Mining

The State of Cryptocurrency in Africa

On the global index of the acceptance of cryptocurrency by continents, Africa sits just a place away from the continent at the bottom, but the problem is that Antarctica is inhabitable. So Africa is in fact the continent with the least popularity of cryptocurrency. On the world scale, there are over 2000 cryptocurrencies and every single day, more coins are still being created. But only few of these currencies are in Africa, with the most popular ones being Bitcoin, Litecoin, Ripple, Ethereum and Dash.
If there is anything that has hindered the general acceptance of cryptocurrency in Africa, it has to be the volatility of the market. It can be generally said that changes in prices that the average American or European might not see as significant means a lot to an African. For example, a US dollar is an equivalent of 360naira (Nigerian).  During the first week of 2018, Bitcoin traded at $20,000 USD, and there were a lot of bullish prediction on this coin, with some self-acclaimed prophets predicting $75,000 in value. We all know what happened to Bitcoin about a week later. By the end of 2018, Bitcoin had experienced what is now called crypto winter, trading at %3,700 USD. All these figures are a lot of money for a continent with a lot of people living below a dollar per day. So yes, the mass cannot afford to put in money into cryptocurrency, and even if they could, the volatility of digital currencies scare them. But then again, who isn’t scared?
This does not mean that there is no prospect for digital currencies in the continent. As a matter of fact, some countries in the continent are working on owning cryptocurrency assets and Bitcoin ATMs are now in countries like South Africa. To get a clearer picture of the state of cryptocurrency in Africa, I will now proceed to analyze headlines that are currently making the rounds.

Africa Countries and Digital Currency

 
There are 54 countries in Africa. Out of these countries, South Africa and Swaziland are leading on the acceptance scale. South African seems to be ahead of every other country in terms of acceptance as it is the only country that has Bitcoin ATMs installed. Also, with its unrivalled technological advancement in relative to other African countries, the country is currently host to various cryptocurrency and blockchain start-up projects.
Senegal and Tunisia as sovereign states are recorded to be the earliest adopters of cryptocurrencies. In 2015, Tunisia started issuing the world’s first institutionalized digital currency; eDinar. Although the digital currency has not made the waves that it was expected to have, it is a proof that the government of the country, and the citizens as a whole are aware of the importance of digital currency. Senegal on the other hand issued eCFA in December 2016, a digital currency equivalent of CFA franc, the national currency of the country.
Most of the east countries in Africa seems to be on reserve. Rwanda for example is said to be carrying out research on the potentials of cryptocurrencies and how they could harness these potentials. But in general, most of the governments and central banks in Africa have so far taken the ‘wait and see’ stand as regards cryptocurrencies. It is almost like they are waiting for their European or America counterparts to experiment first before they can join the bandwagon. If there is anything we know Africa for, it is the fact that they do not like failure.

Africans and Digital Currency

 
Bitcoin is the most popular among Africans. It is said that cryptocurrency is not a term in Africa, they rather stick to Bitcoin as the generic name. Although the exact amount of holders of cryptocurrency cannot be ascertained, data from top exchange companies places it above three million holders. Out of these holders, South Africans and Nigeria are the leading holders.
There has been crypto projects that are targeting the unbaked in Africa, among many other projects like the healthcare crypto projects, logistics crypto projects and a whole lot more. If there was any reason why cryptocurrencies were appealing to Africans, it has to be the general perception that it was an unregulated cryptocurrency, totally independent and free from Government interference. But as it stands, the future of cryptocurrencies seems to be gearing towards regularizations by top exchange and security companies. However, this might not in any way affect the investors in Africa. The acceptance is on the rise, and the future looks bright.

Top 5 Countries with the Highest Crypto Investors

The technology behind blockchain and cryptocurrency is built on a trustless platform. Hence it is a web transaction that cannot be traced, and we cannot know the exact amount of investment that individuals have. Most people believe the amount of crypto coins available today is a hoarse. They believe that cryptocurrency funds, exchange and mining firms play the role of whales in the industry, capitalizing on the trustless platform of the technology and using it to control small investors.
While there are whales in some cryptocurrency projects, it is not true that exchanges and mining firms play the role of whales in the market. And what better way to know than to check their user base data. Most of these exchange and mining firms have data like country and IP address of their customers. And from these data, one can conclude that through the collective investment in cryptocurrency by residents of different countries, they have placed these countries on the map. Even though cryptocurrency still have a long way to go in terms of global acceptance, one cannot deny that these investors are have contributed to the level that we are in today. I have taken my time to write about the top 5 of these countries.

