Cryptocurrency All-in-One For Dummies
Book image
Explore Book Buy On Amazon
You can get started earning Bitcoins in a variety of ways. Mining for Bitcoin is how to earn Bitcoins by participating in the network. It's usually handled by special mining hardware that is expensive and specialized. The equipment also needs Bitcoin mining software to connect to the blockchain and your mining pool (a collaboration of many miners jointly work together and then splitting the rewards of their efforts).

Here are three standard ways to explore mining Bitcoin:

  • Bitcoin-QT: The Bitcoin-QT client is the original software written by Satoshi Nakamoto.
  • CGminer: CGminer is one of the most popular mining software. It is open source and available for Windows, Linux, and OS.
  • Multiminerapp: The Multiminerapp is an easy Bitcoin client to run.

Bitcoin is a very competitive environment, and unless you buy specialized mining equipment, you may never earn any Bitcoins. Expect to pay between $500 and $5,000 per machine on average. Amazon.com is a good place to look. They have a large offering and many customer reviews to help guide you.

Cloud mining allows you to start earning bitcoins in an industrious afternoon, without the need to download software or buy equipment. Just follow these steps:
  1. Go to https://hashflare.io/panel.

    The return on investment for cloud mining can be negative. Review your option carefully to make sure it is a positive investment.

  2. Scroll down the home page and click the Buy Now button under SHA-256 Cloud Mining.
  3. Go through the sign-up process.
  4. Link your bitcoin address.

    If you haven't established a bitcoin address, create a bitcoin wallet. You'll need to do this in order to claim your mining rewards.

  5. Buy a small amount of mining power.

    This will allow you to join the bitcoin network.

  6. Join a mining pool. This step allows you to get a faster mining reward than mining on your own. It pools the resources of several miners and then shares the prize between the pool.
Congratulations! Now just sit back and wait for your mining rewards to start rolling (or dripping) in.

About This Article

This article is from the book:

About the book authors:

Kiana Danial is the CEO of Invest Diva as well as an internationally recognized personal investing and wealth management expert. She delivers workshops and seminars to corporations, universities, and investment groups, and has been featured in Forbes and on CNN. Danial was named the 2018 Personal Investment Expert of the Year by Wealth & Finance International. Tiana Laurence is a blockchain pioneer, investor, and serial entrepreneur. She cofounded Factom, Inc., a software company that builds technology within the blockchain space. She's a columnist for TechTarget, in which she focuses on blockchain and the Internet of Things (IoT), and she's managing partner of Laurence Ventures, a firm investing in technology initiatives. Peter Kent is an e-commerce consultant who specializes in search engine optimization (SEO). He’s also delved into cryptocurrency, including creating the online course Crypto Clear: Bitcoin & Cryptocurrency Made Simple. A former vice president of web solutions at a national internet service provider, and vice president of marketing and SEO expert at Indigio, Kent has been involved in the online world since 1984. He's been writing about the internet since 1993. He’s the author of nearly 60 books, as well as hundreds of articles. Tyler Bain is a professional engineer who specializes in the electrical grid. He is also a Certified Bitcoin Professional who focuses on system resiliency and mining mechanics. Michael G. Solomon, PhD, is a professor at the University of the Cumberlands who specializes in courses on blockchain and distributed computing systems as well as computer security. He holds numerous security and project management certifications and has written several books on security and project management, including Ethereum For Dummies.

This article can be found in the category: