A large number of cryptocurrencies have hit the market, and everyone is a little different than others. The same thing is that each one enhances some features and resolves the issues encountered in the previous work. In this article, I’ll discuss Bitcoin Cash, its mining, and many other aspects.
If you are searching the ways to really learn about Bitcoin Cash and its mining, you approach the correct platform. Let me tell you a fantastic thing about Bitcoin Cash before we move forward. It has enhanced the transaction confirmation ability of its miner eight times more than Bitcoin. It is one of the reasons behind the development of Bitcoin Cash, and it also reduced the transaction fee.
It is never profitable if you directly start mining without getting fundamental and compulsory knowledge about your target crypto coin. So, it looks pretty good to know Bitcoin Cash’s basics before moving towards mining and other aspects. A reliable crypto exchange is mandatory if you are willing to speculate on Bitcoin Cash. It will be wise to select from leading exchanges like Binance, Coinmama, Coinbase, etc. However, the final decision is yours. Let’s start with Bitcoin Cash mining to guide you to a better decision.
Let’s know about Bitcoin Cash Mining
Every cryptocurrency that works on the blockchain requires miners to validate the transactions. There aren’t any special criteria for being a Bitcoin Cash miner; everyone who has the required hardware and software can be a part of the Bitcoin Cash miner community.
The miners play a significant role in the confirmation of transactions that is compulsory to create a new block in the blockchain. Bitcoin Cash confirms a new block after every ten minutes. In this regard, miners around the world have to resolve a cryptographic puzzle. To solve it, they need powerful computing machines because of the high level of complexity of the puzzles.
It involves tough competition worldwide. Every miner tries to become first. Because who solves the puzzle first collects the mining reward. In starting, the mining reward for a block was 12.5 BCH, which has been reduced to 6.25 since April 22. It may continue to reduce in the future.
The successful miners also receive a transaction fee paid by the users along with their mining reward. Like any other cryptocurrency, Bitcoin cash mining also prefers the power miners for mining rewards. So, the individuals or organizations having powerful computing hardware suitable for mining have a greater chance of winning the mining reward.
The use of special mining devices for Bitcoin cash mining will enhance the winning chance as compared to the use of a CPU. Up to now, we are only focusing the Bitcoin Cash mining and not the mining devices. So, it’ll be discussed in later sections.
It’s time to check the profitability of Bitcoin Cash mining. So now we are talking about the benefits a miner can achieve by mining Bitcoin Cash.
Profitability of Bitcoin Cash Mining
Bitcoin Cash mining is open to everyone around the globe, and everyone can make money. Yet, there are some significant points that should be considered before you start mining. It is not free; you have to invest some money in making necessary arrangements to achieve your mining goals.
In the first step, you have to purchase efficient hardware that can help you in Bitcoin Cash mining. Your mining success depends on the power of your mining equipment. That’s why it is essential to invest a handsome amount of money to arrange more potent computing devices. If you overlook this step and try to join mining, there is almost zero chance of winning because your competitors are powerful enough.
The second important factor is electricity that is needed for mining and running mining hardware smoothly. Similar to Bitcoin, Bitcoin Cash mining also needs a significant amount of electricity for mining because miners have to solve complex cryptographic puzzles. To run powerful computing equipment for mining needs a significant amount of electricity that helps you to win mining rewards.
Here is an important point that you must consider; excessive use of electricity doesn’t ensure your mining reward. This happens because a large number of miners use lots of computational power around the globe, but only toppers in solving the cryptographic puzzle win the reward. Electricity is used regardless of our success or failure.
Your electricity expense depends on your location as different countries have different electricity policies and rates. It also defines mining profitability for you. The areas where electricity is available at low rates, Bitcoin Cash mining is more profitable such as in China, which provides electricity at the cheapest rates. On the other hand, where electricity is expensive, Bitcoin Cash mining becomes the least beneficial. For example, for the South Korean community, mining is much more expensive due to electricity rates.
