How Can I Start Mining Bitcoin and Earning Money?

Prior to starting any job, you should learn about it. Mining Bitcoin basically means going through a verification process in order to validate transactions and provide the requisite security for the public ledger of the Bitcoin network (the Blockchain). The speed at which you mine Bitcoins is measured in hashes per second.

The Bitcoin network compensates Bitcoin miners for their hard work with Bitcoin. Bigger rewards are given to miners who contribute more computing power. This is something that motivates users all around the world who know their way around computers to start mining Bitcoin.

The first step is to acquire (purchase) mining hardware. Your personal computer will not do because you’ll end up spending more money on electricity than you will earn mining coins. Instead, you should acquire custom hardware that is inserted into the computer. Depending on the speed, these hardware machines could cost between several hundreds of dollars to thousands of dollars.

Next, you should download a software for mining. Mining programs are almost all open source and available for free. Make sure to match your mining program with the hardware you have purchased.

The third step could be (but isn’t necessarily) joining a mining pool. Mining pool consists of miners working together to solve a block and sharing compensation. You could continue to do this solo, but this could possibly mean never earning anything.

The next step is setting up a wallet if you don’t already have one. The Bitcoin you earn will be sent to an address that belongs to you via your wallet. Store your wallet online or locally to prevent any misuse.

Be careful, if you lose your wallet, you lose everything that was in it.

Finally, check how you’re doing. After a little bit of mining, make sure it is actually worth it and that you are not losing money. Compare the money you’re earning with the money spent on electricity.

Good luck!

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