Digital Miner: A look at the cryptocurrency industry
Since the emergence of cryptocurrencies, the world has witnessed a rapid increase in interest in digital assets and blockchain technology. However, the process of mining cryptocurrencies, especially bitcoin, has always been fraught with a number of challenges, ranging from the need to purchase expensive equipment to high energy costs. But with the advent of the digital miner concept developed by GoMining, the traditional view of mining is undergoing a significant change.
A digital miner is not just a virtual asset, but a non-fungible token (NFT) tied to real computing power, which opens new horizons for bitcoin mining. Let's delve deeper into this innovative technology, break down its benefits and the opportunities it offers.
What is a digital miner
A digital miner is an NFT backed by a real hash rate, which is the processing power used to solve the complex mathematical problems required to validate transactions on the blockchain and create new blocks. Each digital miner has a certain power, measured in terahashes per second (TH/s), and energy efficiency (W/TH) that allows it to generate revenue in the form of bitcoins. Owners of these miners are rewarded daily for mining cryptocurrency, while paying energy costs that also depend on the characteristics of their device.
Unlike traditional mining rigs, digital miners do not require physical equipment placement, maintenance or cooling. This greatly simplifies the process of entering the world of mining for a wide range of users, eliminating the need to purchase and set up specialised equipment.
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Who is behind the creation of digital miners
GoMining, formerly known as GMT, is a developer and operator of digital miners. Since its founding in 2017, the company has been actively developing infrastructure for bitcoin mining, operating nine data centres with a total capacity of over 350 MW. In 2021, GoMining presented the concept of NFT miners in its white paper, which was received with great enthusiasm in the crypto community.
GoMining cooperates with such giants as Binance Pool and Bitmain, and is a member of the Bitcoin Mining Council, an organisation that brings together the biggest players in the bitcoin mining market. The availability of NFT miners on popular blockchains such as Ethereum, BNB Chain and The Open Network (TON) confirms the company's seriousness in the development of digital mining. In addition, integration with the Solana blockchain is planned for 2024, further enhancing the user experience.
How a digital miner works
The basic idea behind the operation of a digital miner is to tokenise the real computing power that GoMining data centres provide. This process is carried out using the Liquid Bitcoin Hashrate (LBH) protocol, which operates on a similar principle to Liquid Staking. The owner of an NFT miner is entitled to a share of the hashrate and, accordingly, a reward for mining cryptocurrency. However, unlike traditional staking, where tokens can be exchanged for network currency, a digital miner provides the opportunity to earn bitcoins directly through the mining process.
Tying NFT to real power makes a digital miner not only a virtual asset, but also a full-fledged bitcoin mining tool. This allows users to participate in mining without having to buy and set up expensive equipment, thus providing access to cryptocurrencies to a wider audience.
Diversity of capabilities: collection and functional value
Digital miners have a dual value: they serve as both a tool for cryptocurrency mining and a collector's item. Each NFT miner has unique characteristics that include not only processing power and energy efficiency, but also visual elements such as the case, display, buttons, and other details. This collectible component makes each digital miner unique and therefore increases its value in the NFT market.
This dual value makes digital miners an attractive asset for investors because they can generate income not only through mining, but also by increasing their market value depending on rarity and other unique characteristics.
Mining opportunities: solo and pools
Users of digital miners can choose between two main modes of operation: solo mining and participation in mining pools. In the solo-mining mode, NFT owners receive a daily reward for owning a token, which is the main and easiest way to earn money from a digital miner.
For those who want to increase their earnings and are ready to take on the challenge, there is the option of participating in mining pools. Owners of miners with 10 TH/s or more can join pools and compete for rewards with other participants. The GoMining app features a "Game" section where users can create their own mining pools, recruit other players and compete for the right to mine the next block. This adds an element of gamification to the mining process and allows you to significantly increase your income.
How to buy a digital miner
Purchasing a digital miner is a simple and affordable process that can be done both on the official GoMining website and on popular NFT marketplaces such as OpenSea and GetGems. To purchase, you need to register on the platform by entering your email or connecting a cryptocurrency wallet, such as MetaMask or TON Wallet.
Once registered, users can create an NFT miner by selecting its parameters such as processing power (from 1 to 5000 TH) and energy efficiency. These parameters directly affect the cost of the miner. For example, a 1 TH miner may cost $29, while a 5,000 TH device may already cost $115,965. Payment can be made using various methods, including cryptocurrencies (USDT, TON), Google/Apple Pay, bank cards, as well as through the payment systems Binance Pay, Gate Pay and Coinbase.
Predicting profitability and improving miners
One of the unique features of the GoMining platform is the ability to predict the profitability of your digital miner. Based on the current or expected bitcoin price, the platform provides calculations of potential profits. For example, at a bitcoin price of $70,000, a 1 TH miner can generate about $1.70 per month for the owner, including electricity costs. Paying for services with GOMINING tokens can further increase net profit by providing a 10% discount.
Users can also improve their digital miners by increasing their power and energy efficiency. This feature is available through a special section on the platform, where you can select new parameters for your miner and pay to change them.
The future of digital miners
With the development of technology and growing interest in cryptocurrencies, digital miners will certainly play an increasingly important role in the market. Integration with new blockchains, such as Solana, and expanding the functionality of the GoMining platform will open up new perspectives for investors and users. Digital miners could become the new standard in the world of cryptocurrencies, offering an easy and affordable way to participate in bitcoin mining without the need to own physical equipment.
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A digital miner is not just another innovation in the world of cryptocurrencies, but a revolutionary solution that combines the capabilities of NFT and real computing power. This tool opens the doors to the world of mining for a wide audience, making the process of bitcoin mining more accessible and attractive. In the future, such miners may become an integral part of the cryptoecosystem, providing users with new opportunities for earning and investing.
