Since the inception of cryptocurrencies, more and more people have got hooked to it, the primary reason being the drive to earn money. One way obviously to trade in cryptocurrencies is using fiat currency. Another process is called mining.
What is Crypto-Mining?
Crypto mining is a process in which a machine performs certain tasks to obtain a little bit of cryptocurrency. It is performed with sophisticated technology and solving difficult computational math problems. The process is very meticulous, costly and is only infrequently rewarding. Nevertheless, the miners are motivated to get crypto coins. Even though the term mining here is meant digitally, but it bores a resemblance to the same physical process of mining, because of the hardships and the low results it yields.
The next question is, whether the process of mining is legal or not? Crypto mining is LEGAL, but it also depends on your geographical location and the medium of your mining.
How to start mining?
The term mining here is meant digitally, but it bores a resemblance to the same physical process of mining, because of the hardships and the low results it yields. The basic components to start mining are:
- Wallet- Wallets are online bank accounts with encryption and a unique address. Some digital wallets are: Exodus, Mycelium, Electrum, Spectrocoin, Bitcoin Wallet
- Mining Software- Most of the mining softwares are free for download. They are also available for a variety of operating systems. Examples of mining software are: Rapid Miner, Oracle Data Mining, Konstanz Information Miner(KNIME), Weka, Rattle, Teradata, Orange and Python
- Mining Hardware- The most tricky part is setting up the mining rig; the hardware part. Setting up a rig can be expensive. Many people also buy pre-built rigs. The most important hardware would be a good GPU like NVIDIA/AMD. A RAM of 128GB is the bare minimum. Also, a minimum of 1000W Power Supply would be required for running a mining rig with a high speed internet connection, because this things run at high loads 24/7. A CPU of 8+ Core would also be needed with support for Intel SHA extensions. A minimal amount of 1TB disk space for cache storage is recommended by experts. Some popular choices for miners are the Alienware Aurora R11 Gaming Desktop, Whatsminer M21S, Dell G5 Gaming Desktop and the Corsair One i160.
If you’re a little low on budgets, try mining pool. A mining pool is a group of miners that pool together their computing power and work together to mine for digital currencies.
There are always new ways of mining and new digital currencies waiting to be discovered. For this reason, the process of mining remains an exciting and potentially profitable choice.