Simple and easy explanation of how to mine ETH Ethereum

 How to mine ETH Ethereum How through it we offer you an easy and simplified explanation of how to mine ETH Ethereum The article will cover what is Ethereum, how to mine the cryptocurrency Ethereum  , including the hardware and software needed to mine ETH profitably.


Simple and easy explanation of how to mine ETH Ethereum


First, what is Ethereum and ETH

Ethereum is a blockchain , open-source blockchain protocol that features smart contract implementation. This allows building other decentralized applications based on the Ethereum blockchain. ETH / Ethereum is a cryptocurrency that is created by verifying transactions and creating new blocks. Ethereum was proposed and established by Vitalik Buterin in 2013. There are also several other founders, including Dr. Gavin Woods, Joseph Lubin, Charles Hoskinson, and Anthony Diiorio.


The Ethereum Virtual Machine (EVM), decentralized , uses an international network of public nodes to execute scripts. Ethereum is the second largest cryptocurrency by value on the market, after Bitcoin . It is one of the few cryptocurrencies that still uses an ASIC-resistant PoW that can be mined using normal GPU computing power, and Ethereum is also planned to turn into a PoS in standalone.


How to mine ETH Ethereum

Ethereum mining

If you are considering mining Ethereum, you should first think about whether you will be mining individually or if you are going to pool or cloud mining. Collective operations are associated with more fees and stake sharing with the mineral community, but you can see faster profits compared to individual mining. At this point, the most profitable and effective way to mine Ethereum is cloud mining or pool mining. Let's get to know the elements and steps of how to mine ETH Ethereum so that you get a complete understanding of the underlying technology and how it works.


Ethereum mining and the consensus mechanism

Ethereum currently uses Ethash's consensus mechanism based on the original Keccak hashing algorithm. Ethash 1.0 is designed to be ASIC resistant, due to the rigidity of its memory, which makes special ASIC chips difficult to run. Ethash uses a 1GB data set known as a DAG , and it also has a 16MB cache, which is replenished every 30,000 blocks. . Ethereum miners use cryptographic counters, along with portions of the DAG, to create mixed hashes using receiving data and transactions.


There have been several proposals to transfer Ethereum to the Proof of Stake (POS) mechanism , as outlined in the original Yellow Paper . The most recent proposal, EIP 1011, was submitted on April 20, 2018, that proposes to move to a hybrid consensus mechanism that uses both PoW and PoS. This app is called Ethereum Casper. This proposal will dramatically change how ETH mining Ethereum, once implemented. It is important to know that in the long term, Ethereum seeks to change its consensus mechanism to be fully PoW-based. This means that Ethereum will not be minable after the full migration to PoS.


Ethereum ETH mining hardware

Ethereum is originally mined using ASIC-resistant CPUs and GPUs. Since its inception a lot has changed. It is no longer profitable to mine with CPUs, and GPUs have become the primary method of mining Ethereum and it is one of the most profitable currencies due to its price. The increase in Ethereum mining has left many GPUs unavailable for gaming and has caused a major increase in their price in the global market.


Ethash DAG is stored in GPU's VRAM, so uploading DAG needs enough space. You will also need a graphics card that contains at least 3 GB and more VRAM in order to mine Ethereum. Anything less isn't enough and you won't be able to solve Ethereum mining.


Here are some of the basic components of Ethereum mining:


  • Motherboard: has enough PCI, and this depends on the number of GPUs you want to equip the device with.
  • Open membrane: You will need one that will keep GPUs as cool as possible.
  • Riser Cables: Every GPU processor will need a cable.
  • Power Supply Unit: It must have sufficient power to run graphics processing units (GPUs), which are power-intensive.
  • Internet connection.

However, it must be noted that there are many rumors about Bitmain and some other companies such as Samsung, which will create an ASIC mining program that will be released in the future. Which can drastically reduce GPU mining efficiency.

In general, you can calculate the computational hash power with electricity for profitable ETH mining here .

Ethereum cloud mining

Cloud mining can be profitable if done right with trustworthy mining pools. You will need to do a lot of research and review feedback from other beneficiaries, to make sure you are working with a reputable cloud mining company. Peer reviews are always a good way to find out if anyone is experiencing payments issues. One of the most well-known and reputable cloud mining companies is Genesis Mining. You can find more information about it in our previous article .

Pros of cloud mining:

  • Quietness, lack of any sound for cooling fans and bimetallic.
  • No increase in electrical costs or ventilation problems due to overheating of the equipment.
  • You will not keep old, expensive hardware when the mining process is over.

Cons of cloud mining:

  • Risk of fraud or not receiving profits.
  • The risk of stopping the mining operation due to financial concerns
  • Lower profits due to operating fees charged by miners

Ethereum mining software

The software used to mine Ethereum is just as important as the hardware designed for it. Each program is specific to a specific device. You want to get the most out of your hardware, so using the right mining software and optimizing your GPU or CPU is key to reaping a mining profit.

You will need temperature monitoring software to raise the GPU's performance, and reduce power usage overall. Many miners use MSI Afterburner for overclocking and GPU-Z to control the temperature.


Claymore mining software is the most used and is of high quality. It is the strongest and best mining program. With the help of this program, you can also extract two digital currencies at once and increase your income. Ethminer is another option. Setting up the program should be simple and involve downloading and extracting zip files.

You will also need to make sure you own an ETH wallet in order to access your Alakl rewards. If you don't intend to hold large amounts of currency, a web wallet is for you. Remember never to share your private key, it is best to download the keystore / JSON file or use MetaMask. If you intend to hold large amounts of ETH, the best and safest way to keep your cryptocurrency is in a private wallet, so the Ledger Nano S or Trezor will be your best bet.

 Ethereum Mining: Difficulty and Profits

The network hash rate has grown exponentially since the inception of ETH, which justifies the ranking of Ethereum in the cryptocurrency market and its huge price potential. Due to Ethereum's alliance with many other major companies, Ethereum will become a leader in the field of cryptocurrencies. Ethereum has seen explosive growth since early 2017. The increase in prices has resulted in higher demand and the increase in mining difficulty.

The link will allow you to enter your retail capacity, energy costs, and any other fees so that you can anticipate profit potential. It will also allow you to measure your costs more precisely and see if the net profit from ETH mining is worth the effort. Please note that these profit rates are for illustrative purposes only and results may vary depending on your inputs and the currency's market price.

With the potential to introduce ASIC miners and increase the price potential, mining ETH Ethereum is well worth the venture as so far ETH is definitely one of the best cryptocurrencies .

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