22 min read

You can get bitcoin and other cryptocurrencies in several ways: buy on the exchange, in an instant exchanger, exchange or buy on a peer-to-peer platform, offer your services or goods for payment with bitcoin and other cryptocurrencies. However, the most popular method is the mining of cryptocurrencies. Currently, the number of cryptocurrencies is in the thousands, but the most popular of them is Bitcoin( BTC), it is trusted by the majority of participants in the cryptocurrency market.

In addition, bitcoin is one of the most profitable of the cryptocurrencies, although many prefer to invest in other coins that are new in the cryptocurrency market.

Let's try to figure out what mining is, what are the ways and options for mining, how to start mining cryptocurrencies yourself, why cloud mining is considered the most effective and profitable way of mining and which cloud mining platforms are the best in the mining market.

  • What is the mining of Bitcoins and other cryptocurrencies
  • Methods to mine cryptocurrency
  • Crypto Mining Hardware
  • Tips for a novice miner-beginner on choosing a mining method
  • Mining Calculator
  • How to start mining Bitcoin and other cryptocurrencies yourself: step-by-step guide
  • How to choose a cloud mining provider?
  • How Cloud Mining Works?
  • Estimated Profit: Profitability assessment
  • The Best Cloud Mining Platforms & Pools
ECOS Cloud Mining - Legit Bitcoin Mining Platform

What is the mining of Bitcoins and other cryptocurrencies

Bitcoin mining is a process of confirming Bitcoin transactions and recording them on a distributed ledger. It is the most important procedure of the entire Bitcoin network, as it secures the system, ensures that everyone is acting justly, and introduces new Bitcoins into the circulation. 

In order for this whole system to work, such functionality as mining was invented and implemented. What do miners do? They store copies of the blockchain, that is, all information about transactions, and thereby protect the information from losses and forgery. The second thing that miners do is they confirm transactions, that is, transactions that occur with cryptocurrency. And the third thing that miners do is they check transactions that other miners have registered. Thus, without the participation of miners, the functioning of the Bitcoin network is in principle impossible.

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Hashing24 - Reliable Bitcoin Mining, Super Low Prices!

Methods to mine cryptocurrency

Before you start mining, you need to decide which mining method you want to use.

Method 1. Cloud Mining

Cloud mining is one of the mining methods which require the least amount of effort.

Cloud mining is a mechanism to mine a cryptocurrency, such as bitcoin, using rented cloud computing power and without having to install and directly run the hardware and related software. Since this form of mining is done via cloud, it reduces issues such as maintenance of equipment or direct energy costs. This alleviates users' from complicated processes, such as the procurement of mining equipment, the logistics of transport, power management, and the operation and maintenance of the mining farms. The mining rigs are housed and maintained in a facility owned by mining company and the customer simply needs to register and purchase mining contracts or run a free cloud mining contract. Users will be able to place an order and enjoy the services with a single click.

What is a cloud mining contract? This is when you buy mining facilities for rent for the desired period to earn bitcoin, and the miner company provides the physical availability of equipment, software, electricity, placement and maintenance on a turnkey basis.You just have to receive the mined bitcoin in accordance with your rented capacity, without wasting time on equipment.

In short, cloud mining is the practice of renting high-speed mining machines combined into “farms” for an agreed period of time. Throughout the rental period all the profit from your farms (less electricity and maintenance costs) is transferred to your cryptocurrency wallet.

Most cloud mining providers run large mining facilities with dozens of farms (dozens or hundreds of mining machines) and have sufficient mining experience.

Method 2. CPU Mining

CPU (Central Processing Unit) mining isn’t a viable option anymore. It’s becoming obsolete for a number of reasons:

  • It’s very slow and you can mine for months without getting any profit;
  • You earn very little but your electricity and cooling costs are off the charts.

Why are miners still using this method at all then? The reason is that it’s very easy and can be done by anyone with a desktop computer. All you need is to download a couple of programs. You can even do it with a laptop, although it’s not recommended because it will probably overheat.

Method 3. GPU Mining

GPU (Graphics Processing Unit) mining utilizes a gaming computer’s graphics processing unit to mine coins.

As a rule, building a farm is quite expensive and requires certain technical skills. It also requires more space and takes a long time before mining becomes profitable.

On the other hand, GPU mining is very popular because it’s effective and has a low cost of entry. It offers more assembly options, supports more crypto algorithms, and is easier to accommodate: it doesn’t make too much noise and doesn’t overheat.

