How to mine bitcoin at home in 2019

Bitcoin mining at home in 2019

Initially, anyone could start mining bitcoin, and it was enough to use the computing power of a personal computer processor. However, the network is based on a special mechanism that helps to prevent the inflation of the value of coins and provides for a gradual increase in the complexity of its mining. In today’s world, it is difficult to get the desired bitcoin, but it is quite possible until the last coin is released.

Mining at home

Before considering mining options in detail, you need to understand the notation. Mining is a special process of network maintenance, through careful re-verification of the transaction, adding updated blocks to the blockchain system. The main task of an experienced miner is to find the right result for the hash function and sign the block by randomly selecting combinations. This will allow completing every unconfirmed transaction. If a person is the first to find this signature, he or she will be able to receive a monetary reward in the amount of moments that are currently issued for it. Currently, this figure is 12.5 BTC. The mathematical process of calculations is quite difficult, because the chosen combination must be a hash of each individual block of transactions that are included in the general blockchain chain. However, for each person, it actually boils down to the selection, connection, and additional configuration of specialized computing equipment that will allow them to choose the right combination for signing the block. To summarize, we can say that to start mining Bitcoin, you need to purchase powerful modern equipment capable of performing heavy calculations and creating a connection to generate updated blocks for a particular network.

What are the main benefits of bitcoin mining in the new year?

Bitcoin was created by entrepreneur Satoshi Nakamoto. The basis of the network he created was the introduction of a pair of algorithms. They will be able to prevent the development of inflation. One of these algorithms provides for: – issue at a maximum value of 21 million coins; – constant review of network difficulties; – the ability to withdraw half of the reward every 210 thousand blocks. Experts in this field claim that experienced miners can expect a further halving of the reward per block only by mid-2020. In addition, based on practice, the price of a coin must necessarily cover the cost of its mining. A person who plans to engage in mining should take into account the cost part, namely the cost of electricity and powerful computing equipment. Bitcoin can be classified as a special category of cryptocurrencies. To mine it, you will need professional equipment with high power. It performs its own work on the POW algorithm, which requires computers with the highest performance. This will allow miners to find the signature to the block as quickly as possible. There is, of course, the option that low-powered hardware can also find this signature, but this is extremely rare. Are you interested in the reality of the benefits of mining in 2019? The answer to this question depends on the value of the cryptocurrency and the complexity of the network itself. Financial experts have predicted that the price of Bitcoin will increase in the future, but it is impossible to predict the specific price of cryptocurrency. A price increase will inevitably lead to more difficult mining. In his work, a miner has to find a favorable cost/coin ratio and needs to analyze and weigh the advantages and weaknesses, and show an instant reaction to the rules of the market game.

Varieties

Mining classification is determined by the device used and the mining option. It is divided into 3 main types: Solo. Selecting the correct signature to the updated block using the abilities of your computing unit. Here, when the user closes the block, he receives his own reward. Collective. It is used to increase the probability of finding a block. Often, several people are united into one. The power of the device becomes many times greater, and the reward is divided equally among the participants. Cloud-based. It is carried out remotely, for which a specialized unit is rented from the corresponding service.

Mining options on your own desktop PC

Initially, people mined Bitcoin on their computers. Moreover, a simple device with low power could even mine 2-3 thousand coins per day. It should be remembered that at first, the price of one bitcoin was less than $1. Today, it costs 2-3 thousand dollars per one. This high price is supported by the increased complexity of the network. You should be aware that mining gradually ages the computing unit, so it is not suitable for working on a desktop PC. It will also become unprofitable, because you will need to pay the electricity bill in your region, and most likely buy a new version of the computer. To avoid incurring unnecessary expenses, it is better not to use your own equipment for the process.

