Hopefully, you know what you’re dealing with. Hopefully, you have read everything there’s to read about Ethereum and now you’re 100% ready to start mining. Here’s a brief info dump for you:
- Ethereum is one of the world’s top cryptocurrencies.
- Crypto mining is when the miners set up hardware in order to decipher cryptographic puzzles with the ultimate goal of earning ether.
- Potentially, anyone can make their PC to mine Ethereum.
- Mining takes a lot of effort, time and money.
Now, it is time for us to go through the fascinating process of Ethereum mining in greater detail.
Choosing the Right Hardware
You will require a very special piece of hardware dedicated solely to mining. There are 2 types of mining equipment available on the market: GPU-accelerated and CPU-accelerated. The former has a better hashrate, meaning they solve the puzzles quicker. As of right now, GPUs are the best option for Ethereum miners.
You need to set up a whole mining rig, complete with several GPUs. That alone takes up to a week to set up. You will have to go over each GPU’s efficiency and electricity consumption in order to figure out how to invest wisely.
Setting Up the Software
This part is way easier, in comparison. All you have to do is find all the available information regarding the best mining software and choose the right one. Here’s where you can run a test or two, to see how efficient your set-up is. If you are only interested in mining pure ether, you need to install a specific piece of software – Ethminer.
Setting Up the Wallet
You’re about halfway there. In order to reap the benefits of crypto mining, you are going to need a wallet. Set it up, using your preferred method (the one that makes you feel safer). Never forget to enable two-factor authentication, you cannot be too careful when setting up a system that will ultimately handle large sums of money. Use all the safety measures you can think of.
Joining a Mining Pool
Alright, that’s the last one. What you have to understand here is that mining Ethereum is a noble cause, sure, but here’s the thing – you won’t earn a thing if you’re working on your own. That’s precisely the reason why other small-time miners pool their computing power into the so-called “mining pools”. This way, their chances of deciphering the puzzles and ultimately making Ethereum go up drastically. The earnings get split in accordance with how much power one contributes, so it’s all fair and square in the end.
There are many things to take into consideration before joining a mining pool. Each one has different requirements for new users, many close with no forewarning, their computing power is constantly changing, etc. Your best bet is finding the most reputable one or the one that has a payout method that is suitable for you.
Now you have some really brief information about mining Ethereum. Of course, every single step of the way deserves a separate article, but that’s neither here, nor there. Last words of wisdom for you: remember that the mining industry is always changing. The rig you order today may become obsolete the next day. You need to stay on top of this if you really want to earn some Ethereum.