Method 4. ASIC Mining

ASIC miners (Application-Specific Integrated Circuits) are integrated circuits designed for the sole purpose of hashing (math function) of a sequence of numbers utilizing a special algorithm. This process is called mining.

ASIC miners are popular with miners because they’re easy to use and more power-efficient than GPUs or CPUs.

Crypto Mining Hardware

Finding the best software for crypto mining is essential, but before we jump to the best software, let's understand how hardware often plays an even more critical role. For example, Bitcoin miners would make less than a penny per year, on average, using a standard computer or smartphone. That's why every serious Bitcoin miner uses specialized ASIC hardware capable of running far more calculations per second.

ASIC Bitmain Antminer Bitcoin Miner


The most popular types of Bitcoin mining hardware include:

  • CPU Mining
  • GPU Mining
  • FPGA Mining
  • ASIC Mining
  • Gridseed Mining

Of course, all crypto mining hardware consumes electricity—and sometimes a lot of it. Renewable energy sources may provide a more sustainable source of low-cost power than fossil fuels while reducing the environmental impact—particularly in large operations. After all, energy tends to be the highest long-term cost for miners.

While it's possible to mine Bitcoin with a single ASIC machine, most Bitcoin mining operations consist of entire warehouses of ASIC machines running 24/7. As a result, the only way for most individuals to compete is to participate in mining pools that pool computational resources across hundreds of thousands of participants and split the rewards.

Hashing24 - Reliable Bitcoin Mining, Super Low Prices!

Tips for a novice miner-beginner on choosing a mining method

  • Due to the high costs involved, mining coins yourself is only recommended if you have access to cheap or electricity;
  • Before investing in any hardware or mining setups, use a Bitcoin mining calculator to see if you can actually turn a profit with all costs considered, as well as consider the changes in mining complexity: as more people start to mine, it causes a surge in the hashrate, so mining requires more computing power;
  • If you want to mine with GPUs and ASICs, choose the right ASIC model. The best way is to see which mining equipment currently brings the most profit.
  • Be careful because there is no guarantee that your investment will pay off.

Mining Calculator

Mining Calculator allows you to calculate the efficiency and profit from the mining of the cryptocurrency, considering the investment in the mining farm, the cost of electricity, hash-capacity, energy consumption and other parameters. You can calculate the profit and see how much you can earn for a day/week/month/year. The expected Bitcoin earnings are calculated based on the values entered and do not consider difficulty, exchange rate fluctuations, stale/reject/orphan rate, etc. These and other factors change every day/every week and can have effects on the expected earnings.

HashShiny Cloud Mining

How to start mining bitcoin and other cryptocurrencies yourself: step-by-step guide

Step 1. Choose a mining method

The following steps are valid if you’ve opted for cloud mining, GPU or ASIC mining (if you’ve chosen CPU mining, then welcome to the world of low profits and high costs but with no investment).

Step 2. Build a farm and/or rent computing power and/or equipment from a mining company

Note: It’s essential to do your research and try to find the best price-performance ratio as there are many companies out there which claim to be the best among some of the largest competitors.

Step 3. Choose a mining package (for cloud mining)

Once you’ve picked a cloud mining provider and signed up, you need to pick a mining package. That will typically include choosing a certain amount of hashing power, renting mining equipment and/or space, software, maintenance, mining pool services, remote control service for ASICs, etc.Most cloud mining companies will help you decide by giving you a calculation based on the current market value of your cryptocurrency and the difficulty of its mining.

Step 4. Choose a mining pool

Because solo mining isn’t profitable anymore, more miners turn to mining pools which combine computing power and organize search and solution of blockchain on mutually beneficial terms.

Miners are increasing their odds to earn cryptocurrency through teamwork and improved performance and efficiency.

Note: The difference between a mining pool and cloud mining

Many people confuse mining pools with cloud mining. Cloud mining is when you pay a service provider for mining for you and get a reward. Mining pools are for people who have mining equipment to split the profits.

CoolWallet S is the most secure crypto hardware wallet for Bitcoin, Ethereum, Litecoin, Bitcoin Cash and ERC20 Token

Step 5: Select a wallet

Before joining a mining pool: You’ll need a bitcoin wallet.

This is because all Bitcoin mining pools will ask you for a Bitcoin address that will be used to send your mining rewards and payouts.

Note: Explore the hardware wallet market - learn new products, visit the official online stores of manufacturers of the best hardware wallets. If you decide to use a new method of obtaining bitcoin for yourself (in addition to the traditional methods - purchase, exchange), then you may need a hardware wallet with additional functional and technical characteristics.