The United States

The United States is home to a lot of cryptocurrency exchanges, mining firms, trading platforms and blockchain oriented companies. It is also the number one country on the global scale of the installation of Bitcoin ATMs with over two thousand (2,000) Bitcoin ATMs installed as at December 2018. All these activities and endeavors could only mean one thing, the American population accepts cryptocurrency. Well, it depends on what we mean by population though, because only 8% of the American population is said to be holders of Bitcoin alone. This of course is a big deal, considering the population of Uncle Sam’s country.

China

If there is anything on cryptocurrency that China has been in the news for, it is the constant crackdown on cryptocurrency activities. But that is just the story of the Government of the people of China as the country is still one of the leading countries in terms of digital currency trading. It some of the world’s leading exchanges and the citizens in this country are known for their mining activities. It is generally believed that most Chinese miners tend to move their residential houses and offices closer to power plants because it is cheaper in terms of cost to mine cryptos. Also, recent trends reveals that Chinese government are working on various blockchain technologies, one cannot tell if the crackdown will continue, but the investors will definitely reduce if it does.

Romania

Romania is home to numerous programmers and developers who are mostly freelancers. It also plays host to many firms and businesses that are big players in the IT industry. It therefore won’t come as a surprise to anyone that it has a lot of investors. About 12% of the residents of Romania are said to be holders of at least one cryptocurrency, and guess which cryptocurrency is the most important… Bitcoin.

South Korea

South Korea is the second Asia country on this list. Unlike China, the government of South Korea is not hostile towards cryptocurrency. Most people say that the crackdown of China on cryptocurrency caused the drift of investors from the country to South Korea. South Korea is a country with eyes for the technological company, hence it plays host to lots of exchanges and cryptocurrency businesses. Most of the exchanges in South Korea are restricted to the country alone, this means that there are enough investors. As always, Bitcoin is number one on the list of the most held cryptocurrency in this coutry.

Japan

There is a large number of acceptances of cryptocurrency in Japan. It is one of the few countries that has recognize cryptocurrencies as an institutionalized means of payment. This has in some ways increased the number of investors in this country as there is little or no restrictions that stops them from engaging in cryptocurrency market transaction within and outside the country. The exchanges in Japan are known for the swiftness in which they process transactions.

CRYPTOCURRENCY TAXATION

The truth remains that most people barely know anything about either of these topics. Moreover, the two subjects represent two vast opposites terms from a cultural perspective. And in the eyes of many persons, tax law represents excessive regulations laid down by the central government agency, which are imposed on its subjects. This is in itself is a contrast to cryptocurrencies and the associated blockchain technologies which stand for a decentralized, unregulated and free society not under the control of a central power apparatus. More exacerbating is the reality that the complexity of these two spheres increases.

Where is it taxed?

The taxation of cryptocurrency varies from place to place. For example, in the United States, cryptocurrency is treated like real estate instead of being treated as a currency – it is treated as a property. It is also treated as a commodity like gold in some cases, and therefore it is subject to both the short-term and long-term capital gains tax. In most cases, it is regardless of whether it is used for the purchase of goods/services or for trading/investment.
On the other hand, countries in Europe follow a decentralized approach to the regulation of cryptocurrency. The United Kingdom treats Bitcoin like a foreign Currency. In Germany, if Bitcoin investments are held for less than one-year, German income taxes will apply. In Germany, income taxes are progressive and can be up to 45%. Even in Switzerland, cryptocurrency taxes are levied. This implies that Swiss residents will have to pay income tax, profit tax, and wealth tax on their cryptocurrency holdings.
However though, in just about all European countries as well as in Liechtenstein and Switzerland, the sales of cryptocurrencies are exempt from the Value Added Taxes.
 
A special feature in Liechtenstein is the integration of tax on wealth into income tax, as well as the principle that a source of income is either subjected to wealth tax, or to income tax. This helps to prevent double taxation. This means that every natural person with unlimited tax liability will have to declare holdings of cryptocurrencies at the beginning of every fiscal year and convert the values to their Swiss franc equivalent. More so, speculative gains from trading in cryptocurrencies are tax-free and do not necessarily have to be declared. This is not only very attractive in terms of the tax burden, but provides significant administrative relief as well.

Guidelines

As seen from the official IRS guidance, 2014; we understand that:

  • Trading cryptocurrency to cryptocurrency is a taxable event
  • Trading cryptocurrency to fiat currency like the dollar is a taxable event
  • Using cryptocurrency for goods and services purchase is a taxable event
  • Gifting cryptocurrency is not a taxable event the recipient will inherit the cost basis. The gift tax still applies if you exceed the gift tax exemption amount.
  • A cryptocurrency wallet-to-wallet transfer is not a taxable event as you can transfer between wallets or exchanges without realizing capital gains and looses, so make sure to check your records against the records of your exchanges as they may count transfers as taxable events as a safe harbor),
  • Also buying cryptocurrency with USD is not a taxable event. As you don’t realize gains until you trade, well or make use of your crypto. If you hodl longer than a year you can realize long-term capital gains they are about half the rate of short-term capital gains if you hold less than a year you realize short-term capital gains and losses.

It is therefore established that anything other than buying, holding, or transferring a cryptocurrency is a taxable event and this means you realize capital gains and losses at fair market value at the time of the event when you trade, sell, or use crypto.

How to pay

You’ll need to be prepared to pay capital gains taxes thus you will need fiat currency at tax time.
For the average Bitcoin user;

  • If you trade cryptocurrency for a good or service, it is important that you keep record of the transactions and report a fair-market value of the currency at the time of the transaction.
  • For times cryptocurrency is traded as a capital asset, either for another cryptocurrency or fiat currency (like the US dollar), you would need to keep a record and report all those transactions by using the fair-market values of cryptocurrencies in situations where one cryptocurrency is traded for another. Also, at the end of the year, you would need to report all cryptocurrency transactions and all the related gains and losses. You would then pay taxes accordingly (based on your total gains).

HOW TO OPEN A NEW ACCOUNT ON HUOBI

Huobi is one of the top cryptocurrency trading platforms with the goal of giving investors a professional, trust worthy and secured platform. Since its inception in 2013, it has been through challenges that threatened to end its prospects. The most noteable among this was the famous Chinese government clampdown on cryptocurrencies. If you are familiar with the exchange, you will know that they have at least three different websites on which they operate, the founders claim that this was their way of surviving the challenges they faced.
From the information on the website, Huobi has offices in Singapore, Hong Kong and Japan. And it has some number of departments that operates in China. Nobody knows the exact team that is running Huobi. Though the public knows that the founder and the CEO of the company is Leo Li, there is little or no information as to the evolution of the company. But this has not in any way hindered the growth of the exchange as it currently operates in a lot of countries.
Huobi provides a trading platform with a wide range of token that is currently totaled at 190. Some of the top cryptos that are being traded are Bitcoin, Ethereum, Litecoin, and Dash. It is a cryp-to-crypto exchange for now, but there are plans set in place to introduce the use of fiat currencies like the Chinese Yen and United States Dollar to the trading.
Creating a New Account
Creating a new account on Huobi is easy. You can carry out some transactions just by registration. This is unlike many other top cryptocurrency exchange platforms that require their users to go through rigorous verification processes; which of course is for a good cause.

Step 1 – Visit www.hbg.com

 
Creating a Huobi trading account is easy. The homepage is shown above, at the top right hand side of the page is the ‘Sign Up button. That is where the journey begins. But make sure that the browser that you are using is up to date.
 

Step 2 – Sign Up

 

On the sign up tab as shown above, there are two types of registration of which you are allowed to choose just one. You can either sign up with a valid phone number or with your email address. For this post, we are going to make use of the email address because it is safe. There is the ‘Nationality’ field of which will show the country that you are in. If it doesn’t, make sure you select it among the options provided. Other fields include your email and password. Leave the ‘Invitation code’ field empty if you do not have it. Huobi rewards referral from old members, the member is required to give you a particular code assigned to him only, that is why the ‘Invitation code’ field is there.
Make sure you read the ‘Terms of Use’ for this exchange platform before finally clicking on the ‘Sign Up’ button that is at the bottom of the page.
 

Step 3 – Email Verification


Once you fill the necessary information and you click on the sign up button, a tab will pop up asking you to enter your one-time authentication code. The code will be sent to your email and it is in the format of what is shown below;
Copy the code and paste it on the appropriate field on the Huobi site.
 

Step 4 – Depositing Funds


As established earlier, carrying out transactions on Huobi does not necessarily require much verification. When you log in after finishing up the registration process, you will be asked if you would like to fund your account, with options ranging from the use of fiat or digital currencies. The screenshot of this tab is shown below;
As you can see, you can make deposits using bank transfers or using standard blockchain wallet. However, the goal of this article is to get you to verify your identity. So we will have to go with the ‘Buy Now’ option. Click on the box on the ‘How to start with no digital asset?’ option and the tab below will open. Click on the ‘OTC’ (Over the Counter) option.
 
