What is Bitcoin Mining?
Why is it necessary to mine Bitcoin?
How Much Income Do Crypto Miners Earn?
How to Mining Bitcoins?
Hash Codes, The Puzzle Miners Must Solve
How to Crack the Target Hash?
How to Mining Bitcoin for Free
Prepare Your Bitcoin Wallet
Access BTC Mining Provider Website
Tools Needed for BTC Mining
In the world of cryptocurrencies, mining is the process of creating new coins and verifying transactions on the network. One of the most prominent cryptocurrencies that can be mined is Bitcoin. Despite its popularity, mining Bitcoin is complex and requires highly-specific tools, making only a few people able to do it.
Here is a complete review of how to mine Bitcoin for free, the tools needed for the process, and a list of BTC mining websites 2022 for you. Let’s check it out!
What is Bitcoin Mining?
If fiat currency is minted by the government, Bitcoin and other crypto-assets are different. Regardless of authority and power, cryptocurrencies allow anyone who has the right tools and skills for mining to create new coins and get rewards from the activity. Nowadays, there are various mining websites and tools that allow us to mine BTC for free.
Briefly explained, Bitcoin mining is the process of adding new Bitcoins to circulation by solving puzzles. This process is used in some blockchains for confirming recent transactions and is essential for the maintenance and development of the Bitcoin blockchain ledger.
In Bitcoin, miners who add new blocks to the network will be rewarded for their efforts with Bitcoin.
However, Bitcoin mining is some sort of competition. With a Proof-of-Work (PoW), only the first miner who can solve the puzzle can win Bitcoin. Therefore, even if miners validate a transaction block completely, they may not earn a reward in some cases.
The Bitcoin mining process is known to get more difficult and complex over the years. If it is likened, the difficulty level of Bitcoin mining has now reached trillions from the original number 1. Today, there are fewer and fewer Bitcoin miners as the difficulty level rises.
Why is it necessary to mine Bitcoin?
This approach may seem outdated when contrasted to some of the more current crypto asset blockchains. Now, you might still wonder why Bitcoin requires a miner and why mining Bitcoin is important at this point.
Since Bitcoin is a digital asset with high risks of copying and hacking, these miners perform as auditors who verify and validate the legitimacy of Bitcoin transactions.
Also, the means of mining can sustainably keep Bitcoin users honest. The method was first conceived by the founder of Bitcoin, Satoshi Nakamoto.
This mining procedure is advantageous to both the miners and Bitcoin itself. Miners can assist Bitcoin to avoid double-spending transactions by verifying transactions.
Double-spending happens when there’re irresistible parties illegally spending Bitcoins twice or more.
How Much Income Do Crypto Miners Earn?
Every four years, the Bitcoin miners’ rewards are halved. Halving Day refers to the point in time when mining rewards begin to decline.
For the first year of Bitcoin mining, in 2009, every successful miner received 50 BTC for completing a block.
In 2012, the number was halved to 25 BTC. Then in 2016, the prize pool was again halved to 12.5 BTC. Then on May 11, 2020, the reward received by Bitcoin miners became 6.25 BTC.
To date, the crypto miner’s income in total reached 271,445 USD. Fantastic value, right?
How to Mining Bitcoins?
To get the BTC, miners have to go through the process so-called Proof-of-Work (PoW). It is a form of adding new blocks of transactions to the network by cracking a numeric code called a hash.
You’ve probably heard that Bitcoin miners can decipher even the most difficult of encryption codes. However, as a miner, you don’t need to be an expert in mathematics to break hash codes.
The problem is the math isn’t that hard. The attempts to be the first miner to solve the code are the most complex challenge as miners have to compete with each other to generate a hexadecimal (“hash”) number that is less than or equal to the targeted hash.
Hash Codes, The Puzzle Miners Must Solve
Below is an example of hash codes:
0000000000000000057fcc708cf0130d95e27c5819203e9f967ac56e4df598ee
Let us first define “hexadecimal” to grasp the meaning of these letters in the middle of numbers.
In general, the base of the decimal system is 100, so 1 percent is equal to 0.01. From zero to 99, every single multi-digit number has a potential range of 100 possibilities. Base 10, or the digits 0 to 9, is used to simplify the decimal system in computation.
Differently, hexadecimal use base 16, whereas “hex” is a Greek word for six, and “deca” means 10. Therefore, In the hexadecimal system, each digit has 16 possibilities.
Bitcoin, on the other hand, only represents the numbers 0 to 9 in the numeric system, and the letters A, B, C, D, E, and F are used in hash codes. This means that if you’re trying to mine Bitcoin, you don’t need to compute the total value of your 64-digit hash. All you have to do is guess.
The block header’s numeric value is the target hash, which miners must guess. For a new block to be awarded to the miner, the hash must be less than or equal to the target hash that the miner has guessed.