Binance Mining Pool

How to choose a cloud mining provider?

Here are the four main parameters for choosing a cloud mining provider.

  • Low Cost

The price you pay for hash power is very important as it has a strong influence on speed of investment return.

  • Provider Reliability

The most important requirement. There exist numerous fraud companies which take people’s money and then disappear without paying them back.

  • Real Mining Facilities

The provider can guarantee that your money will be paid back only if it actually owns hardware.

  • Convenience

The service provides various additional options which help you to increase profits and enhance it for comfort and ease of use.

CCG Cloud Mining
IQ Mining - 35% discount on all mining contracts!

How Cloud Mining Works?

  • Step 1 : Registration

You need to create an account at the chosen cloud mining service and, after that, you can have access to your personal cabinet.

  • Step 2 : Purchasing hashing power

You buy certain amount of hashing power either for cryptocurrency or the US dollars. The hashing power you bought starts to benefit you immediately.

  • Step 3 : Storing

Every day, cryptocurrency which you have mined, is charged on your account. You can reinvest it by buying additional hashing power or, simply, accumulate.

  • Step 4 : Money Withdrawal

When a certain sum of money is accumulated on your account, you can withdraw it to your personal crypto-wallet.

  • Step 5 : Currency exchange

You can change cryptocurrency for real money with the help of one of stock exchanges.

Estimated Profit: Profitability assessment

To estimate profit, which cloud mining investment can give you, let’s calculate how much one can earn per 1 year with the initial investment of $ 5,000. 

  • We will measure profitability for the most popular: Bitcoin (ВТС).
  • For comparison, we have selected 4 of the TOP 11 best cloud mining platforms. You can find a list of the TOP 11 best cloud mining platforms below.
  • Cloud Mining Platforms: Hashing24, HashShiny, IQ Mining, CryptoUniverse. 
PlatformCost of
Hash Power
Service
Charges
Purchased
Power
Profit
per day*
Profit
per year**
Hashing24$ 1.2
for 10 GH/s
$ 0.0015
for 10 GH/s
42 TH/s0.16 mВТС$ 14,730
HashShiny$ 69
for 1 TH/s
$ 0.28
for 1 TH/s
72 TH/s0.12 mВТС$ 12,620
IQ Mining$ 95
for 1 TH/s
$ 0.03
for 1 TH/s
53 TG/s0.11 mВТС$ 9,952
CryptoUniverse$ 60
for 1 TH/s
4,6%
Service fee
83 TG/s0.1 mВТС$ 9,162

*) - The approximate calculation of income as of July 2021 is indicated, excluding the increase in complexity.
**) - The profit is indicated based on the forecast of the ВТС exchange rate for the winter of 2022.

Gh/s and Th/s - what is it?

Gh/s and Th/s are units called hash rate.They are computed as hashes generated per second (H/s). Hash rate denominations are measured in standard metric prefixes just like how mass, volume, length and time are expressed.

Some of them are:

  • Mh/s (Mega hashes per second) = 1 000 000 Hashes/s
  • Gh/s (Giga hashes per second) = 1 000 000 000 Hashes/s
  • Th/s (Tera hashes per second) = 1 000 000 000 000 Hashes/s

The Best Cloud Mining Platforms & Pools

The leading cloud mining platforms offer convenient services, profitable contracts for mining Bitcoin and other profitable cryptocurrencies; Crypto Mining Pools.

HashShiny

HashShiny - World's leading Bitcoin cloud mining. The faster, safer platform to mining Bitcoin. HashShiny offer a cloud-based solution for mining crypto currency for all types of users. More than 2,100,000 people mining here. HashShiny aims to extend business to the entire Cryptocurrency industry chain in the future and serve global users with technology innovations. New user get 5TH/S Bitcoin hash rate for Free.

Hashing24

Hashing24 - Bitcoin Cloud Mining with Most Advanced ASICs. Hashing24 provides turnkey renting solutions from the largest cryptocurrency mining data centers. Official reseller of industry leading companies. Data centers in Canada, Norway, Iceland, and Georgia. The newest ASIC chips. Air and immersion cooling technology. Ultimate performance at low cost. 100% uptime guarantee. Payout is based on overall network hashrate. Simply register an account, decide on the contract specifications (duration, hashrate, maintenance), make payment with fiat, bank wire or crypto and mine BTC instantly.

