Someone can be interested to know how the mining process of ethereum is done. I would like to assure you that you are in a good field, so congratulations for the same. This article is going to fully give you a guide on how the ethereum mining is done. It is also quite good for you to identify in the first place what ethereum is. We now need to start learning on ether mining on the first place. We need to know where does all of this mining take place and the origin of ether.
Short explanation on Ethereum mining.
The ethereum network has its own blockchain. All transactions which are made by the use of ethereum get to be approved by the miners. And this is why it takes a while before the Ether you send someone reaches them. Any transaction has to be verified and has to be put inside the Ethereum blockchain. The process of verification is called the proof of work.
Ways of Mining Ethereum.
There are three ways of mining ethereum. They include;
- Using cloud mining services.
When one uses cloud mining, here you pay someone to mine for you. Here, you give people time to mine and in return they give you the rewards that they can mine. There are possible questions which arises, these questions may include; why would someone use their equipment’s to do some mining for you instead of mining for themselves? Another possible question is that why would you pay someone money to mine for you when in the other case you can invest the money and mine for yourself. These questions are valid. When you give people the work for mining for you, incise the equipment’s can break, you will not be responsible.
- Pool mining.
Ether mining in a pool is the easiest and the fastest way to get started. Here you work together with other people. these people who are working together usually agree within their single pool that if one of them finds the secret number, they will share equally the rewards within themselves. In this mining, there are some of the things that you must consider before you join a pool. You will need to consider the pool size, minimum pay out and lastly the pool fee. More explained here: https://www.huffingtonpost.com/entry/ethereum-mining-101-your-complete-guide_us_58b6e1eee4b02f3f81e44e9f
- Mining alone.
Mining alone can be a great idea. Here you don’t have to share any rewards. You only need to turn your computer on and I get the money roll in either wrong or right. When one is conducting ethereum mining alone, here you are competing with other people and will only get rewards if you solve the math puzzle first.
In conclusion, before you start ethereum mining, you will need to create a digital wallet where you can keep your ether. The wallet will be known as ether wallet. Conducting this process isn’t a simple task. It will need a lot of concentration and also will need you to be very much keen in order to conduct this mining process.