Bitcoin. It has been around for quite some time but has recently gained overnight fame for generating an assemblage of millionaires, some as young as in their twenties.
So, what is it?
Bitcoin was the first form of cryptocurrency and was first available on the market in 2009. The simplest way of grasping the idea of how Bitcoin functions is that it carries the same properties as physical money does, the only difference being that it holds no tangible form. It exists in the most raw, organic and natural state and is not controlled by any governing body. The grand appeal of this is that it is truly decentralized and not subject to any form of manipulation by any central governing bodies.
The success of Bitcoin has spawned the evolution of other types of competitor currencies that are quickly gaining popularity like Ethereum, DASH, PPCoin, Monero, to name a few. To give you a better understanding, consider Bitcoin to be like your American Greens (USD $), Ethereum your Euros (EUR €), DASH your Japanese Yen (JPY ¥) etc. They are essentially a new breed of currencies available exclusively on online platforms, Bitcoin still being the most valuable and popular to date.
The value of your Bitcoin and other cryptocurrencies are subject to market exchange rates (think currency exchange market). Your currencies can be stored via what is called a Bitcoin wallet and moved around (i.e. as a form of payment) online. Thousands of merchant now accept Bitcoin as a form of online paymen. It is what many term virtual currency.
How do you get it?
Now that you have a basic idea of what Bitcoin is where can you actually get your hands on a Bitcoin?
In the early stages, Bitcoins were released onto the inter web periodically to a group of computers on a blockchain network.What these computer had to do was to verify other bitcoin transactions and assist in updating and maintaining a blockchain ledger by solving complex math algorithms. As a reward, these computers were awarded with Bitcoins, which generated the term bitcoin mining. This reward system enticed more and more people to join the network and supported it to now create a sphere of online trading.
As the concept and platform grew, the market place for mining bitcoins and other digital dollars became more dense and competitive. Mining alone, while not impossible, is no longer feasible, it may take a solo miner years and a lot of luck before being able to successfully be rewarded. This led to the generation of a system called Mining Pools where groups of people merge to collectively to pool their computing resources together to increase their chances of being rewarded.
Companies like Bitclub Network are wasting no time in their efforts to create one of the biggest global mining pools. When joining a pool, you (the individual) are in essence a orker’ and depending on your contributions, will be rewarded accordingly. The Mining Pool platform in which you are on charges you a small fee, usually around 2%, of your earnings. The rewards while small, in comparison to mining solo, are frequent and consistent.
Once you’re ready to join a mining pool, look for the best mining tools that best suits your needs and your computing capabilities and capacity. To date, CGMiner is still undisputedly the most popular and most comprehensive. GPU/ASIC/FPGA mining too for Bitcoin and is accessible to most, if not all, types of computing devices. Another popular mining tool would be BFG Miner which, is equally as dominant a tool for mining Bitcoins but does not support GPU. Other options include BitMinter and BTCMiner.
Once you have your mining tools set up and ready to run, ensure that it is linked to your mining pool and watch your miner get to work. It has to be highlighted that mining programs stretch out the capabilities and capacity of your hardware so it is important to monitor the processor’s temperatures so that is doesn’t go beyond the recommended limits. Programs such as SpeedFan can be downloaded and installed to control the limits of the program that is intensely generating high temperature spikes.
Bitclub Network has kicked things up a notch by offering an opportunity for its members to own a share in their mining hardware and will provide extensive support to help you start up and directly link your mining activity to their mining pool. They are the first company in the crypto sphere to provide such a service.