As people look to maximise their financial wealth heading into the next era of currency, cryptocurrencies are very much the in-vogue system, but just how can you get started and mine bitcoin and other cryptocurrencies?
Crypto mining is seeing a surge in interest as people have seen their friends and acquaintances make money, and people are now scrambling to participate in the market.
What is mining?
Mining is key to maintaining the blockchains that record transactions and keep crypto decentralised, but in simple terms mining is the process in which transactions are verified and added to the digital ledger.
Cryptocurrency prices over the past year have surged due to the aforementioned renewed interest, and it is one of the most viable ways to participate in the upside of digital currencies without purchasing them directly.
In practice, miners’ computers and setups are actually solving mathematic equations which verify the digital currency transactions.
Their reward for solving these equations is small share of the cryptocurrency that’s linked with the blockchain that they’re a part of.
How can you start mining?
Mining is not without roadblocks and the environmental impact of it in terms of electrical usage is a topic that is becoming a more and more heated debate.
You need to keep a rather heavy electrical setup running constantly, essentially idling as it is known in the tech community, whilst it works on solving the equations in the background.
China had been a hotbed of coin mining in the early years of cryptocurrency, but mining personnel have been fleeing the country after the laws banned mining in some provinces.
Whilst the US Congress could introduce some stringent tax laws for those mining cryptocurrencies, for the moment it is easier to get started.
The first step is setting up a mining rig, then get a bitcoin or crypto wallet and then a person needs to join a mining pool before downloading a mining programme to their computer.
After those steps are complete, the mining process is relatively straight forward with the application doing it all for you whilst you go about your daily life.