Why do miners need equipment that needs a lot of electricity? Because they must rapidly guess the target hash. The goal of miners who make random guesses is to create the most “nonces” as rapidly as possible to earn the most money.
For a 64-bit hexadecimal number, you’ll need a nonce, which stands for “number only used once.” Each block in the Bitcoin network is completed by the first nonce miner that creates a hash that is less than or equal to the target hash, earning them 6.25 BTC.
How to Crack the Target Hash?
All hash targets begin with a sequence of leading zeros. Although there is no minimum target, there is a maximum target specified by the Bitcoin Protocol. The hash with the most zeros, as determined by the mining difficulty, is the one that wins.
You’ll need powerful mining hardware or, more realistically, a mining pool to get these hash numbers. A mining pool is a group of miners that pool their computing power to share the Bitcoins they can gain via their collective efforts.
Currently, many blocks are mined by mining pools compared to individual miners.
In other words, all Bitcoin mining is a purely arithmetical task. You can’t forecast future hash targets based on recent ones. Today, the chances of obtaining a winning degree of difficulty are one in tens of trillions.
How to Mining Bitcoin for Free
This is excellent news that even the free BTC miners can potentially earn big bucks, only requiring several tasks to do.
First, you need to create your account and a crypto wallet or Bitcoin wallet. Second, access the platform, application, or website where you can mine BTC for free.
We’ve compiled lists of free BTC mining websites and steps to mine them for free below.
Prepare Your Bitcoin Wallet
A crypto wallet is a key item for Bitcoin miners. The wallet allows you to securely send, receive, or store your Bitcoins. Indeed, you can store BTC in as little as one Satoshi or tens of thousands of BTC in your crypto wallet.
Access BTC Mining Provider Website
The following is a list of BTC mining websites for free. Try one of the following websites to see whether free or paid Bitcoin mining is more suitable for you.
ECOS
As a cryptocurrency investing platform, Ecos offers a wide range of BTC mining-related services. Here, you can create mining contracts from 75 USD to 50000 USD, which are valid for 15 months to 50 months. This platform accepts card payments and some crypto assets, such as BTC, ETH, XRP, and LTC.
Interestingly, you can purchase Bitmain Antminer through Ecos. They are great mining facilities to help you can mine Bitcoin more efficiently.
After that, the products will be sent to your desired address. If you are crypto-assets savvy, this platform is very suitable.
SlushPool
Slushpool is the go-to mining rig which is the most widely used. It is an excellent website for anyone looking to mine BTC pools.
This mining platform is one of the veterans in the Bitcoin mining world, occupying around 3.5% of the Bitcoins.
There is a 2% charge to mine BTC on the Slushpool website. Also, there are options of no-fee mining for ASIC miners in the platform.
Apart from the website, Slushpool is available for iOS and Android. The application can be used as an account monitoring tool. Indeed, you can’t mine Bitcoin in SlushPool if you don’t have the mobile app.
StormGain
Regarding all BTC mining websites, StormGain is the most user-friendly and most suited for newcomers. This platform has a one-click mining process that uses no local resources and is free.
It is possible to do anything here: buy, sell, trade, and mine! Only Bitcoin can be mined on StormGain servers. Hence no other currencies can be mined at this time.
Here’s how to use StormGain to mine Bitcoin for free.
First, create an account at Stormgain.com to start mining BTC. After you have successfully registered, go to the dedicated Bitcoin Miner page. Press the big green button that says ‘Activate’ to get your first mining reward after 4 hours. Easy peasy?
StormGain has its native apps on Android and iOS and is also available on the website.
Other BTC Mining Websites or Platforms
- BetterHash
- SimpleMining
- ZSolo
- Ice Mining
- CudoMiner
- MinerGate
- K1Pool
- ZHash.pro
- Easy BTC Mining
- HashCity
- NiceHash
- CoinFly
- Cruxpool
- Slushpool
- Awesome Miner
Tools Needed for BTC Mining
Building a rig to mine Bitcoin is actually not much different from building a gaming PC. The main components of tools for mining Bitcoin are Application-Specific Integrated Circuits (ASICs) or Graphics Processing Units (GPUs/Graphic Cards).
Building your own mining rigs is going to break the bank. The mining equipment alone the price is so fantastic, not to mention the additional cost of increasing energy consumption to operate the mining 24 hours a week.
However, there is a danger that cryptocurrencies would lose their value due to their erratic fluctuations. There’s no assurance that the fees you pay are correlated with your profits when it comes to Bitcoin mining tools.
The expensive costs are except for the GPU. The components of a GPU for BTC mining only require an ordinary CPU, a regular motherboard, and DRAM (Dynamic random-access memory). These components may be found in your old gaming PC.
Below are the minimum requirements for the tools used for Bitcoin mining.
