In this article, we will look at whether it is worth investing in mining cryptocurrencies, how to organize mining through a best mining hosting service and talk about the choice of server for bitcoin mining.
So, is it worth mining cryptocurrencies?
As a hobby, yes, cryptocurrencies can make a small profit. In particular, not the most popular ones, such as lightcoins or dogecoins, are quite accessible to ordinary consumers, without a large investment in equipment.
As an additional or main source of income, for most people, mining on server processors is unreliable and does not bring much money. Profits from mining become tangible only with a significant initial investment in hardware – bitcoin cryptocurrency mining servers.
Why is it so hard to mine bitcoins
If you had started mining bitcoins in 2009, when they first appeared, you would have earned thousands of dollars by today. Over the years, however, the mathematical complexity of bitcoin mining has grown far beyond what the average user can achieve at home, on home equipment. So for effective mining you will need to invest heavily in professional equipment: buy server equipment for a mining pool, server cabinets, racks, blocks, equip a room for your own bitcoin farm or even buy a turnkey mining farm . As an option, you can rent a virtual server for mining or mining on cloud servers, which will be described in more detail below.
Creating your own server room for mining
If you don’t like the idea of cloud mining and you have enough money, you can build your own server room for mining cryptocurrencies. As we mentioned in this article above, you will need a special room, equipment and software.
Requirements for a server room:
- First of all, it must have inexpensive electricity available in order for mining to pay off;
- Internet access is a must;
- A good ventilation and air conditioning system is vital, since mining farms produce a lot of heat during their work and need quality cooling, as well as a constant temperature (e.g. so that there is no condensation);
- Absence of dust and dirt, which easily leads to equipment failure;
- Not superfluous would be noise isolation, if the server room is located in a residential or office building;
- The need for a security system, with unauthorized persons should not have access to the room, because there will be valuable equipment.
Such a room can be equipped independently or rented. In the second case, landlords often offer their services for monitoring and maintenance of server rooms.
- You can use ASIC or GPU-based farms, depending on what kind of cryptocurrency you are mining.
- Installing several farms and mining several popular cryptocurrencies at the same time, will reduce your risks in case of sharp jumps in the rate of one of them.
- You can buy a ready-made standard mining farm, order a customized one from a supplier or assemble the entire farm on your own, at your own discretion (but we still highly recommend to use the services of a specialist in this matter).
- In addition, you will need software for monitoring and remote management of the farms, as well as special cryptocurrency wallets.
How to start mining with a server
First of all, you will need to buy a bitcoin mining server. Earlier bitcoins were mined on CPUs, but gradually it became unprofitable – low generation speed (Mhash/s), relatively high power consumption and heat dissipation. That is why they switched to GPU graphics cards, and at the moment the most profitable mining is done with the help of specialized devices for mining – ASIC miners.
In this article we deliberately do not give an example of server configuration for bitcoin mining because the requirements for such equipment are growing rapidly and, accordingly, there are more and more new solutions on the market. Reviews and performance comparison can be easily found on specialized websites.
Next, you will need to install the client software, register and synchronize with the network.
You can mine alone or join a pool – due to the rapidly increasing complexity of computing, it has now become almost impossible to calculate a block alone without having huge computing resources. So users join together in so-called pools and calculate blocks together and then divide what they get according to the pool rules, now you know how to choose the best mining hosting service in the world.