Mining Bitcoins today
Mining is the process by which Bitcoin and other cryptocurrencies are created. The mining activity is carried out through networks of individuals working alone or in groups. Mining is also the action of confirming the validity of operations with existing currencies, as a participant in the aforementioned network, a participation that, of course, is remunerated in cryptocurrencies.
In strictly technical terms, anyone is in a position to mine, although according to experts the complexity of calculations with Bitcoins has increased in such a way that miners are associating themselves in groups known as ¨pools¨ to combine the power of their computers.
Of course, there are other cryptocurrencies that can still be mined in less powerful computers, although the gains can be very small due to the volatility in their value.
For the activity of mining cryptocurrencies to be truly profitable, the fixed costs involved cannot be ignored, beyond the acquisition of hardware. One of them, surely the main one, is the electrical energy demanded by these equipments that also, in many cases, require refrigeration and thus increase the energy cost – fixed – of the business. The other significant cost is the internet connection because the power of our hardware will be of no use if we do not have a stable and powerful enough network to solve equations without loss of information.
Due to the Bitcoin algorithm, a network of computers working as a team has a better chance of solving the equations quickly and thus making money. These pools even evolved into provider companies that regular users can join for a fee.
If you are just entering the world of cryptocurrency mining, we recommend starting with one of the altcoins whose algorithms allow mining with more precarious computers and temporarily leaving bitcoin mining to the professionals, at least for the moment.