Another important factor that contributes to profitability is the market value. Mining rewards are given in BCH coins, so it is important to know about the market value of the coin. The higher the price, the greater the profitability. So, it looks pretty good to explore the market and get information about the actual market value of Bitcoin Cash. If you have faith in the long-term progress of coin and also have long-term goals, there is a greater chance to achieve your goal.
The above-stated factors are critical in defining your profit. However, there are pretty cool websites where you can calculate your potential profit. We have discussed many things, but still, there is something to explore and discuss. Let’s move on to further discussion. Mining equipment is the first important thing that a miner should consider, so we start with knowing more about the mining hardware.
What is the best hardware for BCH Mining?
Suitable hardware is essential to start BCH mining. At the beginning of cryptocurrency, mining was possible by using a simple or domestic CPU. It kept mining affordable for everyone and also gave a better chance to win mining rewards. With the advancement in technology, crypto mining is also improved to a large extent. It has enhanced the hardware requirements for mining cryptocurrencies like BCH.
Advanced mining technologies require particular hardware that can enhance your chance of winning mining rewards. It is obvious that the users having more powerful computing devices have a greater chance of winning the mining reward. One can easily understand why mining requires powerful hardware.
However, I elaborate on it for those who have less information about it. The miners have to solve complex cryptographic puzzles for mining purposes. Suppose you have to travel to a destination at a long distance. What you’ll do? Definitely, you will select a car that can maintain a good speed so that you can reach it quickly. Different types and models of cars have different specifications, and each one has a different price. More features demand high prices.
Similarly, for mining cryptocurrency, powerful hardware is required that is definitely costly. Mining requires specifically designed hardware that is capable of complex computation. In mining, hash power is important. We can define hash power as the capacity of computation per second. Successful mining needs high hashing power so that complex problems can be solved first of all competent.
In recent times, there has been no concept of mining with simple CPUs, although GPUs are of some consideration. For mining Bitcoin Cash, a special type of hardware is needed that is more powerful than even GPUs. ASIC – a specifically designed mining hardware that enables you to win mining rewards.
A variety of ASIC (Application-Specific Integrated Circuit) is available in the market, but each one is highly efficient for mining purposes and earns a reward for you. Willing to win a mining reward using anything other than ASIC is only daydreaming.
The significance of hash power in mining procedures is highly endorsed. Let’s review some prominent mining devices and their important features.
It was March 2k18, when Halong Mining released a powerful mining device (ASIC) on the market. The Crypto mining community considers this device the most powerful for mining BCH. This great performance was achieved by the investment of $30 Million along with the team’s talent.
DragonMint 16T has the highest hashing power, up to 16 TH/s, and consumes 1480W of electricity. It runs on a power supply of 220-240V. Its hash rate is 2TH/s more than its first-grade rival in the market. Mining is practiced worldwide, and every country has a different standard for power supply. So, you must consider it when you decide to buy the DragonMint.
If you find a difference between the provided power supply and the required power supply, you may need an electrician or a converter device to set your system for efficient working. Otherwise, you may observe a loss in the form of damage to your hardware.
When it comes to the pricing of DragonMint, no doubt it is costly and is available for two thousand seven hundred and seventy-nine dollars. As we discussed above, it requires a specified power supply; the producer suggests buying a customized power supply for efficient working. This extra expense of $115 can save much of your time and effort in setting up your mining device.
Considering the review, we can conclude that DragonMint is not for those miners who are looking for small side money through mining. It is more suitable for serious miners or organizations that are keen on mining professionally. If you don’t find all this helpful, please visit their official website for more details.
As China provides the electricity at the cheapest rates, most of the mining activities are held there. A Chinese company, Bitmain, launched this mining device. It is acknowledged as the second most powerful mining device worldwide.
Antminer S9 is the favorite for mining Bitcoin and Bitcoin Cash. This is because they are not only the sellers of it but also offer the biggest mining pools in the crypto mining industry. Miners love this device for its control and monopoly in the market and industry.