Video cards for mining

One of the most popular methods is cryptocurrency mining on video cards. This means that a special farm is created in which several processors with graphic functionality are involved. They are connected into a common technological structure. The profit will be directly linked to their number and performance. A farm can be connected to a collective pool, in which case mining takes place in Solo. Experts recommend this method to users because it allows mining the most popular cryptocurrency and its network is of medium complexity. In the case of collective mining, the network is able to see the total, integral power of the manufactured structure, which was described earlier, which significantly increases the likelihood of finding the block. The most important thing is that it does not matter what kind of equipment the correct signature is found on. The reward for the block will be divided among all miners who have joined together in the appropriate proportion to the power of the devices. This option provides an opportunity to ensure a stable regular income, but additional financial capital will be required to get started. Thus, users should purchase a couple of powerful, productive video cards (6-8 pcs.) and build a mining farm with them.

The cloud type

It is best suited for people who are just starting to mine Bitcoin. Beginners do not need to assemble a farm or learn all the intricacies and peculiarities of setting up computers. Specialized services are responsible for all processes, and the user only needs to choose the operating conditions and officially certify the contract for work online. Another advantage of such a service is that miners can start working by minimizing their cash contributions, and they also offer the option of receiving passive income after the fact. There is a complete optimization of activities, since the services are equipped with professional equipment, and experienced specialists monitor the work around the clock. Many of these centers are located in places where electricity tariffs are reduced, which makes it possible to significantly save on consumables. Today, the market provides a large number of offers for cloud cryptocurrency mining. However, 2 specialized services are considered to be the unequivocal leaders in this area: Hashflare. It has been operating without interruption since the end of 2014. The company has set a goal to make mining as convenient and easy to use as possible for everyone. The service is used by more than 2.5 million customers. Genesis. Mining. Appeared on the market in early 2014, has an excellent reputation and is a well-known name all over the world. The company gives a guarantee of timely and regular payments, which is pleasant for every user.

Working with a portable laptop

Even the most popular laptop models do not have the necessary power for bitcoin mining. The device will not allow you to collect enough coins to cover the costs of purchasing new computing equipment and paying for electricity. Among other things, the laptop’s cooling system will not be able to withstand regular increased loads, which will quickly put the device out of commission.

Working on Android

There are many programs and applications that offer to download bitcoins directly to your phone. Judging by the technical characteristics, this is realistic, since every smartphone is equipped with computing power. But this is definitely not enough to mine even a fraction of a bitcoin, and the very attempt will inevitably lead to the death of the phone’s processor. Also, such applications often carry malicious files, which even antivirus is not always able to handle. Experts recommend using a PC, laptop, or smartphone to simply study information on mining unknown coins that may grow in value and bring financial rewards in the future.

The most effective mining methods

Experts consider mining on special equipment – Asic miners – to be the most popular option for mining Bitcoin among users. An Asic is a specialized machine made of microchips and equipped with the most powerful system coolers. It is professional and autonomous, can be launched with the smallest settings, and can be installed at home. The price of Asic ranges up to $1,000, and it pays for itself in six months of mining, after which it brings a regular stable income. Mining farms cost about the same as Asic.

The amount of earnings

Several factors affect the income, including the following: – network complexity; – prices of the chosen cryptocurrency; – the amount of electricity consumed by the device; – the price of electricity in your area. The miner who offers the largest number of combinations will receive the highest income. It will fully pay off in six months of user activity. After that, you will be able to receive a stable cash income. Remember that over time, every piece of equipment becomes obsolete and old, no longer able to cope with the constantly improving network. For this reason, the farm must be regularly upgraded with added performance and power.

Advantages and disadvantages of mining at home

Strengths: – the ability to earn passive income; – minimal time investment; – Bitcoin will rise in price, according to experts; – anyone can mine, regardless of gender, age, place of residence, or profession; – there is an opportunity to start mining cryptocurrency by making a minimum investment, for which cloud services are used.

Weaknesses:

– It is impossible to start a business without financial expenses; – exchange rate volatility; – the need to have a quick response to market rules; – increased noise; – you need to have information about computing units and cryptocurrencies themselves.

To summarize

Mining is the main method of generating income from cryptocurrencies. Bitcoin mining requires equipment with high computing capabilities. In the initial period of this industry, mining was a fairly easy process. Nowadays, it is a laborious process that requires taking into account many different parameters, purchasing specialized equipment, and a detailed calculation of all consumables. The most popular methods today are bitcoin mining on video cards and Asic miners. However, this equipment is very expensive. Beginners should use cloud mining.