The crypto mining market has seen many ups and downs over the years. In bitcoin’s early days, mining could be done profitably with nothing but a PC and special software installed on it. The rewards were high and could cover the costs of electricity consumed. With the increasing mining difficulty rate, the demands for computational power have increased immensely while the reward has been halved twice.
Crypto-mining is so important because it brings new cryptocurrency coins into existence. The algorithm automatically regulates the rate of issuance of the new units while the total supply of bitcoins (and some other cryptocurrencies) is pre-determined upon its design.
Today, cryptocurrency mining is done in several ways: with specialized hardware and software, individually or in pools, by using CPU, GPU, FPGA or ASIC. You can also mine crypto from a ‘cloud’.
Hardware Mining Profitability
Hardware mining is very costly either on an individual basis or on an industrial scale. It requires enormous investments in graphic cards,…