Essentials for Bitcoin Mining

I was just interested in getting an ASIC bitcoin miner although I am pretty new to bitcoin. By the way, do you know anything about bitcoin and bitcoin mining? Basically, bitcoin is a web-based currency. It is used for online shopping and international payment/transaction. Bitcoin mining itself is the process of keeping bitcoin transaction and obtaining another bitcoin. It is often referred as the similar process of gold mining.

If you are also a newbie, let’s talk about four essential things you need for bitcoin mining as in the following:

1. Bitcoin

   Of course, we need to have bitcoin first to do mining. Where to get it? Initially, people can exchange their currency (real money) with bitcoin. According to Preev, 1 bitcoin = 635.9 USD or 459.0 EUR. There are lots of places to buy and trade bitcoin. You are required to make payment via PayPal or bank transfer.

2. Bitcoin wallet

   New bitcoin miners are obviously in need of bitcoin wallet. It is just like the real wallet where you store your money. What makes it different is the fact that you put your bitcoin on your mobile, computer, or even cloud storage. Bitcoin wallets are available for desktop, mobile, and web. What you need to do when opening a bitcoin wallet is filling your personal information.

3. Mining pool

   Mining pool is the very basic requirement to start mining bitcoin. You have to join at a mining pool and set up an account to get started. Different mining pools provide various reward types, like pay per share, pay on target, shared maximum pay per share, and so on. Aside from paying attention to the reward types, make sure to know and compare their fee and other features in making a selection.

4. Mining software and hardware

   Finally, you need to have mining software after preparing bitcoin, bitcoin wallet, and mining pool account. It is a virtual application designed to start mining bitcoin. It must fit the operating system of your device, Windows, Linux, Mac, Android, etc. Meanwhile, for bitcoin mining hardware, you may choose between ASIC and FPGA-based product.

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