All miner owners, one way or another, at first ask themselves the question: “how to start mining?”, and then try to figure out how to start. So immediately you can drown in literature from various sources, most of which is not immediately understandable to the beginner, or at all overloaded with narrow terminology without prior explanation. Words such as: “halving”, “Asic”, ‘farm’, “hashrate”, and less experienced users do not always even know what cryptocurrency is and what they eat it with. For this reason, so that you do not have to search for information for months, choosing it from the reviews of experienced users – we simply and clearly made a breakdown of the main nuances and questions on mining for beginners, combining the main points in one article.

What you need to start mining

The very concept of mining is the extraction of cryptocurrency. However, you can mine different cryptocurrencies, and in different ways. Which one? You need to decide on your choice before you plan to mine. Many professionals work with bitcoin, but the experience and power of their equipment allows them to do it while the venture is still profitable. Bitcoin is becoming more and more complex and demanding to the power of devices, which allows only old-timers with already developed mining farms to stay in line, and as for newcomers – not everyone will be able to invest such sums at once, so that this action was profitable, and the equipment paid off as a result. But here everything is not so gloomy, because there are mining farms ready for operation, the payback period of which is from 6 to 8 months on average, after which the work is already in the plus. In one situation or another, it is important to guess the moment when this farm is most profitable to start using, because the most tidbit will get when the bitcoin rate is on the rise, which significantly affects the payback period. But there is a second indicator that must be taken into account, in addition to the exchange rate.Regardless of the exchange rate, and not always predictably, the complexity of cryptocurrency mining is growing. If we are talking about bitcoin, and a number of cryptocurrencies mined by specialized processors – of course, here we use Asic device, but no one is preventing us from dealing with other currencies in the mining market, any of which can be mined by graphics cards. So depending on your choice of cryptocurrency, you purchase either Asic devices or specialized graphics cards for mining.

Mining with ASIC

What is an Asic Miner? It is a computer designed specifically for mining cryptocurrencies that are particularly difficult to mine, like bitcoin. Asic like PCs decrypt the blockchain by mining blocks, but they exceed the performance of regular PCs by thousands of times. There is a difference – if computers use video cards to develop the speed of computing processes, then asics are specialized chips that work on algorithms specifically designed for a particular cryptocurrency. Asic miners have become actively used in the household, but their predecessors were exactly video cards, which still remain relevant for those types of currencies for which there are no special computing algorithms for asics. In addition, it is also possible to mine coins on processors – but the latter is quickly becoming unprofitable.Given that the complexity of computing processes is increasing – the equipment becomes more powerful and more energy-consuming, and as a result, manufacturers of Asics create special chips that solve more tasks, while using less electricity to work. The pioneers in this area were Butterfly Labs – a company manufacturer from China – they in the summer of 2012 produced equipment on chips, focused on bitcoin mining. This is how the first Asic miner appeared.

The word Asic itself is a 4-letter acronym: “Application Specific Integrated Circuit”, which translates to a circuit made of integrals for a narrow application. Asic device as such – a chip that performs a specific type of activity – and only one, but more productive than similar chips working in multitasking mode. The developers of Asic miners made these kinds of chips to be designed for the specific algorithms with which specific blockchains are encrypted. Those currencies whose algorithms are identical – can run on the same chip. Alternatively, if Bitcoin is encrypted with SHA-256, some other crypto coin may be encrypted with Scrypt or other algorithms, and understanding what algorithm the currency is running on is how we select the decryption equipment.

Mining with video cards

Although Video cards were the predecessors of Asics, but even at the time of 2020 have not lost their relevance. For new users, there is an attractive opportunity – to expand the mining farm in the long run, adding more and more new video cards and modernizing them. Given that the Asic-device is complete when you buy it, you can change the video cards yourself, add newer ones, remove old ones, sell those that have already worked out and have additional income (which at least will be able to recoup costs in case of failures, because the demand for video cards on the market never drops). For an inexperienced user who doesn’t have a lot of capital – a video farm is ideal, as the best test period is practical, not theoretical. A person can set up 2 video cards, look at the work, the result, get minimal experience in mining, analyze statistics and indicators of costs, profits, payback, which will give an idea in what direction to develop further. If you are a little bit promoted, and came to the conclusion: “mine” – you can build a farm of 6 – 8 cards,But as such there are no frameworks and standards here, you decide how much resources you want to invest for what result. The development of mining has moved forward, and at the time of 2020 even special graphics cards have been created, designed specifically for the mining of cryptocurrencies. They are more productive, and less power-consuming, and now there are already released video cards adapted to perform a specific task (mining a specific cryptocurrency), just like Asic.

Payback of such a farm takes 5 – 6 months. Now, at the time of 2020 the most profitable devices are considered to be video cards from Nvidia and AMD, namely: Nvidia GeForce RTX 2080 Ti, Nvidia GeForce RTX 2060, Nvidia GTX 1080 Ti, AMD Radeon VII. But an important nuance is that the profitability of this equipment is considered taking into account the complexity of cryptocurrency mining that exists today, while no one knows the forecasts for the complexity and price of cryptocurrencies mined by graphics cards. It is only known that cryptocurrencies change in price and their complexity increases every year.

About mining in general

Hashrate is the main performance evaluation of mining devices. What it is. It is a unit in which the processing power of a device that mines cryptocurrency is measured. Without going into details, we can briefly say that a high hash rate is good, because the higher it is, the more coins we have in a shorter period of time. In other words, the more powerful the mining equipment is – the more profitable mining is for you. The benefit of mining bitcoin as a recommended cryptocurrency is that it is the most valuable financially, the most secure and has a demand, and the disadvantage of this currency – in the competition for its mining. But it’s a two-way street, because if you mine a currency that is not particularly popular, no one is immune to its depreciation. And the statistics of bitcoin, relative to its rate in time frames – shows a positive trend, despite the constant fluctuation of this cryptocurrency, which suggests that all the same mining farms to mine bitcoin will pay off with greater probability. With video cards is even easier, if mining did not bring the desired result – the demand for cards always remains, and in any case, they can be sold to fans of video games.When buying Asic you will be pleasantly surprised by the fact that it is already set up, the standard software equips the device with everything you need. Including the equipment, you only need to write the address of your cryptocurrency wallet in the line, and after connecting to the network and to the Internet, the device itself mines coins without your active participation. However, if you want to engage in assembling a mining farm yourself – there are specialized programs for mining cryptocurrencies, and now there are quite a lot of them – for every taste.

It is also worth preparing a room where you will have a farm. The best option for this is a room equipped with a ventilation system, with the ability to regulate the temperature and humidity. It is always important to keep the room clean, as dust settling on the equipment can lead to overheating of the boards, and in the worst case – to their failure. Mining farms heavily load the electrical wiring, so before you install the equipment – make sure it is in good working order.

If you have a desire to engage in mining, our online store – the right choice https://asicfox.ua . Here you will be able to buy a fully assembled mining farm, as well as to assemble the farm yourself. In our store you will be able to find any components and parts for mining equipment, which can be handled even by a beginner in mining, and if you have any questions and need help – our managers in chat or phone mode will be able to advise you in this or that matter regarding the choice of devices.