The maximum hash rate for this device is 14 thousand calculations per second. This target is achieved by enhancing its previous version, which is Antminer S7. Lots of improvement is made to it in the new S9 version. Its extra noise is also much reduced, and mining becomes quieter than before.
When we talk about its pricing, it is a bit more expensive than DragonMiner. It costs almost three thousand dollars, and an extra customized power supply is available for only $170, which assists you with effective mining. Although it is costly, in the future, it is expected to be lower due to market competition. For further info and assistance, you can check their official web pages.
Both the devices, DragonMiner and Antminer, are the best choice for individual mining because of their work efficiency. Another closer performer for solo mining is Antminer R4, with a hash rate of 8.6TS/s, and is available for $1,000. Your preferences and goals play a significant role in your buying choices.
Another practical option is joining a mining pool and getting a reward according to your contributed hash rate. For this purpose, you don’t need to have highly powerful mining devices. You can manage a good earning with some less hashing power. If you find it a more suitable option, then you can consider the following devices.
The Antminer S7
It belongs to the Antminer family by Bitmain and joined the market before Antminer S9. Until the launching of a new, improved version, S9, it was the leading machine that had a considerably fast hash rate in ASIC devices. Its extreme hash rate is 4.74 TH/s which is not suitable for individual miners. But if you decide to join a mining pool, it is among the best suggestions.
It is also less expensive compared to the above-discussed devices. You can get it for only two hundred dollars. Its durability and reliability are proven in the crypto mining industry.
It involves only two drawbacks; one is its improperness for individual mining because it can’t beat the powerful hash rate and performance of devices used in solo mining around the globe. The second one is its sound while working. You can be approached with complaints.
Mining Software for BCH Mining
Software is an important part of your mining setup, so you are in need of downloading efficient mining software. Industrial advancement has introduced ASIC devices with mining software and makes you tension free. Only buy the hardware and start to achieve your mining goals.
Only rely on the software designed for ASIC devices and don’t get misled by a huge variety of mining software in the market. These can perform well for GPUs and CPUs that are not suitable for Bitcoin and BCH mining. It only requires ASIC devices and their special software.
You also need a BCH wallet to link with your mining software while configuring where your mining reward will deposit. You can use a soft or hard wallet as per your affordability, but a hardware wallet is considered more secure.
You also need to set the required hash power while configuring the mining software. If you find it difficult, it is pretty wise to consult the manual of the device for guidance. It also allows you to set the mining hours and timing according to your convenience.
BCH Mining Pools
Mining pools are a very good option for people who can’t afford to buy and maintain highly powerful devices. Mining pools provide them all a sure opportunity to win mining rewards. In a mining pool, many people add their mining power to compete in the market. Everyone in the pool gets a share according to the hashing power contributed to the pool.
Here is good news for those who don’t want to pay any charge for their mining activity but want to earn a mining reward. Yes! Antpool is also launched and managed by Bitmain. Buy their hardware and start mining; after connecting to the pool, start mining free of cost. They don’t receive any fee for joining, but they distribute only block rewards, i.e., 12.5 coins among all the pool participants, as per the power they shared with the pool.
Hopefully, this guide will remain helpful for your BCH mining plan. From the above-discussed topics, we can conclude that cryptocurrency mining, especially BTC and BCH, is highly costly and require many factors to collect at a place for successful mining.
However, the mining pools offer a much better and comparatively inexpensive way of mining and winning a sure reward. For pool mining, you don’t need to arrange very powerful ASIC devices, but you have to compromise your mining reward. You only receive a share from the block reward and are not eligible to receive the transaction fee.
Possibly, in the future, with the consensus of the global bitcoin community, we will observe a positive change in the coding and banning of ASIC use in mining procedures. It’ll open mining doors for people more than ever the use of powerful and costly ASIC devices to win the mining reward.