The world is advancing in terms of technology in all sectors of development like agricultural sector and financial sector among others. Cryptocurrency is one of the latest invented digital currency secured under cryptography in the financial sector of development. Cryptography is a security feature that is used to secure currency from counterfeit. It has a distinguishing feature from other currencies in that it has no governing rules from any central authority rather it is controlled by a computer algorithm and its users. This makes its operations faster and free from government interference. The transaction of the service is easier as compared to other currencies.
In the recent past, cryptocurrency has hit the market due to easier and faster transfer of funds between the parties involved in the transaction. Cryptocurrency is a computer system that works best under certain conditions such as the emergence of new units, possession of such units, computer selection of the preferable instructions for possession changing, cryptographic proof of unit possession and decentralization. In the market, always there exists a risk for every kind of business and since cryptocurrency is not an exception it is associated with some risks such as losses, frauds, and thefts despite cryptography.
The networking of cryptocurrency involves miners who work with their computers to verify different transactions so as to be rewarded. The process of verifying these transactions is therefore referred to as mining. The success of this process depends largely on the types of computers the miners are using. The parties involved in these digital transactions should each have an account referred to as cryptocurrency wallet by purchasing initial coin offerings ( ICOs ) to be used in paying used to send or receive cryptocurrency. Payne is a specified software that allows cryptocurrency users to transact conveniently in every day to day business involving funds transfer.
The transactions involved in cryptocurrency are captured and stored in public ledgers referred to as block chain. These ledgers are accessible to cryptocurrency users. The transactions are public but the sender is unknown. When a transaction is carried out, it is given out to the public in form of computer codes where the viewer’s try to match using computer software. The first user to submit the correct match earns the initial coin offerings as a reward in form of ether. Ether is redeemable and it exists in four main subdivisions namely; Finney, we, Szabo and ether. In the ethereal world, wei are the most vital unit and its value is 10^-18 of an ether. Wei on its own can be broken down into three namely; kwei, mwei, and gwei which are convertible to wei in the following relations 10^3, 10^6 and 10^9 respectively. Ether as a subdivision can be further subdivided into kether, mether, gether and tether among others. These subdivisions of ether are convertible into Wei in the following relations 10^21, 10^24, 10^27 and 10^30 respectively. Finney and Szabo are convertible to wei in the following relations 10^15 and 10^12 respectively.
The mechanism is viewed by most people as a complex way of trading with money but that might not be true since once you master the basic concepts it becomes an easy way to go. For this reason, it has not yet become popular in many countries over the world. The popularity of cryptocurrency will depend largely on the legality of the same in many countries and probably the technical advancement in those countries. Cryptocurrency has been used in rewarding the winners in gaming sites like lotteries and casinos which has led to its warm welcome and acceptable in the market since it is not a scam and has a proven track of records.
Though this system is not a scam, it is still criticized and not legalized in some countries such as China and South Korea. In my opinion, I do recommend cryptocurrency trade be adopted since funds transfer is faster, secure and done with minimum processing fee and is more economical than the traditional systems once it is developed in the sense that it is able to raise more taxes as compared to traditional currencies. It is because of these features that cryptocurrency has been able to compete healthily with other currency trades despite being new in the market.
Cryptocurrency is the way to go as far as the online transaction is a concern. We always desire to have a free and easy means of the transaction without any third party. And all that thanks to cryptocurrency!
In simple words, ethereum can be described as a platform for open source software, which is used by developers for creating blockchain-based applications. Ether or ETH is the token that powers such applications, and it is this Ether that gets mined or traded, something similar to bitcoins. The following Mining Ethereum 101 – How to start’ article throws light on ethereum- how to start mining this open source platform so that developers can create decentralized applications.
Ethereum Mining Basics
First and foremost, electricity consumption is impressively high during the process of ethereum mining. Also, the hard drive in your computer needs to be free of memory- at least 30 GB of free space will be required for the software and the blockchain.
The ethereum mining rig in your computer should include the following:
- Power Supply (PSU)
- Graphics Card
- Mother Board
- Storage (SSD/HDD)
- Memory (RAM)
How To Start
Following the steps provided below will guide you to get the right start for your ethereum mining process.
The process starts with you downloading Geth application, which will create a link between your system and the ethereum platform. It will also help you to set up the hardware, and provide you with new developments that you have to act upon.
Since Geth is generally downloaded in zip file format; you have to extract it to your system’s storage (HDD). Use the C: drive to store this application.
The application can be installed using the Command Prompt only, so look for “CMD” in Windows search box. When found, click on it.
The command terminal’s general display format as well as your computer name is the username placeholder- “C:\Users\Username>”. Next, you have to locate Geth for which you need to type “cd/” on the command prompt terminal. With this instruction, the directory will change to “C:\>” (it will also be highlighted), showing that you are in the C: drive of your computer.
The next step is creating your account. In order to give Geth a phone call, you have to type “geth new account” and then press the enter key. This will show “C:\>geth account new” on your screen.
Now, you have to type a password (make sure it is a strong one). If you tend to forget passwords, write down the password somewhere safe. Next, press enter key after you have typed the password. You have now created an account.