CCG Mining

CCG Mining is a platform for mining the most profitable cryptocurrencies. Contracts for cloud mining of Bitcoin, Bitcoin Cash, Ethereum, ZCash, Monero, Litecoin. The mining process allows you to reach the highest level of hashrate to increase your capital. CCG provides one of the highest hashing computing capacities in Europe. CCG provides customers with B2B and B2C services, simplifying the work. CCG Mining offers two ways to make a profit: Contracts for Cloud Mining and Mining Rigs. The price and duration of the contract depend on the selected coin for mining.

SHAMINING

SHAMINING offers modern cloud mining of bitcoin and other cryptocurrencies with instant payments; profitable contracts for bitcoin mining. Assembling your farm from special computers is an extremely expensive process that requires a lot of technical knowledge. The SHAMINING project comes to the rescue, which takes all the technical work on itself, offers a convenient service, transparent tariffs and excellent quality of miners. Choose the best GHs mining contract and start your cloud mining, get passive income, payouts to your cryptocurrency wallet every day.


EMCD Mining Pool

EMCD is the largest cryptocurrencies mining pool for sha256, Scrypt, Ethash and X11 in Eastern Europe with a capacity of more than 1.6 EH/s and offers one of the best commissions on the market of mining popular cryptocurrencies, minimum payment thresholds and the ability to receive daily accruals. EMCD operates on the FPPS+ model, which allows users to maximize their revenue from mining in the pool. The EMCD pool supports mining a large number of Proof-of-Work coins.

Bitland.pro

Bitland.pro is a highly profitable cloud mining platform without mandatory replenishment with guaranteed security of digital assets storage. Bitland was founded in 2017. The main office is located in Canada, Ottawa, and the main mining servers are located in Iceland and Canada. Choosing Bitland you get: Mining Bitcoin, Dogecoin, Litecoin, Tron and Tether; Recharge replenishment with Bitcoin, Dogecoin, Ethereum, Litecoin, Monero, Tron, DigiByte, Tether, Zcash, Perfect Money and Payeer; A random bonus from 5 Gh/s to 50 Gh/s is available depending on the level (from 60 to 5 minutes).

IQ Mining

IQ Mining is a cloud mining service developed for affordable cryptocurrencies mining. Cloud mining of Bitcoins, Ethereum and Altcoins. IQ Mining platform combines cloud mining with daily payments and Forex margin trading, options and cryptocurrencies, giving the opportunity to multiply potential income. IQ Mining is offering a wide selection of cloud mining contracts. Mining contracts with payouts in the most popular and trusted cryptocurrencies, 100+ altcoins and also a contract with a fixed payment in USDT. Choose a contract now and get the first payment to your crypto wallet tomorrow.

OKex Mining Pool

OKex Mining Pool - The leading crypto mining pool with 11 assets, as well as PoS assets, and daily revenue. Earn more with stable mining, real-time data, and hedging. Thanks to the unique architecture and advanced technologies, OKEx mining pool effectively prevents various attacks and maintains stable operation. The pool relies on PPS+, FPPS, and other settlement models, so you automatically get revenue daily and can check real-time revenue data. OKex guarantee reliable 24/7 mining service thanks to the multi-node deployment around the world and professional technical team.

Binance Mining Pool

Binance Mining Pool is a comprehensive service platform dedicated to improving the income of miners. Secure and Transparent - Hashrate is displayed in real-time while the Binance security team safeguards your assets. Steady Earnings - Using the FPPS, PPS+ model and instant settlements, you can avoid fluctuations in earnings. Comprehensive Service is committed to improving miners' income, closing the gap between mining and trading, and providing a one-stop mining ecosphere.

CryptoUniverse

CryptoUniverse Cloud Mining is a multi-functional cryptocurrency cloud mining service; leading hash rate and mining equipment provider with 3 data centers and 41000+ ASIC miners. Service is a partner of the world's largest exchange, Binance. Has been created in 2017 on the basis of one of the most powerful data centers in Europe with a capacity of more than 48 MW. Promotes absolute transparency in work. 


