Bitcoin Mining Step-By-Step
Bitcoin Mining is the act of verifying transactions that take place on each and every Blockchain. This gives validity to every transaction and then shares the transaction publicly across the peer-2-peer network for all to see. Bitcoin miners are the people responsible for the verification and valediction of each transaction before it is added to a block to create a blockchain. Once a miner places the next block on the blockchain, he/she can claim a reward which is usually in form of bitcoins. The more the mathematical calculations you solve, the more the reward.
You do not need to be a professional software developer or coder so as to take part in Bitcoin mining. Below is an easy to follow step by step guide for a Bitcoin mining beginner.
Bitcoin mining hardware
The mining world is becoming more and more complex as higher computation power is employed in mining. The higher the mining level the more difficult it is to get profits as the investment in hardware is so high. Bitcoin mining is very competitive and you need to do adequate research before investing in a hardware. Earlier on it was possible to use your personal CPU to mine Bitcoins but with the complexity in mining, this method is no longer viable. You need to buy a specially built computer whose main purpose is bitcoin mining.
Acquire a Bitcoin Wallet
You need to have a wallet which is either local or online based to store your digital currency. A wallet comes with a Public Wallet Address and a private key or password which are the most important details to note. If your wallet is self-hosted, you need a copy of the wallat.dat file to prevent you from losing your investment. It acts as a backup wallet if any unfortunate thing happens to your machine. One can even get wallets for their mobile devices. The highly recommended wallet is the self-hosted or local made wallet.