In order to start functioning, Geth will require to be linked with the network. Type geth —rpc’ in your terminal, next press enter. Doing this will ensure that ethereum’s blockchain gets downloaded, and that it synchronizes your system with global network. Depending on the size of blockchain at that moment along with internet speed, you might have to wait some time for the process to complete prior to getting started with the mining.
You will now require mining software (like Ethminer) that will help the GPU to run the hash algorithm necessary for the platform.
Install the mining software.
After installing the software, repeat step no.4 in another command terminal. This new command terminal can be opened by right-clicking on your previous active terminal icon, which you will find in the taskbar.
Type “cd prog” and then press on the tab key in the new terminal. You should be able to see “C:/> cd “Program Files” on your screen; press enter to view “C:\Program Files>”.
Next, to get access to the folder with the mining software, type in “cd cpp” followed by tab key and enter key. Press the tab key again to view the “C:\Program Files>” in the terminal.
Now, you can begin mining by typing in “ethminer –G” and then pressing the enter key. At first the DAG or Directed Acyclic Graph will be built (which will make your GPU resistant to ASIC or Application Specific Integrated Circuit). Now, you can start the mining process after ensuring that your computer has enough space for mining.
Remember, mining involves solving complex math problems so be ready accordingly. However, the process of solving will become easier as it gets broken down into simpler steps. Mining Ether is the key to ethereum mining process. With a little brain and lots of enthusiasm, you will surely make the most of ethereum mining.
If you don’t want to mine, but want to still get into the market, check out our other articleon How to make money with Ethereum!
In today’s digital world, every transaction happens online. The rise of the internet has opened several possibilities to the common man. Several new technologies have cropped up to decentralize the transaction process that can eliminate the third-party dependence (like banks). The cryptocurrency is the cutting-edge technology that can decentralize the client-server model. Ethereum is an open software platform that uses the blockchain technology, which helps developers to create applications that are not centralized. The programming code of the Ethereum blockchain runs on the decentralized application that can give profits to the people.
Ethereum is the cryptocurrency that has the potential to change the face of transactions in the future. Therefore, touted as the future currency, it can open several opportunities to make money. If you are wondering how to make money with Ethereum, then you need to understand that it has the strength to deliver. It has the potential to create millionaires or billionaires as it is the cutting edge technology. So, you can follow the trend and make profit out of the cryptocurrency in the following methods;
Mining of Ether
The digital asset’s value can increase in the future as several business establishments have shown extreme interest in the cryptocurrency. Therefore, you can start ethereum mining that can distribute the record keeping process. Ethereum mining means that you increase the volume of the digital currency in the market. As a miner, you need to spend time, power, and energy to sort through the Ethereum blockchain and offer solutions to the challenging mathematical problems. The equipment price for mining is on the higher side, but it is worth it as the ethereum prices are on the rise. The ethereum uses the Proof-of-Work algorithm to check the transaction validity. But, it is susceptible to tampering by the external entities. Therefore, the developers are trying to use the Favor-of- Proof, secured by the token owners. For ethereum mining, you need to have the ethereum wallet that allows you into the mining pool.
Investing and Trading Ethereum
As the cryptocurrency is the hot topic in the trading world, you can make use of the trend to make money. You can buy and sell ethereum on a secure platform that will generate profit. The smart-contract functionality of the ethereum is it attracts the attention of traders worldwide. Using a trusted trading platform, you can buy the ethereum online using the credit card. You will get the ethereum coins that work on the various platform as safe money. It is the right investment for the future as businesses prefer anonymity that digital currencies provide. It keeps your identity hidden during a transaction that is not available on the bank-based transactions. You can sell the cryptocurrency once it reaches a high amount that may not take long. The history of the cryptocurrency has shown a sharp increase in the prices that will not cause any financial damage. With a secure platform, you can buy and sell ethereum for profits. The simple steps to buy and sell ethereum are:
Ethereum Wallet: Get an ethereum wallet that will hold the digital currency. Some examples are Hardware wallet, Coinbase’s wallet, Exodus wallet, Jaxx wallet, etc.
Buy ethereum: You can buy ethereum cryptocurrency using the credit card through popular ethereum exchanges like Coinbase, CEX.io, Coinmama. You can also exchange the cryptocurrency with the other digital currency like Bitcoin.
Withdraw: You need to withdraw ethereum immediately to avoid hacking or getting invalid.
Make DApps and make money out of it
You can develop the Decentralized Applications (DApps) that are autonomous and offers a higher level of security compared to the centralized applications. The main advantage of a DApp application is the ability to distribute its essential components. Therefore, it becomes an impossible task to attack the network as it is quite expensive for the hackers to try it. So, the applications have a better fault tolerance as each node performs the computation. The DApps are fast, reliable, and secure that will enhance the user experience immensely. The DApps are getting popularity as it is the most affordable and efficient method to process large data. It will prevent a corporation or government exploitation. It is the best answer for how to make money with ethereum.
Ethereum has a great future as several things are coming up based on the cryptocurrency. People prefer the cutting edge technology that makes it a safe investment for making good money. You can use the golden opportunity to venture into the field of digital currencies and become a part of the future transformation.