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What is a mining pool?

A mining pool is a group of people who cooperate with each other in the exchange of Bitcoin for a particular asset. The advantage of having a mining pool is to improve your mining profit as we are able to share electricity costs. Mining fees are paid by the pool to the group. For example in case of Ether you get 4% fee which is paid by the pool as a share.

On the same token we also have Bitconnect, a platform for Ethereum based asset investment. The fees are paid as a share by the pool but in case they are less and your transaction is higher in the transaction fee.

Do I need to have coins in a wallet?

You will need to setup your wallet for your investment. You can use your existing wallet only or create a new wallet from scratch. You will need to generate a wallet address. Once it is received in the chosen wallet you will need to use your wallets to claim the coins.

Is it dangerous to mine cryptocurrency?

Most miners do not run in extreme temperatures. Mining cryptocurrencies will definitely get you some rewards as long as you do it in moderation. Miners use huge power which in average does not contribute to any environmental problems as long as your electricity consumption is lower than 40 watts.

What is a blockchain?

The blockchain is an internet-based ledger with the objective of keeping all transactions and data of computer systems, programs, and websites in a verifiable single entity. This single entity is then accessible to everyone. The only point on this ledger you can read is its header which shows the version of the blockchain, block height, and the size of the last block. This means you can see what transactions have occurred on the blockchain without having any special access to the information on the blockchain. Transactions are recorded on the block chain with the help of a hash function and it is up to the miners to try to find a solution with this hash function.

How is mining cryptocurrency profitable?

All the miners are rewarded with the currency for mining as well as for building blockchain and finding the algorithm to solve the block. The profit per minute (PPM) is the number of bitcoins the currency is earning based on your activity. Mining bitcoin on your PC is profitable in some cases even more so than on a cloud mining contract. If you already have a miner, it will do most of the work for you. You only need to use your graphics card to put the computer to work

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