Mining - what is it? Mining on the processor. Earnings on mining

The development of human civilization can not be imagined without money. Without this universal measure of the value of goods and services. As money at every stage of human development, various items were used, such as weapons, stones, food and goods, and finally coins and banknotes. But the process can not be stopped, and in the 21st century electronic money became the main one. Now in the wallet, mostly plastic cards, and on the Internet a lot of payment systems, for example, PayPal or WebMoney, created exclusively for electronic money turnover. But they can also give way to new "money" - crypto - currencies .

What is a crypto currency?

Crypto-currencies were originally intended to pay for goods and services, and this is no different from traditional money. The main difference, in addition to complete anonymity of calculations , is the method of obtaining (emission) of new monetary units and the structure of the network of their storage and payments .

Crypto currency does not have a single bank or an issuing center, and all monetary units are stored on cryptocolliers of network users. In this they are fundamentally different from other payment systems. Crypters are united in a single network "bank", and payments are made directly between users without any intermediaries with the utmost confidentiality. In addition to the new way of storing funds, crypto currencies offer a new way of issuing monetary units with the help of mining .

Mining Crypto-Currency

So, we decided to start mining. What is it and how to make money on it? Mining is nothing more than the process of creating new cryptonometes using a special algorithm. All crypto-currencies are based on the algorithm of all known Bitcoin, and new crypto-coins are issued to someone who will find a new block - a unique set of data, to confirm the reliability of payment transactions. The speed of finding and the number of crypto-moneys of the reward are different in each currency, in the Bitcoin system the current reward is 25 bitcoins per one new block. The software for mining is downloaded from the official crypto-currency websites.

How to start mining

Theoretically, the process of sorting out possible block variants can occur on any computer equipment, but in reality the speed of mining directly depends on the power of the equipment. All crypto-currencies have a special parameter, called complexity , which is constantly increasing and makes it difficult to find a new block. To measure the speed of generating a crypto currency, special conditional units of measurement, called a hash , have been introduced. The power of equipment for mining is usually measured in megacodes (MHash) and gigachech (GHash) . Since the complexity of mining the most expensive crypto-currency has long been unattainable on a single computer, the farms and the mining pools are used to find new blocks .

Mining farms

The algorithms of mining are quite specific and require the computer equipment to support multiple parallel computations. Mining on the computer's processor is not very effective due to the lack of their architecture, but it turned out that the algorithms work quite successfully on ATI graphics cards (currently AMD's unit). The first generation of farms for mining was a rack with a large number of simultaneously operating ATI-video cards. At the beginning of the development of crypto-currency, these farms worked quite efficiently, and their capacity was increased simply by adding video cards. But the increased complexity of mining made them economically unprofitable.

Modern mining farms are designed based on programmable logic matrices (FPGAs) or specialized ASIC-processors . They are more reliable, consume significantly less energy than farms that use video cards for mining. The comparison table for the performance of different generations of farms shows that the productivity of new farms is 20-30 times greater, and mining on video cameras of currencies such as Bitcoin does not make sense. The only drawback of systems based on logical matrices and ASIC is the high cost, which is inaccessible to a simple user.

Mining Pools

After a sharp increase in the complexity of the most popular crypto currency, many hastened to conclude that most tempting processes, such as mining, are not available to most users. That this is now destiny only for large investors with powerful data centers, they thought. But the situation has changed for the better after the emergence of joint crypto-currency generation pools. Technically, the pool is a computer network in which the process of mining is distributed among all network members, and, accordingly, the time for finding new blocks decreases.

All blocks are written to a single distributed cryptosystem database after the mining is confirmed. What is this database? This information on payment transactions, in any crypto currency system, it is stored and updated on all user cryptotices, which guarantees the stability of the system, and the loss of one computer from the general payment network does not affect its performance. Remuneration is also distributed among all members of the pool.

Mining for beginners is possible only in a common pool, this is the only way for a simple user to participate in the mining process and profit from the creation of a cryptonym. Pula offers a variety of models for profit distribution, taking into account, among other things, the power of client equipment. Therefore, it is recommended to really assess the possible speed of mining on your computer. A slow computer with an outdated video card will, rather, reduce the overall performance of the pool, and the profit will be small.

"Cloud" Mining Pools

The method of joint generation of crypto-currency is gaining popularity. To start working, the user does not need to have his own equipment. It is enough to pay the data center some processing power in mega or gigahexes / sec and then do not need to do anything else. The data center independently allocates the ordered level of capacity and installs the necessary equipment. The paid capacities will steadily bring profit in the form of a part of all the crypto-currency, a data-centered data-centerm. You can cry any currency, but most large "cloud" miners work with Bitcoin or Litecoin.

How much can you earn?

Now that we have considered the technical basics, let's move on to how to calculate earnings correctly in mining. The possibility of profitable independent mining at the present moment has no commercial sense. Even with sufficient funds to buy a productive farm or a modern ASIC-miner, it is better to include them in the pool. Or invest in a cloud pool and get rid of problems with maintenance and upgrades. If you choose a reliable pool, then it is realistic to earn 300-500 dollars per month in the mining of Bitcoin or Litecoin.

The right choice of a pool is the most important thing in such a complex activity as mining. Reviews about the pools are quite contradictory and, basically, are of a general nature without the necessary specifics. This is a fairly closed type of activity, and the profit margins are usually not advertised. But with due diligence, you can find everything.

Now there are quite a few new crypto-currencies in the market with low current complexity and equipment requirements, distributing hundreds of coins to the owners of obsolete equipment. But it must be remembered that all these currencies do not have real value on kriptornke, and such activity in the hope of possible profit in the future is very similar to speculative mining. That this has nothing to do with normal activities, I think, it is clear to all market participants.

Also pay attention to the size of possible commissions, it will not be very good if they absorb most of the profits.

Monitor the situation on the crypto-currency market

Always look for more profitable options for mining and cashing of the crypto currency, take into account the possible legislative consequences of working with crypto money, check the reputation of crypto-exchanges and exchange offices. Keep an eye on the news: kryptornok is dynamically developing, and it's very important not to miss the promising currency. Mining requires constant attention and time. Configure the remote access program to the miner using a tablet or smartphone, for example, Teamviewer, for monitoring from anywhere in the world.

Profitable to everyone mining!