Explanation Pro, A technical blog, specializing in ways to profit from the Internet, currency mining, and some other varieties


Cryptocurrency mining, what is currency mining

What is cryptocurrency mining? It is no secret to anyone the strength of the field of electronic currencies and the extent of change that electronic currencies have brought about in the world now and everyone from investors to ordinary people is working to study this market and know its secrets, advantages and disadvantages and the maximum possible benefit that can be achieved from that huge field.

The digital currencies have many ways, including Cryptocurrency trading or electronic currency mining, and that is our topic.

Cryptocurrency mining, what is currency mining, how do you start with it and how do you profit from it?

What is coin mining?

Mining is the process in which cryptocurrency transactions are verified and accurately added to the blockchain digital ledger.

Mining can also extract alternative cryptocurrencies other than Bitcoin.

Mining is one of the means that has contributed to the widespread activity of cryptocurrencies in the past few years.

Every time a transaction involving cryptocurrencies takes place, it is the responsibility of the miner to ensure that the information is indeed authentic and also to update the blockchain with that transaction.

The mining process involves competing with other cryptocurrency miners in solving complex mathematical problems with hash cipher jobs associated with a block containing transaction details.

The first cryptocurrency miner who can crack the code is rewarded due to his ability to authorize transactions in exchange for the services provided.

Crypto miners tend to earn small amounts of currency on their own although miners need a powerful computer with some very specialized and reliable hardware.

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Bitcoin mining, how is Bitcoin mined

What are the mining problems?

The problem of mining or the difficulty in mining lies in, the time period in block generation, what does that mean ?! Let's understand.

It was in the past, with the small number of miners for currencies and ease of mining, the time period for obtaining the block was large, reaching 10 minutes, which gives comfort to deciphering the codes, and giving a good opportunity to the owners of the weak hash to obtain the block without problems, but at the present time this process has become difficult and complicated to an extent What, as the number of miners became very large, which resulted in the shortage of time required for mining, and thus the lack of opportunities for owners of small hashs to obtain the block due to their lack of hash.

How to overcome mining problems?

The difficulty of mining is something that is not fixed and variable, it changes approximately every two weeks according to what is programmed in the currency code, as it increases with the increase in the hash power of the miners and the less has the power of the miners. To cope with the problem of getting the block in a short time.

Types of mining

Types of mining

First: There are three types of mining, which we mention as follows:

-Unilateral mining .. It is one of the most difficult and expensive mining operations in the world, but it has many advantages, including, for example, that if you find a block, the profit is complete for you, no one can share it with you, but its cost is high, which may reach 10 million dollars.

-Clusters Mining .. Mining clusters is one of the easiest and most widespread mining in the world, where coins are mined inside clusters, and upon reaching the hash, the blocks are shared equally on everyone according to the hash strength of each of the two minerals.

-Peer-to-peer mining .. This process is very similar to the solitary mining process, where a group known as the share of the share within the groups whose goal is to collect the shire and not the blocks within these clusters and in the end obtaining the block, the block is completely shared with the group according to what each person has done from the gathering of the shire inside That group.

Second: Proof of mortgage

This process is closer to the bank deposit process, where a person keeps a certain number of currencies inside his wallet and gets a return of 1: 40% of the value of his deposit per month, and that is not a literal transgression of us, but rather a deposit of currencies like bank deposits.