A ton of articles has been written about the complexity of mining Bitcoins. It requires sophisticated computer hardware, reliable power, and excellent mining skills. This can be expensive for a new Bitcoin miner, but if you have the resources, here’s how you can mine Bitcoin the right way:
You’ll need to install a Bitcoin mining rig
A mining rid is a computer system used to mine Bitcoin. Some years back, it was easier to mine Bitcoin with your computer (GPU mining). That’s not possible these days. Bitcoin has scaled since its inception, and so many people have joined as miners and traders. So you will need a powerful computer system to be able to mine Bitcoin. That’s why you need to build a rig from scratch or buy a premade one.
Create a Bitcoin wallet
A Bitcoin wallet has a lot in common with the physical wallet; it’s just that instead of storing physical money, it’s used to store digital currency. When looking to create a digital wallet, you’ll have to decide between an online wallet and offline wallet. Online wallets, also called software wallets or web wallets run on your web browser. In other words, an online wallet stores your private keys online. A physical wallet or cold wallet, on the other hand, store your private keys offline. Examples of offline wallets include hardware wallets and paper wallets. Online wallets have the disadvantage of vulnerability to hacks and malware. A hacker can easily steal your coins if they manage to access your private keys online. That leaves an offline wallet as the best option. But an offline wallet is only good if you want to store your Bitcoins longer and sell them at once.
Join a Bitcoin mining pool
This is the best option if you can’t mine Bitcoins yourself. A Bitcoin mining pool is a congregation of Bitcoin miners who bring together their computation power and abilities to mine even more Bitcoins. The good thing about a mining pool is that you’re given a simpler algorithm to work on and the fact that many miners are combining efforts makes it easy to solve complex algorithms that guarantee better earnings. The earnings are usually shared among the Bitcoin miners at the end of the mining day.
Before you join a mining pool, know the reward method they implement, the mining fee, the frequency with which blocks are unraveled, the complexity of the withdrawal process, and the stability of the mining pool.
Choose the right Bitcoin mining software application
If you’ve decided not to join a mining pool, you’ll need to choose a Bitcoin mining software to support your mining rig. You have to install the software on your computer. The software helps to monitor and control the mining rig. Make sure to choose a mining software that integrates with your rig.
Subscribe to a VPS network to secure your Bitcoin operations
Subscribing to VPS is a good idea because it streamlines the Bitcoin mining process and makes it a lot safer. Everyone wants privacy when mining Bitcoins. VPS does just that.
Begin the process of mining Bitcoins
When all your systems are set, you can start mining Bitcoins. To start mining, you first need to log into the mining website. You’ll need to enter your username and password. If you have excellent mining skills and the right equipment, then you have a great future as a Bitcoin miner.
The fact that Bitcoin mining process is time-consuming, energy-draining and expensive, it might be a good idea just to buy Bitcoins. You only need a Bitcoin wallet to buy Bitcoins. Once you acquire Bitcoins, you can sell them or trade them.
— Bitcoin Kinetics (@BitcoinKinetics) 7 de enero de 2018