What Is Crypto Mining? Overview, Benefits, & Risks
This mine looks more like a server farm.
© Photocreo Bednarek/stock.adobe.com
You’re likely already familiar with gold mining, but what is mining for cryptocurrency? Crypto mining is how some cryptocurrencies—like Bitcoin—process transactions and mint new tokens. Mining for cryptocurrency is, by design, like digitally mining for gold.
Let’s explore the depths of this proverbial mine to help you decide whether to delve deep into the digital trenches as a crypto investor or remain safely above ground.
What is crypto mining?
Cryptocurrency mining uses specialized computing resources to add blocks to a proof-of-work (PoW) blockchain. Adding a new block to a blockchain validates and records the latest batch of transactions and…