Using OTC, you you can find a prospective seller that is offering Btcoin or Ethereum for currencies like US dollars and Chinese Yen. Buying these coins is easy, all you have to do is transfer funds with the appropriate payment method. Many of the buyers do not require verification procedures, but for security purposes, I advise that you stick to buyers that require verification procedures. There are many other steps to take to complete your first trading on Huobi, they are however outside the scope of this article.

CRYPTO MINING POOLS AND HOW TO JOIN

What are Mining Pools?

 In cryptocurrency, a mining pool is a group of cooperating miners, who share their processing power over a network, they split the reward equally, according to the amount of work their contributed mining hash power.
Although mining pools are desirable to the average miner seeing that they smooth out rewards and make them more predictable, they however and very unfortunately concentrate power to the mining pool’s owner.
Miners can however choose to redirect their hashing power to a different mining pool at anytime.
Before now, mining in pools presented a huge difficulty. It increased to the point where it could literally take centuries for slower miners to generate a block. The way out of this problem was for miners to pool their resources together so they could generate blocks more quickly and therefore receive a portion of the block reward on a more consistent basis, rather than randomly once every few years.
 
Now with that said, let’s see how we can choose a good mining pool.
 

How to choose a pool:

There are a lot of things to check out before you join a mining pool. And these are some of them:
 

  1. The algorithm. The first thing you should check of before joining a mining pool is the algorithm of that pool. If you mine a coin in a pool that doesn’t support the matching code structure, you would be wasting time and money.

 

  1. The reward system is one of the main characteristics of a mining pool. A reward system can really tilt the scales of your choice. But first, there are several different ways of calculating the rewards structure and deciding how to divide it between all the miners. Each miner in the pool, where a new block is found, will get a piece of the cake. The size of that piece will be based on their individually contributed hashing power. I guess at this point I can say it is not that simple.

 

  1. Another criteria for choosing a mining pool should be the pool Fees. Before now, you must have probably already acknowledged the huge role pools are playing and that all the hard work costs them lots of money. The fees charged by crypto miners are used mainly for covering hardware, internet, and administration expenses. Here comes the fee in use. Pools keep a small percentage of each reward to pay these costs. These are usually around 1% and rarely up to 5%. Saving money from joining a pool with lower fees is not that much of a nice idea. At the end of the day you might end up earning just 99c instead of one dollar.

 

  1. Size and market share. In the crypto world, usually bigger is better. As explained earlier, big ones include more users. When their net Harsh increases the chances someone from the participants to find the next block. That is good news for you. After all, each price is separated among all miners. To sum it up, joining a bigger pool means you would have faster and repeated incomes.

 
When somebody hacks a coin’s network and hacks a pool with more than 51% market share, it actually overpowers the rest of the miners and controls the net-hash (short for network hash rate). This allows them to manipulate the speed of finding a new block and controlling the situation. They then begin to mine on their own as fast as they want, without being bothered. To prevent such invasion, also known as “51% attack”, no pool should have an overall market share of any certain cryptocurrency network. Play it safe and try to avoid such pools. I advise you to work on balancing and keeping the network of a coin decentralized.

Examples of good pools to mine with

 

  1. BTC.com

BTC.com is a public mining pool that can be joined. You can join @BTC.com
 

  1. Antpool

Antpool is a mining pool based in China. It is owned by BitMain. Antpool mines about 25% of all blocks. To join go to antpool.com
 

  1. ViaBTC

ViaBTC is somewhat new but has been around for about one year. It’s mainly targeted towards Chinese miners.
 

  1. Slush

Slush was the first mining pool, it currently mines about 3% of all blocks.
Slush is said to probably be one of the best and most popular mining pools although it’s not the largest.
 

  1. F2pool

Its also known as Discusfish. It is based in China. F2Pool has mined about 5-6% of all blocks over the past six months. Join @F2pool.com
 

The Cryptojacking Craze

What is Cryptojacking?

