Understanding The Zcash Mining Procedure

January 19, 2018 Business & Finance

Mining of almost all cryptocurrencies is done by using the blockchain technology which ensures decentralization and freedom from domination and control by any central authority or bank. In this process, a network of computers spread across the world has copies of every single transaction and changes which are updated in real time. When this network authorized a transaction, money is quickly, securely and irreversibly transferred and added to the next block waiting to be developed.

Understanding The Zcash Mining Procedure

Zcash is fast becoming one of the leading cryptocurrencies across the globe. Zcash mining takes place on similar lines as that or the most popular and most traded cryptocurrency, Bitcoin. Choose the best Zcash mining system for best outcomes. You will have to do some research to zero in on the best.

What Makes Zcash Unique

Zcash represented by ZEC which is the symbol of its digital currency has been developed from Bitcoin but with the addition of an anonymity feature. Quite contrary to Bitcoin transactions which are transparent and can be seen by anyone, Zcash transactions can be made without revealing the balance of the wallet. This is the anonymity aspect that makes Zcash stand apart from other digital currencies. It is a hugely popular currency with a high rank of 17 among all cryptocurrencies based on its market cap which is around $500 million currently.

Zcash is a mature coin already but it is yet to reach the size and value of Bitcoin and Ethereum chains. That’s why mining Zcash can be profitable today. When it was introduced, Zcash was a rage as it helped miners earn huge profits. Initially, the price of one Zcash coin was equivalent to 3000 Bitcoins.

More About Mining Zcash

Zcash mining responsibility is solely that of the builder and that is an aspect that every miner must remember. There are risk elements such as extreme heat generation, high power consumption and the like. Also, every mining effort does not guarantee any reward. Profits can be low or absent due to major fluctuations in exchange rates and performance issues. It can also be adversely affected by the level of difficulty in mining.

However, there are miners who have been able to mine Zcash profitably and consistently. Mining Pool Hub is the place where many miners are mining Zcash with a good degree of success. Other coins can also be mined through this resource but it may involve downloading of other types of software that are compatible with the coins to be mined.

What Are the Requirements?

You can do Zcash mining on your personal computer but experts recommend using personal computers only for learning purpose and not for actual mining. It is important to use regular mining systems that can deal with the massive amounts of heat generated during the process. Dedicated mining systems can also assure profits which a PC cannot.

A strong video card is necessary for profitable and best Zcash mining experience. Video cards that are more than a year old are quite useless and unlikely to deliver any positive results. Register with a reputed and proven mining pool to improve chances of success. Next, download the most recent version of the software that has proven results for successful mining of Zcash. Also, it should be a version that’s most appropriate for your computer.

Based on the power of the card being used, the miner can choose a default program for mining Zcash. It will be some time till positive results are visible which can be viewed on the Dashboard. If there are some coins accumulated and they have to be withdrawn, then the user will have to click on the wallet and remove the cash. It will be diverted to the wallet after the amount and wallet address is verified.