Bitcoin mining is the traditional way to accumulate/earn bitcoins since bitcoin was discovered by Satoshi Nakamoto. In the beginning stage, a lot of people have mined an unimaginable amount of bitcoins in the shortest time, just by using a regular PC. But, now the Bitcoin mining has become nonprofitable business as lots of people started to mine bitcoins.
You cannot get succeed in mining unless your machine is capable of solving the mathematical calculation at a very high speed. Anyway, try this to check whether you can make profitable money or not and it will take just a few minutes to set up. This is the Bitcoin mining tutorial to learn how to mine Bitcoin online. Anyone with a computer can try this and need no experience.
If you aren’t interested in Bitcoin mining, install research software to earn up to $200 per month.
What is Bitcoin Mining:
- Bitcoins are not created like regular physical currency note instead, they are mined. Bitcoin is a digital currency and they are not a physical currency that can be seen like USD. If you’re new to Bitcoin, learn what is Bitcoin?
- Bitcoins are transferred from one person to another person directly without any middle man like a bank involving in it. So, how and where the Bitcoins transactions are recorded?
- Bitcoin transactions will be recorded in Bitcoin’s public ledger called the Blockchain. The transactions are not recorded to ledger automatically, but it is done by Bitcoin miners and the process is called bitcoin mining.
- When a transaction is made between two wallets, Bitcoin miners will confirm the transaction by solving some mathematical calculations using their bitcoin mining device and thus recording the transaction in the Bitcoin public ledger.
How Bitcoin is Mined:
- Bitcoin mining on past days was very easy that it can be done with regular CPUs. When the number of people started to mine Bitcoins increased, the difficulty of solving the mathematical problem has become so difficult.
- So, nowadays very powerful mining hardware like ASIC which is specially created for Bitcoin mining is used to mine Bitcoins.
Related article – Litecoin Mining.
How can you Mine Bitcoins Online:
- You cannot mine Bitcoins individually and at current block difficulty, it will years to mine 1Ƀ. So, you have to join with others to speed up the process.
- Bitcoin miners work together as a team to mine Bitcoins by organizing pools.
- A Bitcoin pool is a place where millions of miners work together to mine bitcoins and share the mined Bitcoins based on their performance.
- So, you should join a pool and work as a team and get the reward instantly based on your system performance.
What Do People Prefer Bitcoin Mining:
- Bitcoin mining is the process where human has nothing to do like they do it to solve HIT tasks on Amazon mTurk. Instead, Bitcoin mining is done by computers once the mining software is turned on.
- No manual work is needed. Just switch on the PC or Miner device and leave it to solve mathematical calculations. Let it mine as long as it is switched on.
Requirements for Bitcoin Mining:
- As I said earlier that Bitcoin mining through PC has become unprofitable unless your PC is so powerful. You can just learn what is Bitcoin mining through your PC and once you understand completely about mining you can purchase a powerful bitcoin processor and earn profits.
- To begin you should own a PC with an internet connection, a bitcoin wallet to collect your bitcoins (Note: Learn how to create Bitcoin Wallet in this article). These are the basic requirements and a PC with the graphics card is highly preferred.
- The secondary requirements are the Bitcoin mining software and membership in the pool, which you can learn in this article.
Bitcoin Mining Tutorial for Beginners:
How to Start Mining Bitcoin using PC:
- Install the software should look somewhat similar to this. The process has been explained below.
- Once you complete this process, leave the software as it is and join the bitcoin mining pool for mining bitcoins.
Recommended article – Bitcoin PTC sites.
Create an account in the Bitcoin Mining Pool:
- Once you land the homepage, click sign up to create a new account.
- The registration process is very simple. Just fill a username of your desire and enter your email, password to start. Once you click the Register button, a verification mail will be sent to your mailbox. You have to click the verification link to activate your account.
- After activating you will receive an activation message as shown below.
- Your worker id will be displayed and you can note it down or if you wish to edit just log into your account. In the dashboard click on the worker on the menu.
- If you want you can use the default worker or you can also create a new worker or edit the same worker name as per your convenience.
- In the next step go to your account settings and link your wallet information. If you don’t own a wallet, read this article to learn how to create a Bitcoin wallet.
- Now you are ready to mine Bitcoin.
Related article – Claim free Satoshi on Bitcoin faucets.
Bitcoin Mining Methods:
There is a lot of mining software available and in this article, I’m going to explain the two most used mining software.
Method one to Mine Bitcoin:
- This is the first mining program.
- You can use default miner or you can set up a new miner and once you’ve created a miner, set server as slush’s pool.
- Copy the worker name that you’ve created earlier in the slush’s pool account and paste it on the username. If you’ve created a password for your worker to enter it on password box.
- Now, in the device select your graphics card if available as they are capable of performing better compared to Intel/AMD processors.
- Click the start mining button to mine Bitcoin. To get more details to go to the summary page.
- The miner you’ve created will be underminer name. Now, speed is most important. I have got a very low-end PC, with basic graphics card Nvidia Geforce GT 610 and my system is very old. So, the speed at which my graphics card was able to process is just 10.4 Mhash/sec on average.
- If you own a high-end PC it should rise to 1 Ghash/sec or more. To get profitable income your system should be able to solve at one Giga hashes per second. Else it’s a waste of power.
- The accepted column shows the number of processes accepted and paid for it. And the stale will display the process unaccepted due to late response. Make sure that you have got a good internet connection.
- When you visit your account in slush’s pool your data should sync at an interval of 5 minutes.
- The pool team says currently this miner is not performing well on slush’s pool. So, if this miner does not work properly, you can also try the second method which is so simple.
You might like this – Earn Bitcoin by solving captchas.
Second Method to Mine Bitcoin:
- This is the second mining program.
- This is not going to look like the previous software instead, the file will open in command prompt. But the setup is so simple that it can be completed within 30 seconds.
- This software is easy to setup. Just type the URL given below after opening the file.
- Hit enter after typing the URL. Now you will be asked to enter your worker name. The worker’s name is the one that has been created at slush’s pool account.
- If you’ve created a password, enter your password and press enter. If you’ve not created any password just hit the enter button on the keyboard without entering anything.
- Now the mining process will start immediately and you can get all the data from the command prompt.
Recommended article – Bitcoin Investment Sites.
Things to Remember about Bitcoin Mining:
- This is just a beginning and you cannot earn more money with your PC. So, you have to buy a Bitcoin mining hardware listed below by spending money. And you can earn back the money you’ve spent within three months.
- AMD graphics cards perform better than Nvidia Geforce GTX series cards.
- Whether you’re going to earn or not just give a try to learn about bitcoin mining. Later you can do cloud mining by renting hardware which can fetch you more money even without owning any hardware.
- Bitcoin mining is the main earning source for several people in the world. If you learn about it properly, you will be one of them.
You might also like this – How to mine Ethereum.
How to Mine Bitcoin using customized Bitcoin Mining Hardware:
Best Bitcoin Mining Hardware(s):
1. Antminer S5 (Low end):
Product link – Click here.
2. Antminer S7 (Mid end):
Product link – Click here.
3. Antminer S9 (High end):
Product link – Click here.
Continue to Read – Ways to earn Bitcoin online.