How to mine Bitcoin (BTC).
How to mine Bitcoin in 4 Steps
1.Get your Bitcoin mining hardware. Bitcoin mining requires specific hardware. This is often referred to as a Bitcoin mining "rig". At the beginning of Bitcoin's history, ordinary domestic computers could be used to mine Bitcoin. However, due to popularity, the complexity of Bitcoin's proof-of-work algorithm needed to increase, which resulted in a necessity for increased computer power. The specialized hardware used by most miners are called ASIC (application-specific integrated circuit) chips. These are powerful machines specifically built to solve Bitcoin's proof-of-work algorithm.
2.Download your preferred Bitcoin mining software. Once you have a Bitcoin mining rig in place, your next step is to download the necessary software that will connect you to the Bitcoin blockchain. The software distributes work to miners and adds new blocks to the blockchain. There are several free software programs that can be used to mine Bitcoin. Nice Hash Miner is one example.
3.Select and join a Bitcoin mining pool. Even with the latest hardware and software, Bitcoin mining would be fruitless for an individual. Individual miners cannot compete with the large mining farms backed by mining companies. Luckily there is a solution – a Bitcoin mining pool. Individual miners can combine their computing power with the group to collectively compete. Fees must be paid to the operator of the pool and rewards are slightly lower, but using a mining pool will ensure rewards remain frequent.
4.Start mining. Once you choose a pool, you are now ready to start mining Bitcoin. Connect your mining hardware to a power outlet, complete the connection to the Bitcoin blockchain with your chosen software, fill in details regarding your Bitcoin wallet and chosen mining pool and you're good to go.
