Crypto has emerged as a popular investment tool in the world of finance. Most crypto coins are powered by the blockchain. To use crypto coins the right way, miners help to verify each crypto transaction. The result is that the security of these blockchains is quite high.
How Crypto Mining Works
Mining crypto is the process of using computing power to solve complex calculations, which helps to confirm a transaction. To do this, the processor will examine the history of each coin inside the blockchain to confirm the transaction is genuine. Users will then receive crypto and a transaction fee is charged for the transaction. The fee goes to the person that helped to verify the transaction. However, mining is not cheap; it takes a huge investment.
The Requirements to Become a Crypto Miner
If you are into crypto, you do not need to buy the coins at an exchange. You can mine the coins and are paid in crypto. Compared to crypto investment, mining crypto is not as profitable. Getting started in crypto mining can also be quite costly. However, if you want to start mining crypto, here is what you need to get started.
1. Crypto Mining Rig
Since mining takes hours, users should use their spare computer to avoid interfering with normal computer activity. It is important to know that the rig will work less efficiently with time. Choosing a crypto mining rig will take a little bit of research. The old saying “you get what you pay for” certainly will apply to the mining space. If you purchase a very cheap mining rig, chances are the output will be weak. The reason for this is because most of the cheaper mining devices have a low “hash rate.” The more hashes per second a miner can do, the more expensive the mining device will be due to efficiency / production. To get an idea on pricing, we recommend you take a look at the Halong Mining Dragonmint T1, which is a very good device in our opinion. We have seen this device being about 20-25% more productive than some of Bitmain miners. For those unfamiliar, Bitmain is another popular company in the crypto space in which many miners buy products from.. To use a rig correctly, here are the mining requirements:
2. Hard Drive
The memory of your hard drive needs to be at least 200 GB. Some coins such as BTC might need more space for the download of programs before the mining operation starts.
3. Stable internet
Since the process of verification is real-time, miners need to have a stable connection, which helps them to connect to the blockchain instantaneously. An unstable connection could make you repeat processes and reduce your earnings.
4. A Cooling system
You will probably need to run the rig 24 hours. The rig generates a lot of heat and it can affect the overall performance of the rig. You should use a cooling system such as an AC and fans.
5. An OS
You can use Mac OS X, Linux, and Windows 7/8.x/10 as your OS.
This is the most important part of your mining operation. It costs several thousand dollars. You need to invest in a high-quality GPU to succeed as a miner.
7. Data Package
To be a miner, you have to download and upload up to 500 MB a day. As a result, the data package provider needs to have a cap of at least 15GB a month. It is important to be able to sustain at least 5GPB a day. This means your data provider needs to offer you 150 GB a month or more.
The least amount of RAM you can have is 1GB.
9. Crypto wallet
The crypto wallet is where your crypto earnings will be sent. There are online wallets you can use as well as software and hardware wallets you can use.
Image Source: Vilson Frangaj Via Flickr