Bitcoin Mining – Centralization | mining

So often we are contacted regarding mining. The concept of mining is something that interests many. Bitcoin was envisioned as a decentralised peer to peer protocol that would allow transfer of value over the internet. A fair way to pay people was to devise a method to reward those that helped support and secure the network. The idea was to allow anyone with a pc to mine btc by simply providing hashing power to the bitcoin network.

Over time we have seen the race to mine the bitcoins get harder and harder. While the network continues to become strong, the idea of mining for a common man is long gone. The current pools and centralized mining centers have drifted the power of mining in favor of countries with cheap power. The fact that even the bitcoin blockchain now sits at 74GB with roughly 15gb of data transferred within 24 hour has made it very difficult for your everyday Joe to run a bitcoin node.

I would like to suggest people who do often call inquiring about mining to understand the concept first. Mining is not free money. You are basically securing the network mining. Hence it requires enormousness amount of electricity. The AISC miners specifically designed to mine bitcoin are now running at speeds of 14ths with 1.3 kwh electricity consumption and yet you will hardly make 0.5 btc at the time of this writing and it will decrease over time. Remember there are only 21 million bitcoins out of which about 12 million have already been mined. So basically you are entering into a race to mine the balance bitcoins while the blocks become harder to mine. The rewards on AISC’s have also decreased over time due this same reason. I would strongly suggest everyone who is still interested in this to first google bitcoin calculator and see if it will even be feasible for him over a period of 1 year before trying to get into mining.

Alternately people are now looking into GPU mining and mining altcoins such as ethereum and etherum classic. In either case the problem still persists of having cheaper power to run GPU’s. If you look back through this blog I have written a tutorial on how to mine with cpu, the same concept can be used to mine with GPU, however instead of using the cpu miner software you have to look for gpu miners such as cgminer etc.

Bitcoin Miner Hardware | bitcoin miner

    How to earn BTC with Antminer Hardware in Pakistan

    We all know that Bitcoin is a virtual Crypto currency/asset/software. I will not dig into the depth of who invented bitcoin and how it came into existence because almost half of the digital world knows about it and is using bitcoin. Satoshi Nakamoto was the inventor of Bitcoin who published the invention on 31 October 2008 in a research paper called Bitcoin that is mined in the parlance by computers plugging away at very hard math problems and is connected to a ledger called Blockchain. It is of much importance in Europe, America and China where people do online shopping by using it in the same way as by using the credit cards. I would like to write about Bitcoin mining today.

    Bitcoin is not run and managed by any individual, business or company. There are various ways to get it that includes CPU mining, cloud mining, GPU mining and ASIC mining, but the easiest and profitable way is ASIC mining. It is a hardware machine that is recognized as Bitcoin Miner Hardware or Bitcoin Antiminer. You can get it by from any part of the world as mining systems are set up worldwide. Now, a lot of people in Pakistan are making Bitcoins through ASIC miners without interrupting their jobs or any physical business routines. The mining system can be installed anywhere with the help of internet and electricity where Bitcoin mining will come into process automatically. We only have to buy miner hardware machine (ASIC miner), and it is connected to an online database where earned Bitcoins can be seen. The mining speed can also be noted down.

    It is the best time for earning Bitcoins in Pakistan. With the rising trend of mining, the difficulty in the mining is being increased. If someone was able to mine 1 Bitcoin 3 years ago, this process has been decreased to half or even less, but the mining speed, cost of electricity and miners efficiency remain same. The buying selling price of Bitcoin is also increasing day by day with the rapid demand of this digital currency. So, what are you waiting for? Start mining today as there is a total of 21 million Bitcoins in the world and more than 13 million has already been mined. That is why this process will not be beneficial after 2 or 3 years as it is now. Start this world’s fastest growing business and buy Bitcoin miner right now. It is to inform that mining machine (miner) will remain your personal property for the lifetime. There is no better way for the investors to invest in it and earn a living.

    Click on this link to order this machine

    However we do recommend checking profitability as it may vary from person to person. Therefore please also google bitcoin mining calculator to calculate your income. These machines are sold by 3rd party vendors and are not associated with this website in anyway.

CPU Mining | Mining bitcoins

CPU Mining
Note: From this Post onwards I would like to make a few things clear. CPU mining bitcoin or sha coins is useless and waste of power and same goes for scrypt and pretty much all other algorithms out there. I do not take responsibility for any mishap or breakdowns this may or may not cause.

Getting Started:
For the purpose that I believe most people will be new to this we will use windows os and we will be using gui miner. I will not get into sha because you will pretty much see nothing and hence it will create alot of questions. Also take note that I am aiming this article/tutorial for the newbies so I will recommend using a gui interface as many fear the commandline. Additionally I will be teaching how to mine x11 based coins such as darkcoin or drk, ltcx or litcoinX, ureacoin or uro etc on a pool that converts them automatically to ltc.

Why use a pool
As I mentioned before there are a limited number of coins available for each coin(there are some coins like doge that have unlimited coins) and as the competition heats up its harder to solve blocks( or mine new coins). Therefore its better mine in a pool where you get paid for your share of work when a block is found. For this purpose we will be using ltcrabbit. At this point I would simply ask you to go and register at the link.

Adding a Worker
worker

After logging into your account please click on “My Account” followed by clicking on “My Worker”.

This will take you to the following screen:

CPU Mining

 

Under the title New worker please create a worker the password here doesnt really matter. The best way to about this is to name your worker name x11 since we will be mining x11 coins and the password you can put anything for us to continue here I am going to assume you put the password x.
The format for mining here now will become accountname.workername. Where account name is your ltcrabbit account name.

The Cpu Miner
You can download the cpu miner from my dropbox account. After you download this please unzip it.

Running the Miner
If you have followed the above setup right you should be be ready to run the miner. Now go to the folder that says where you unzipped your miner. Now double click on a. A command prompt should open up such as the one on bottom:

Min

 

Let it run for like a min or 2. If you see no hashing or dont see a yay after a bit then you did something wrong and should go back up and follow the instructions from the beginning.

But wait you are not done yet this was just a test. What you now need to do is close this window. And open up a the unzipped folder again and click on a once and then right click on it and select edit as follows:

mine

 

when you select edit please chose notepad to open this file. It will contain the following lines

 

minerd -a X11 -o stratum+tcp://x11.ltcrabbit.com:3332 -u dmz241.x11 -p x
pause

Here you have to change this

minerd -a X11 -o stratum+tcp://x11.ltcrabbit.com:3332 -u accountname.x11 -p x
pause

Please take note that initially when I had you set a worker I suggested you name your worker x11 if you name it something else then please put accountname.workername -p x where -p is followed by the password which I suggested you keep x .
The idea here is to have multiple workers if you have multiple cpus running. This way you can monitor your workers. Please save this file while saving please make sure you save it as all files and not txt files else you wont be able to double click it to run it.

Now just double click on the a file and you should be mining at your account. Please take note that the minimum payout is atleast 1 ltc. The advantage of using ltc rabbit is that it see which coin is easier to mine and giving better payouts when converted to ltc and mines that coin. So you will always mine the most profitable coin.

You will need a wallet address for your coin I have mentioned how to get that in my previous article for bitcoin. For litecoin the best way is to just make an account on an exchange like btc-e or bittrex and use their wallet address as your payout address.

Happy Hashing.