Do you love Bitcoin Cash? Okay. Would you want to support the network? Great. Bitcoin Cash mining is made for people like you only. That’s an awesome way to support Bitcoin Cash while earning it in the meantime. If you’re interested in mining it, here I’m going to tell you how to do that. Let’s begin:
Getting Started: What you need to mine Bitcoin Cash?
First of all you’ll need to do some preparation to start mining Bitcoin Cash. You’ll need the following things:
- Hardware: Understand that Bitcoin Cash blocks tend to be 8x bigger than Bitcoin blocks, so your mining rig should have more power than the traditional Bitcoin mining rigs. You should get a mining specific rig only (the ones known as ASIC miners) as being mining specific computers they do mining at a rate much higher than that of other machines.
- Software: Once you have your Bitcoin mining hardware in place, you need to get the mining software. And the best software for your mining system will depend on the hardware configuration and operating system of your rig. Your software choice may also be determined by the mining pool (more on that in a minute) that you decide to join.
- Wallet: Lastly, you will need a wallet to receive your mining rewards.
Once you’ve all these things in place, you can plug your setup into a power outlet.
Mining Bitcoin Cash: How to to it?
Once you’re done with all the stuff given above, you need to make a choice: whether you want to mine Bitcoin cash solo or in a pool of miners. Given below is a brief overview of both:
- Pooled Mining: A mining pool consists of a group of miners who combine their computing power to increase their chances of solving the mining puzzles. When you join a pool your mining rig receives smaller and easier to solve algorithms because the complexity is distributed across the pool. However, this also distributes the mining rewards between all the members of the pool depending on their level of contribution in solving the problems.
- Solo Mining: This approach, as its name suggests, revolves around mining Bitcoin Cash solo, without joining any sort of pools. If you decide to go solo you can keep the entire 12.5 BCH reward + transaction fee present in the blocks with yourself. However, unless you have an extremely powerful rig (which will obviously require tremendous amount of power to operate), you don’t stand a chance of solving a single mining puzzle on your own.
None of these two approaches is better or worse from each other. You should choose your approach wisely depending on the kind of resources that you’ve. If you decide to join a pool you’ll have to sign up on their website and add your mining rig as a “worker”. Every rig that you add will have a worker ID that will help in tracking your contribution to the pool. You can then get started by logging in to your mining software (pools often provide their own software) with your username, password and address of pool (in case of 3rd party mining software). As you’ll solve the problems, your rewards will be sent to the wallet address that you provided at the time of signing up with the pool.
On the other hand, if you go solo, your reward will appear in the connected wallet whenever you successfully process a block of transactions. And that’s how you mine Bitcoin Cash.
Bitcoin Cash mining is a great way of supporting this new Bitcoin fork while earning it in the meantime. However, it requires time and money investment upfront. You should get into it only if you’ve patience and can afford to invest some money into it. Share your thoughts about how would you like to mine Bitcoin Cash in the comments section below.