Bitmain Mining Machine

Bitmain Mining Machine

In the bitcoin network, the consensus protocol is Proof of Work. This basically means that you have to work (mine) to earn bitcoin cryptocurrency. The role of the miners is to secure the network, the miners being remunerated for the work done. Basically, miners use the mining power to guess a long string of characters (hash) that ensures the advancement of the "chain of blocks" - the blockchain. Whoever guesses it first gets the reward. The higher the machine mining power, the higher the chances of guessing that number. In the bitcoin network, mining means the battle between miners to guess block validation hashes. To mine bitcoins you need powerful computers - or specialized hardware like those from Bitmain that costs money, and the energy consumed also costs. So you have to have a lot of expenses before you start mining bitcoin. And because technology advances, every few months the equipment must be upgraded to keep up with the competition. These expenses make mining practically unprofitable. The profit margin is so small that you will most likely lose money trying to mine, especially if the cost of electricity in the area you are in is very high. You are actually competing with industrial-scale mining farms that use cheap energy directly from the source. However, the idea of earning from crypto-mining still remains valid. Many years after the appearance of bitcoin, the technology of decentralized systems has evolved a lot, aiming at several aspects such as energy efficiency, scalability and sustainability over time through self-governance.

Bitmain Mining Machine

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