Cryptojacking is somewhat is new online threat that is usually embedded in architecture of a computer or mobile device. It is used by the perpetrators to mine cryptocurrency, at the expense of the machine’s resources. Cryptojacking is considered a societal menace as it affects the targeted devices in terms of the amount of energy used, the computer usage and the efficiency. It compromises the use of these devices. Cryptojacking, just like most malware attacks on devices is solely motivated by the craze for money. But what differentiates this malware attack from others is the fact that it is designed to be completely invisible, out of sight from the user. To get a good understanding of why or how cryptojacking came to being, it is important that we throw some light into the mining of cryptocurrencies.
Holders of cryptocurrencies keep their assets in crypto wallets. For a transaction to happen between two cryptocurrency holders, there is need to establish a transfer record, the record which will be entered into the decentralised digital ledger using blockchain. These transactions are processed by special computers which are responsible for the collation of data from new transactions, thereafter turning them into mathematical puzzles. But these puzzles needs to be cracked, or solved – before confirmation is reached.
The people that are responsible for solving these puzzles are called miners. Miners basically solve the puzzle, proving the authenticity of the transaction, after which the transfer will be successful. However, miners are not in any way affiliated with companies, they are independent individuals or group of people, and they are a lot of miners out there. It works in such a way that among millions of miners working on cracking a puzzle, the first to crack that puzzle is the person that is rewarded with a small token of crypto coins. Easy right? The thing is mining is not easy, the complex path taken in order to solve one puzzle requires a whole lot of computer powers working together. And the best of a single computer cannot do this. So the miners that upped their games, got more super computers.

Who are these deviants?

However, other miners who couldn’t afford super computers came up with cryptojacking. Which is directed at using other people’s computing devices (smart phones, computers, tablets, servers) without them knowing. By doing this, they are harnessing the device’s resources. By the time they are able to cryptojack various computers, they become giants in the mining sector, thereby competing at a higher level. There are no established facts as to if cryptojacking is illegal or not, but I am damn sure that you will not find it funny if your computer was crypto jacked. Cryptojackers on their own part seems not to be slowing down with their plight, in 2018, it accounted for most malware detected in computer devices. And experts have suggested that the cryptojacking craze is growing in such a rate that it will eventually become a major cyber security threat. Cryptojackers even went as far as attacking operational technological networks.

How do you stop cryptojacking?

The thing is, if you have been cryptojacked, it is difficult to know manually. Most people use the CPU usage method in computers to determine the usability of their devices, but these malwares are becoming sophisticated, able to mask themselves as legitimate processes. In fact, when your computer is cryptojacked, it becomes hard to troubleshoot it because it is somewhat slow. So one of the best way to prevent cryptojacking by blocking JavaScript on the browser you use. While this is great method, it will hinder your optimum internet experiences
Also, you can stop cryptojacking by installing security softwares. The popular security softwares includes No Coin and MinerBlock. These software functions by interrupting mining activities in the most popular browsers like Firefox, Chrome, and Opera.
 

Top 7 Daily Rules To Be Followed By Crypto Investors

The cryptocurrency capital market has continued its strides to being one of the most preferred mode of investment among small and big investors with no discrimination. The bitcoin which is the biggest crypto coin for example can be purchased to its one millionth fraction (Sathoshi), making it available at lowest of denominations in fiat currency equivalent. There have been a wide number of new investors recorded in the crypto currency world, especially with the introduction and popularity of the blockchain technology. However, one cannot deny the fact that the cryptocurrency market is as volatile as every other investment markets. As a matter of fact, cryptocurrency is more volatile as a result the unavailability of regulatory bodies. So as an investor, you can go to sleep and the next minute you wake up, you find out that your investment have either taken a bullish rise or a bearish depreciation. It is therefore imperative that while investment in the cryptocurrency market is a good investment, some rules have to be followed by investors. And since the investment market is an everyday thing, these rules are dubbed daily rules. Without wasting much time, let’s get familiar with the rules.

Invest what you can afford to lose only

This is the number one rule of investment. Most experts in cryptocurrency say that once they invest money into a crypto coin, they virtually make themselves believe that the money is gone forever.  Although they make sure they get their money back, they use this act to ensure that they are investing what they are willing to lose. The dips in the prices of cryptocurrencies are affected by many factors, most of which are out of control. So it does not entirely depend on how smart you are with investment. Bugs, hacks and government regulation can affect the prices of coin. The bitcoin crashed when there a hack on the South Korean internet servers.

Diversify your investment

Just as there is a potential to earn more when you have high investment in a coin on a bull market, there are equal potentials to lose your investment when that same coin enter a bear market. The best way to invest and cash out big in the cryptocurrency market is to diversify your investment, spreading your earnings across multiple coins. Data shows that when the coins leading the market capital rises, it simultaneously leads to the rise of other crypto coins.

Don’t be greedy

The whales of the cryptocurrency market are where they are because they know when to call it quit on profits. Don’t be greedy; consider calling it a profit after 30% increase at most. Some investors who are blinded by greed keep their investment for too long and end up losing all their investment. Have it at the back of your mind that bitcoin went from $20,000 USD to $3,400 USD in  one year.