ECOS Mining

ECOS-M is a high-tech platform, specialised in sharing computing power. Here are key features of the service: ECOS mining capacities work in partnership with the largest mining pool - BTC.com; a transparent system of using real computing equipment on mining farms; flexible system of mining - contracts.
ECOS Mining Platform is a resident of a free-economic zone with special tax conditions. ECOS Cloud Mining gives an opportunity to lease real capacity of equipment for BTC mining. The advantage of ECOS Mining among similar services is in the lowest commission at service operators, competitive value of electricity and the absence of tax encumbers.
https://ecos.finance/en/cloud-mining?ref=9OBvjyn4

BITDEER

Bitdeer is the world's leading computing power-sharing platform, where users are provided with a full range of cloud mining solutions. This alleviates users' from complicated processes, such as the procurement of mining equipment, the logistics of transport, power management, and the operation and maintenance of the mining farms. Users will be able to place an order and enjoy the services with a single click.
As the world's first platform delivering real computing power to the smallest 1 TB, Bitdeer features traceable computing capacity, direct mining payment, straightforward and transparent pay outs, and customizable service plans. Bitdeer provides genuine, transparent, secure and convenient services, making it possible for anyone to take advantage of mining.
Bitdeer has served users from over 200 countries and regions around the world with monthly traffic of over 2.5 million. Bitdeer also operates hundreds of thousands of specialist mining machines from professional mining farms in Europe and America. Bitdeer not only ensures stable and consistent operation, but also strives to provide top-notch computing power-sharing services to its customers worldwide.
In strategic partnership with Bitmain, an industry-leading mining machine manufacturer, Bitdeer aggregates the world's top mining pools from across the world, such as BTC.com, Antpool, F2Pool, ViaBTC, and BTC.top, aimed at providing users with more flexible mining options.


HashMart Cloud Mining

Hashmart is a simple and affordable cloud mining service; it is based in Cyprus; it offers contracts for mining Bitcoins and Ethereum from data centers in Siberia (Russia). Hashmart uses the technologies of leading companies and manufacturers of the industry, such as Bitmain. You get maximum performance at low cost. Hashmart does not require any additional fees for paying for orders or for withdrawing funds in cryptocurrency. Hashmart provides the best possible cloud mining experience with a substantial hash power of 150.5 Ph/s. Zero risk of downtime, advanced ASIC chips that allow you to mine coins in the most efficient way. Choose your plan, specify the required hash power and start mining with Hashmart today! Hashmart offers several mining contracts, which differ in hash power, service fee and some other details. The most popular options are a 12-month bitcoin plan and an open plan, providing performance of 300 Gh/s and 250 Gh/s, respectively. The higher the hashing speed, the more mining opportunities that you can take advantage of. Therefore, be sure to carefully consider your options when choosing a contract. 



Gate.io Cloud Mining

In August 2021, Gate.io launched a cloud mining service that will allow users to purchase cloud mining contracts starting from $47 and receive income equal to 70% of annual profit.
Gate.io is a leading global asset exchange, including fiat trading, crypto-crypto trading, margin trading, Futures, ETFs, Hodl & Earn, Startup and much more, as well as Cloud mining. It provides you with secure, reliable and transparent trading services and real-time market information for hundreds of digital assets, including Bitcon, Litecon, Ethereum and others.

APOLLO Miners

Apollo Miners is offering a wide selection of mining contracts. Mining contracts with payouts in the most popular and trusted cryptocurrencies, 100+ BTC Coins and also a contract with a fixed payment in USDT. Choose a contract now and get the first payment to your crypto wallet tomorrow. Apollo Miners provide a dynamic mining solution to clients, as well as a smart fund with flexible time and investment amount. Apollo Miners platform combines mining with daily payments through cryptocurrencies.


MinerGate Mining Pool *

*) Note: MinerGate is a GUI miner.
MinerGate, a multicurrency mining pool with a broad spectrum of products, has been successfully operating since early 2014; provide user-friendly mining software, reliable 24/7 support service, and a helpful community; support 4 major mining algorithms, including Ethash, Equihash, CryptoNight & Scrypt. Currently, MinerGate host 11 mining pools for every supported coin, and a merged mining pool designed especially for CryptoNight ASICs. The core insight that led MinerGate to success was the CPU-mining adaptability, which allowed thousands of hundreds of cryptocurrency enthusiasts to effectively mine coins on decent home PCs, regardless of the dominance of powerful mining farms. MinerGate provide its services in two main forms: simple GUI desktop miner, and CLI console mining solution for more experienced miners. It’s attracting over 400,000 of active users monthly and this number continues to grow. Mining pools:Monero XMR, Grin GRIN, Bitcoin BTC, Ethereum ETH,Ethereum Classic ETC, Zcash ZEC, Litecoin LTC, Bitcoin Gold BTG, Block Producer EOS, TRON Representative TRX, ICON Representative ICX.