Cryptocurrency Mining For Dummies

Find out the essentials of cryptocurrency mining

The cryptocurrency phenomenon has sparked a new opportunity mine for virtual gold, kind of like the prospectors of a couple centuries back. This time around, you need some tech know-how to get into the cryptocurrency mining game.

This book shares the insight of two cryptocurrency insiders as they break down the necessary hardware, software, and strategies to mine Bitcoin, Ethereum, Monero, LiteCoin, and Dash. They also provide insight on how to stay ahead of the curve to maximize your return on investment.

• Get the tech tools and know-how to start mining

• Pick the best cryptocurrency to return your investment

• Apply a sound strategy to stay ahead of the game

• Find cryptocurrency value at the source

From the basics of cryptocurrency and blockchain to selecting the best currency to mine, this easy-to-access book makes it easy to get started today!

Autorentext

Peter Kent is a longtime technology author who also created the online course Crypto Clear: Bitcoin & Cryptocurrency Made Simple. Tyler Bain is a professional engineer who specializes on the electrical grid. He is also a Certified Bitcoin Professional who focuses on system resiliency and mining mechanics.

Klappentext

• Understand cryptocurrency and blockchain
• Select the best currency to mine

• Build a mining rig and join a mining pool Welcome to the 21st century frontier! You no longer need to "go west" to mine for goldvirtual gold, that is. With the booming phenomenon known as cryptocurrency, you can experience the thrill and profitability of mining without getting dirty, and this book shows you how it's done. It explains how cryptocurrency works and how mining functions. You'll learn to choose a profitable cryptocurrency to mine, how to get your mining rig up and running, ways to weather the market, and a whole lot more. Inside...

• The ABCs of cryptocurrency
• How blockchains works
• Choosing a profitable crypto- currency
• Assembling your resources
• How to choose between CPU, GPU, and ASIC mining
• How to calculate profitability
• Tips for a quick ROI

Zusammenfassung
Find out the essentials of cryptocurrency mining

The cryptocurrency phenomenon has sparked a new opportunity mine for virtual gold, kind of like the prospectors of a couple centuries back. This time around, you need some tech know-how to get into the cryptocurrency mining game.

This book shares the insight of two cryptocurrency insiders as they break down the necessary hardware, software, and strategies to mine Bitcoin, Ethereum, Monero, LiteCoin, and Dash. They also provide insight on how to stay ahead of the curve to maximize your return on investment.

• Get the tech tools and know-how to start mining
• Pick the best cryptocurrency to return your investment
• Apply a sound strategy to stay ahead of the game
• Find cryptocurrency value at the source
  From the basics of cryptocurrency and blockchain to selecting the best currency to mine, this easy-to-access book makes it easy to get started today!

Inhalt

Introduction 1

About This Book 1

Foolish Assumptions 2

Icons Used in This Book 2

Beyond the Book 3

Where to Go from Here 3

Part 1: Discovering the Basics of Cryptocurrency 5

Chapter 1: Cryptocurrency Explained 7

A Short History of Digital Dollars 7

First, take the Internet 8

Add credit card confusion 8

Add a dash of David Chaum 9

Result? DigiCash, E-Gold, Millicent, Cybercash, and More 9

The Bitcoin whitepaper 10

Bitcoin: The first blockchain app 11

Who (or what) is Satoshi Nakamoto? 11

What's the Blockchain? 12

Blockchain around the world the blockchain network 13

Hashing: Fingerprinting blocks 13

Blockchain is immutable 14

Where's the Money? 16

What's the Crypto in Cryptocurrency? 17

Public Key Encryption Magic 19

Messages to the blockchain 21

Signing messages with the private key 21

The blockchain address your money's home 22

Sending a transaction message 22

Unraveling the message 23

The Basic Components of Cryptocurrency 24

What's in a wallet? 25

Private keys create public keys 25

Public keys create blockchain addresses 25

The private key controls the address 26

Where Does Crypto Come From? The Crypto Mines (Sometimes) 26

Chapter 2: Understanding Cryptocurrency Mining 29

Understanding Decentralized Currencies 29

Exploring the Role of the Crypto Miner 31

Making Cryptocurrency Trustworthy 32

The Byzantine Generals 33

Looking at the Cryptocurrency Miner 35

Making the Crypto World Go 'Round 37

Chapter 3: Building Blocks: The Transaction's Journey to the Blockchain 39

The Cryptocurrency Network 40

Submitting Transactions 43

Looking at transaction fees 44

Change address 45

Verifying the transaction 46

Competing for bitcoin, the ten-minute contest 47

Winning the Bitcoin 49

Chapter 4: Exploring the Different Forms of Mining 51

Proof of Work Algorithms 51

Proof of Work applications 53

Proof of Work examples 54

Upsides 56

Downsides 56

Proof of Stake Algorithms 57

Proof of Stake explained 58

Proof of Stake selections 60

PoS example cryptocurrencies 61

Upsides 61

Downsides 62

Hybrid Proof of Stake/Proof of Work 63

Hybrids explained 63

Hybridized examples 65

Upsides 66

Downsides 66

Delegated Proof of Stake (dPoS) 67

Delegated Byzantine Fault Tolerance (dBFT) 67

Proof of Burn (PoB) 68

And MORE 69

Part 2: The Evolution of Cryptocurrency Mining 71

Chapter 5: The Evolution of Mining 73

Proof of Work Mining Evolution 74

CPU mining 74

Adoption of GPUs 74

Rise of the FPGAs 75

Dominance and efficiency of ASICs 75

The Days of Solo Mining 77

Pool Mining 78

What is a mining pool? 78

Choosing a pool 79

Pros and cons of pool mining 80

Cloud Mining 81

Pool mining versus cloud mining 81

Pros and cons of cloud mining 82

Chapter 6: The Future of Cryptocurrency Mining 83

Incentivization of Energy Exploration 83

Recovery of otherwise wasted resources 84

Continued Computational Efficiency Improvements 85

Doing more with less 86

Approaching the limits of physics 86

Corporate and Nation State Participation 87 <p...