Put a goal tag on that investment

Putting a goal tag on your investment prevents trigger sales. Such that when you invest in a coin and you find it taking a dip, you do not go into panic and sell. You can categorize your investments into long, short and medium investment plans. Some coins takes up to 20% dip for some given period, and before you know it, they are on a 50% bearish rise.

Learn from mistakes

Luckily for you, you do not have to learn from your own mistakes. The crypto market is like a cycle of events, everything that you are doing on a daily basis have been done by other people. So while you are keeping an eye on that investment, go online and search for materials, learn from the experience of others. And if you happen to make mistakes, learn from them.

Pay attention to the price of Bitcoin

Most altcoins are affected by the price of bitcoin. A rise in price of bitcoin leads to a reduction in price of these altcoins. And a dip in price of bitcoin does the reverse on them. The best time that altcoins rise in price is when the bitcoin is stagnant in price.

Keep a tab on the team management of the coin you are investing in

Always make sure that you are in tune with the updates of the management teams of the coin that you have your investments in. Most coin management teams operates account on Git and other social platforms.

BEST GUIDE TO BECOMING A MINER

 
 
For beginners, Bitcoin mining is an energy-intensive process of introducing new Bitcoins into the ecosystem.
Simple? No. Don’t jump into conclusion
I want you to view it as a mode of creating new currencies by your government. But unlike any government in the world, Bitcoin supply is fixed and regulated by laws; Laws like that if mathematics that can’t be broken overnight.
Wait, it is also not as easy as banks printing new currency notes. Instead, a lot of energy and work, and energy intensive, is put into this and is carried out before producing a single Bitcoin, which is called proof of work.
Considering the truth that Bitcoin cryptocurrency is based on blockchain technology, we strongly advice you to understand the concept of blockchain. Because not having an understanding in Bitcoin and blockchain, then this article might not really be of great help here.
 

Step 1 – Get The Best Bitcoin Mining Hardware Purchasing Bitcoins


In some cases, you may need to buy some mining hardware with bitcoins in them. Amazon is one of the best parts where machines could be bought to mine Bitcoin.
How to start Bitcoin mining
To start mining cryptocurrency coins, you will need to get bitcoin mining hardware. In the founding days of bitcoin, it was possible to mine with your desktop or high speed video processor card. Today that’s a past stuff you can’t write about.
Bitcoin mining with anything lesser than the best mining hardware will consume more in electricity than you are likely to earn. It’s important to mine cryptocurrency/bitcoins with the best of the best bitcoin mining machines built specifically for that purpose.

Step 2 – Download Free Bitcoin Mining Software

After hitting on a good mining Bitcoin hardware, it’s time to download a special program used for Bitcoin mining.
Two most popular mining machines are CGminer and BFGminer which are command line programs, these are many programs that can’t be used for Bitcoin mining.

Step 3 – Join A Bitcoin Mining Pool

Just after Bitcoin have been mined then it is recommended to join a mining pool. These Bitcoin mining pools are groups of Bitcoin miners who are working side by side to solve a blockchain and share the gains.
Bitcoin mining pool without a mining machine, you might just start mining bitcoins for over a long time and never get to earn any bitcoins.
 

Step 4 – Set Up A Bitcoin Wallet

Coming right up after joining a Bitcoin mining pool, the next is to create a Bitcoin wallet to mine or receive Your Bitcoin. Copay is could be referred to as the preferred Bitcoin wallet and it functions on several different operating systems.
Delivery of Bitcoins is done by using unique methods such as addressees sent to your Bitcoin wallet. This step actually is the best so as to secure you from threats by enabling two-factors or being offline on a computer that isn’t connected to the internet.
For help in choosing a Bitcoin wallet, to be able to buy and sell your Bitcoins, then we recommend:
SpectroCoin: An European exchange with the ability to be able to buy with credit cards
Kraken: This being the largest European exchange.
Buying Bitcoin Guide: This guide helps in showing you a place to do your Bitcoin exchange in your country.
Local Bitcoin: This service makes room for you to search for people in your society willing to sell bitcoins to you directly. But we advice you should be careful!
Coin base: This is a good place to begin when  bitcoins are being bought. We advice you do not keep any bitcoins in their service.

