Using A Hosted Bitcoin Mining Service

A better approach might be to use a service that hosts a mining rig for you. You pay for the machine and the electricity but everything else is taken care of. You can see your ROI via a dashboard and even work out a breakeven point. Here is an example from Compass Mining.

Summarising the process for using a Bitcoin Mining Hosting Service (referencing the tweet above).

Purchase a mining rig; note these are in short supply cost ~$9,000

Choose where you Miner is hosted & pay for the electricity – $250 per month in this example

Connect to a Pool to monitor revenue from block rewards & transaction fees; set a wallet to receive them

Miners also earn fees paid by the sender of each transaction associated with the blocks they attempt to add to the blockchain, but those are of negligible value compared to the block reward. 

Consider a block as aggregated transaction data, miners validate the accuracy of each transaction and for their efforts, they are rewarded with coins. So miners provide the double function of settlement and issuance. 


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