitcoin is highly volatile with big profit opportunities but you should also remember that you could lose part or all of your investment whenever you take part in any high risk investment. Bitcoin trading is not a regulated industry in South Africa, which in itself carries additional risks. IF YOU ARE NOT AN ASTUTE BITCOIN TRADER, SEEK INDEPENDENT FINANCIAL ADVICE BEFORE MAKING ANY INVESTMENTS.