Step 5 – Stay Up To Date With Bitcoin News

Being prompt on news could be an aid when mining Bitcoin, that is if you are interested in making profits. In having a general knowledge in information then we would recommend WeUseCoins news section.
In there is the Bitcoin Mining News segment. And these are the 5 most recent articles:
– Is it Possible to Achieve Compound Growth in Cloud mining and Bitcoin Mining Investment?
– How To Get Started With Bitcoin Gambling?
– The Digital Gold That is Having a Love Affair With Online Gambling Sites.
– How To Mine Smartcash?
– Two Reasons All Bitcoin Users Should Install a VPN Right Now.
– Decentralized casinos expected to take over the online gambling industry.
 

Cryptocurrency Mining Software

Basically, mining software profoundly helps to deliver the mining hardware’s work to the rest of the Bitcoin network and to receive the completed work from other miners on the network. Moreover, the mining software helps to monitor this input and output of your miner while also displaying statistics like the speed of your miner, hashrate, fan speed and the temperature.

Best Cryptocurrency Mining Software
CGMiner

CGMiner software is reputed to be one of the best mining software out there. CGMiner offers a myriad of interesting features and active community support. CGMiner is coded in C; this implies that it is compatible with virtually all operating systems. In this light, CGMiner is a cross-platform Bitcoin miner that supports Windows, Mac OS X, Linux and several other platforms. CGMiner is equally compatible with both FPGA and ASIC hardware,

it is noteworthy that the software is a command line application that offers these features: full monitoring, fan speed control and remote interface capabilities. It operates via a simple command line interface and supports multiple mining pools and devices. It is designed basically to be used with hardware mining devices. However, you can also use any of GPUs connected to your machineDownload your CGMiner here

Download your CGMiner here:

Also, CGMiner offers a scalable networking scheduler that is capable of scaling to hash rate of any size without network delays. It will also interest you to know that the software strictly kicks against stale work submission on new blocks and supports multiple pools with intelligent failover mechanisms. Again, there is a provision made for on-the-fly management of most settings and self-detection of new blocks with a mini database for slow or failing longpoll scenarios. Submissions can also be cached during transient network outages.

Note that on the first run, CGMiner will require you to enter the URL, username and password (if the need be ) for your mining pool; it will automatically detect any hardware you have connected such as an ASIC device. The layout seems easy and simple though you have to work via the command line.

Bitminter

Bitminter Just like CGMiner is another cross-platform program with an easy-to-use UI. The software only works with Bitminter pool. It allows preinstalled settings. The software is one of long-standing reliable services out there. The Bitminter client has an utterly clear graphical interface; he or she can equally with GPUs and external ASIC devices. With a simple dial on the left, you have your hashrate displayed in MH/s. Kindly click ‘Engine Start’ to kick-start the process of mining.

It is noteworthy that you can check the progress you have made at any time by reviewing the ‘Stats’ section which spells out important information like the number of proofs of work accepted or rejected by the server and the amount of time spent working. Of course, you can reset these values at any time.

Also the Bitminter client possesses a text console at the bottom of the window which offers him pool when a device is connected or when it has successfully connected to a mining pool. As stated earlier, the software has been designed primarily to be used with Bitminter’s mining pool. This means you’ll need to create an account via the website.

BFGMiner

If you are on the look-out for a customizable Bitcoin mining software, BFGMiner is a viable option. It is written and coded in C with a modular FPGA/ASIC miner with vital features like dynamic clocking, monitoring and remote interface capabilities. It will interest you to know BFGMiner also embraces built-in stratum and getwork proxy server.

Moreover, its heavily threaded code gives out work retrieval and work submission to separate threads such that working services are not hindered. The software enables ‘getblocktemplate’ decentralized mining protocol (without proxy). You can also preemptively facilitate before the completion of existing work. Note that BFGMiner has a watchog thread that can restart inactive threads .Note that it doesn’t crash the machine if they are not responsive

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The software has on its display: the summarized and discrete data statistics of requests, accepts, rejects, hw errors, efficiency and utility. The program can monitor device temperature if there is hardware support. BFGMiner possesses many device drivers for Bitcoin: Ztex’s FPGA boards, Drillbit Thumb and Eight and Twinfury USB stick. You can also find device drivers for scrypt like GAW War Machine and ZeusMiner units.

Miner-Server

If you are not interested in investing in expensive ASIC (Application Specific Integrated Circuit) miners, you can settle for Miner-Server. When starting out with Miner-Server, you can join a mining pool that also has other users such that the there is division of payouts among all the participants. This service provide you with numerous packages with a base price of just 0.14. With respects to the package you select, you can obtain the hashing power ranging from 250GH/s to 600, 000GH/s. Note that the duration of all the packages is one year. You are at liberty to check your earnings and other details anytime by logging to your account .

