How to Start Bitcoin Mining Using a Processor (CPU)

Interested in mining bitcoins (BTC), and hesitating to start with a processor (CPU)? Know that it is entirely possible to mine Bitcoin using your computer’s processing power. In reality, it’s an easy way to get started in cryptocurrency mining, as you don’t need expensive hardware or special knowledge. In this article, we will guide you through your first steps in CPU mining.

What is CPU mining?

Mining on a CPU is a technique that allows you to use one (or several) processors to mine cryptocurrencies. Here, the CPU is used to solve complex mathematical equations to add new blocks to the blockchain.

This process requires considerable computing power. That’s why you need a powerful processor capable of performing operations quickly and efficiently. The more powerful the CPU, the higher the probability of being rewarded.

In reality, processor mining is an effective way to earn crypto assets for those who don’t want to invest a lot of money in hardware and electricity.

However, due to the complexity of the SHA-256 encryption algorithm, most CPUs are not powerful enough to mine bitcoin profitably.

Nevertheless, mining using a processor can be an interesting and educational experience.

Which processor to choose for Bitcoin mining?

Selection criteria

If you want to acquire a new processor to mine BTC, you should pay attention to the following parameters:

• Clock speed: it determines how quickly your device processes information. The higher this parameter, the higher the hashrate will be as well, allowing you to optimize the profitability of your CPU.

• Power consumption: be very careful that electricity-related costs do not exceed your income. Prioritize equipment that consumes little. This reduces costs and thus increases profits.

• Price: generally, processors that offer the best performance are more expensive. However, you can indeed find a good CPU at a reasonable price according to your budget.

• Number of cores and threads: the more cores and threads there are, the faster the device processes tasks. In fact, cores allow the work to be distributed among several calculation units. Some processors can have more than 8 cores.

• Cooling system: when a CPU operates for a long period, it generates a lot of heat. This can damage electronic circuits and decrease the device’s performance. A good cooling system can optimize the processor’s efficiency and increase its lifespan.

• Compatibility: the hardware you choose must be compatible with your motherboard, operating system, and the mining software you want to use. If you already have a mining rig you want to optimize, it must also support the rest of the system.

The best CPU mining rigs on the market

If you’re struggling to choose from the plethora of CPUs on the market, the following recommendations should help you.

However, please note that the market evolves rapidly. Therefore, the elements of this table may lose their relevance over time.

What are the steps to mine bitcoin with a CPU?

To mine BTC using your processor, follow these steps:

1. Buy a processor: first, determine your profitability and hardware specifications needs. Then, based on your budget, order the equipment you are interested in from sites like Amazon or directly from manufacturers. Once the package is received, connect the equipment to your computer.

2. Download and install mining software: choose mining software compatible with your CPU. In reality, you have several options, including CGMiner, MultiMiner, and Awesome Miner.

3. Configure the software: enter the necessary information, such as your wallet address and the mining pool you want to work with. You have a choice among several pools, such as Binance Pool, SlushPool, AntPool, and many others.

4. Start mining: press the “Launch” or “Start” button and your processor will be used for mining.

5. Monitor progress: you need to track your system’s performance. This will allow you to ensure everything is working correctly.

What are the advantages and disadvantages of CPU mining?

Advantages

Mining with a CPU has some advantages. Indeed, this practice is:

1. Affordable: CPU mining is one of the most accessible ways to mine cryptocurrencies. You don’t need specialized hardware or pay high electricity bills.

2. Easier to set up: configuring a processor for mining is relatively easy compared to specialized equipment such as ASICs or GPUs dedicated to mining.

Disadvantages

Processor mining also has a number of drawbacks, including:

1. Lower hashrate: CPUs offer much lower hash rates than other mining equipment. This means it will take much longer to mine a single block, resulting in lower rewards.

2. More vulnerable to 51% attacks: carrying out this type of attack requires fewer resources on a processor than on a graphics card or an FPGA card, for example.

3. Obsolete technology: processors are now outdated and ineffective when it comes to mining on the Bitcoin protocol. ASICs and GPUs are currently more widespread. These offer much higher rewards.

Is mining BTC on a CPU profitable?

In reality, mining Bitcoin with a processor is rarely profitable. Using this device offers very low gains compared to specialized equipment like ASICs, FPGAs, or GPUs.

Indeed, CPUs are not designed for intensive work of this type. As a result, they can quickly reach their limits in terms of hashrate and energy efficiency.

To assess the profitability of your setup, here are the factors you should consider:

• Energy costs;
• Equipment costs;
• Current BTC price;
• Maintenance fees;
• Network difficulty;
• Block reward;
• Software costs.

If your total expenses exceed your gains, we recommend either turning to more suitable hardware (GPU, ASIC, or FPGA), or mining a less demanding cryptocurrency like Monero (XMR).

Conclusion

Bitcoin mining with a CPU is an interesting solution for small budgets. However, it is far from being as lucrative as mining with a GPU or an ASIC. By understanding the basics of mining and continuously monitoring your performance, you will be able to determine if this practice suits you or not. That said, this technique can be profitable if carried out with the best tools and the right configuration.

La Rédaction C.

L'équipe éditoriale de Cointribune unit ses voix pour s’exprimer sur des thématiques propres aux cryptomonnaies, à l'investissement, au métaverse et aux NFT, tout en s’efforçant de répondre au mieux à vos interrogations.