What is Ethereum Mining and how is it Different from Bitcoin Mining?


The development of Ethereum network has been significant in the Cryptocurrency industry. It also brought new developments in the technology of Blockchain. Just like Bitcoin, Ethereum also supports the beginners, works well with people who are familiar, and offers great opportunity to enjoy the perks of mining to those who want to begin mining on their own. The Ethereum can be mined just like any other cryptocurrency. You secure the blockchain of public transactions while mining and in return you are compensated with Ether for the work done.

How does Ethereum mining work?

The computer system used for mining is known as Ethereummining hardware. It is difficult to create a dedicated hardware which helps in keeping the competition stable. You can earn a fair share based on your contribution. Usually, a large mining group has a slight advantage over the small miners.

While you can make use of the ordinary CPU processor as Ethereum mining hardware, you would need mining software to undertake the mining process. It will connect you with the network and the mining pool. The mining pool is a group of miners working together and collecting the rewards. The online pools are essential for the beginners. Just like btc miner, there are several apps and programmes available for Ethereum mining as well. 

Difference between Ethereum and Bitcoin

- In Ethereum the block time is 14 to 15 seconds as compared to Bitcoin which is 10 minutes.

- The block rewards for btc miner halves every 4 years while the Ethereum releases the same amount of Ether every year.

- Ethereum rewards the miner based on proof of work algorithm known as Ethash. While Ethash encourages decentralized mining by the individuals, Bitcoins use more centralized ASICs for mining.

- Ethereum and Bitcoin cost their transaction in different manner. In Ethereum, the costing depends on storage needs, bandwidth usage, and complexity while in Bitcoin; the transactions are limited by block size and compete equally with each other.

The Ethereum mining not only works as a source of additional income but also offers an exciting experience to miners. Most of the youngsters and part-time works engage in this mining process to earn some good amount of money for themselves. Therefore, you can either do mining on a part-time basis or become a full-time miner to explore more opportunities and enhance your profits.

Explore web for more information on Ethereum and the best hardware for Ethereum mining process.

Comments

Post a Comment

Popular posts from this blog

Everything You Must Know About Bitcoin Mining and Role of Hardware in the Mining Process

Bitcoin, the digital currency, is an innovative form of making payments and exchanging money, which is helping a lot of people across the globe to make monetary transactions with great ease. One will need to understand the entire concept as it involves lot of numbers, maths and complex puzzles. Bitcoin mining is decentralized and in some countries there is no official body regulating it. This gives rise to the need for mining. What is Bitcoin Mining? Mining is the process of validating transactions carried through digital currency. It is important to consider that the digital transactions are duplicated and copies of the ledger exist in numerous places making cheating or faking transactions nearly impossible. Hence, Bitcoin mining is known as the process which verifies and adds the transactions to the public ledger. The public ledger is better known as the blockchain. It is also the means which produces new Bitcoins. The process of Bitcoin mining compiles recent transactions
Read more

Tips to Make the Bitcoin Mining a Profitable Affair

There are many people who are fascinated with the concept of Bitcoin mining and mining pool is one of the best options for beginners. It has been recommended that the minors should either build a competent mining rig or purchase a pre-built device to survive in the competition. However, before joining the Bitcoin mining pool it is important to take into consideration few factors to find out if it is worth the time and efforts. The four variable to consider before you begin mining Bitcoin at home: 1. Hash rate Hash rate is the speed at which the mining device works in performing the mining calculations. The device performance is measured in Terahashes for each calculation solved per second. It is important to buy a pre-built Bitcoin mining device from a reputed manufacturer which can help in making your bitcoin mining a profitable affair. Mining difficulty changes every 2016 blocks which means you require a really fast machine. 2. Electricity Calculating the cost
Read more