How to Choose a Good Miner: A Beginner's Guide to Bitcoin Mining

Bitcoin's price has fallen from around $17,000 at the start of the year to the current $6,800. However, in the long run, market demand for bitcoin will continue to rise, and it is only a matter of time before bitcoin resumes its upward trend.

Because of bitcoin's continued decline, many people see an opportunity to1080 ti mining "bottom out," and many have even considered becoming bitcoin miners. If you are mining on your own, you must have a bitcoin miner, which I will briefly introduce today.

What exactly is a bitcoin miner?

In the beginning, everyone mined on their own home or company computers equipped with a CPU. Later on, more people began mining, and computing power increased, making mining more difficult, so people began mining with GPUs, also known as graphics cards. Graphics cards were once in short supply, with many popular models selling out even in Jingdong. Later, the GPU quickly reached its upper limit of arithmetic power, and in order to overcome these limitations, bitcoin mining machines were created specifically for mining.

The first bitcoin mining machine manufacturer appeared in the United antminer s19 wattsStates in December 2012, and the world's first spot mining machine was born in China in March 2013. A mining machine is similar to a computer device, but it can only mine digital currencies like bitcoin and perform hash operations.

It should be noted that bitcoin mining machines can only mine bitcoin, whereas litecoin mining machines can only mine litecoin, and they cannot be used in tandem. This is because mining is essentially a form of computing competition. The process of creating bitcoins can be compared to a group of people working on a super difficult math problem at the same time - a hash operation - and whoever gets the answer first gets the bitcoins in the block. Mining is a process that constantly pushes the limits of computing, and all of the miner's conditions must serve the arithmetic power in order to win the competition. As a result, mining machines with low computing power are easily phased out of the market and reduced to scrap metal.

Why is it necessary for individuals to join a "mining pool" in order to mine bitcoins?

To begin with, mining bitcoins on an individual basis, i.e. the antminer s19 for saleSOLO model, is virtually impossible. This is because mining is now at scale, and individuals must collaborate with a mining pool to do so.

What exactly is a mining pool?

With more people mining and more computing power, the likelihood of a single miner being able to mine bitcoins is decreasing, and the returns are becoming increasingly volatile. Even the most efficient mining pool can only mine one block per month. Some people have proposed pooling everyone's computing power together, mining together, and then distributing the rewards of the blocks mined to everyone in order to increase revenue and stability. The mining pool is a collection of more than N people's computing power. There are currently about 7 Chinese mining pools among the top ten mining pools in the world.