MultiMiner
MultiMiner supports intuitive graphical interface, adopt mining strategies and manage multiple devices easily. It plays to awesome features that are ideal to newcomers. Multiminer is cross-platform. However, there is a need for you to install additional software to get it working on macOS and Linux.
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Cryptocurrency Mining Companies

The breath-taking advent of cryptocurrency comes with a number of cryptocurrency domains one of which is the cryptocurrency mining industry where miners solve complicated mathematical problems with a view to adding a particular block to the blockchain and thus having the block reward in the form of a cryptocurrency. By way of defining it, cryptocurrency mining refers to a process whereby sundry forms of cryptocurrency are verified and added to a digital ledger. Cryptocurrency mining is equally known as Bitcoin mining or Altcoin mining.
Every time a cryptocurrency transaction is undertaken, it is the cryptocurrency miner that is charged with the responsibility of ensuring the validity and authenticity of information and updating the Blockchain with transaction.
More importantly, the cryptocurrency mining entails an acute competition with other miners in proffering solutions to the complicated mathematical problems with cryptographic hash functions that are related with a block having a transaction info.The first miner that succeeds in identifying the code will be given a reward, that is, accorded the ability to authorize the transaction. Cryptocurrency miner receive small amounts of cryptocurrency as reward for the service provided. In the light of the stiff competition, the need for a cryptocurrency miner to have a computer with a specialized hardware cannot be overemphasized. It is noteworthy that constant supply of power and low temperature are suitable for mining. Hence, locations with these vital factors are deemed geographically suitable for cryptocurrency mining
Leading Cryptocurrency Mining Companies

Genesis Mining
This mining establishment came to being in 2014. It is reputed to be one of the world’s leading and reputable mining companies. It is noted for its high degree of transparency and excellently resourceful customer service. The company is steeped in integrity and reliability, a sterling quality that ultimately endears it to its many users. It will interest you that the potential users to know that an Israel based company, “Spondoolies Tech” which specialises in the production of all kinds of cryptocurrency mining equipment forged a working relationship with the Genesis mining. The Israel based company provided the Genesis Mining with mining rigs. They provided a wide array of offers from 50GH/s to 15,000GH/S.
Hashix
This Bitcoin and Ethereum cloud mining company is loved by all and sundry given the fact it is simple and user-friendly. The company offers an easy access both to newcomers and experts, affording them the opportunity to maximise some profits. The company provides a refreshingly different method of purchasing a hash power to the user without having to fret about the hardware and software requirements for the mining. Noteworthy is the fact that the entire mining installation is carried out by a group of vastly experienced professionals in the cryptocurrency as well as the financial sector. Once the users signs up for the hash power in the company, the withdrawal of the profits can be done periodically. The minimum is 0.002 for Bitcoin and 0.03 for Ethereum.
 
Bits2u Inversions S.A.C
It is one of the most legitimate cloud mining service provider company stationed in Peru armed with approvals and registrations from SUNAT and SUNARP. In addition to the registration with the financial bodies of the country, the company possesses RUC and DUNS members. It will interest you to know that it is one of the first fully automated online systems which is geared towards offering a number of investment alternatives to its users so as to augment the return on investments. The outlet equally provides 10% referral bonus to its users.
Bitforz
This cloud mining service is regarded as one of the safest systems across the world. It is strategically located in the industrial zone of Kutaisi, Georgia. A wide array of Bitcoin mining hash powers is available with the purpose of offering the cryptocurrency community the easy access to the mine Bitcoins.
Nuvoo Mining
Nuvoo Mining is a Canada-based cloud mining services that concern itself with the provision of cloud mining, dedicated miners and colocation miner services. It equally makes provision for a live customer support in French and English Languages.
IQ Mining
The mining company sources its hash power for some of the large data centres spread across the world, a calculated plot to lower the cost of electricity needed to mine cryptocurrency.
Hashing24
The company sets out to offer Bitcoin mining contracts to the new customers who are experiencing Mining for the very first time.
IronVault
This company is roundly regarded as a one-stop shop for all the professional cryptocurrency mining solutions. They also offer services to the newcomers to the Blockchain technology.
Bitfury
This mining company concerns itself with the production and development of the hardware equipment needed for mining. Recently, it opens its own Bitcoin mining data centres in Georgia. The company’s reputation is that of quality and dependability.
CoinMiner
It greatly helps individuals and businesses to establish mining e-commerce. The company is steeped in integrity and dependability, a place users bank on anytime. It is structured in a way that fosters its high degree of effectiveness.