Mining cryptocurrency is a popular method for earning money with blockchain technology. While it can be a reliable way to earn cryptocurrencies, some people may find it difficult and complex. Cloud mining is a newer method of mining cryptocurrency that aims to be more accessible and convenient. But what exactly is cloud mining, what are the benefits, and how does it compare to traditional cryptocurrency mining?
Simply stated, crypto mining means solving complex mathematical formulas to create crypto coins or tokens, by means of hardware or software.
With crypto mining, everything is documented on the blockchain. Everything is collected in a ‘block’, which then forms a chain of blocks in line with each other. You must remember that additions can only be made behind the block. Past transactions will always remain a part of the Blockchain and cannot be changed.
Incidentally, not only are the transactions stored but also refers to the previous block (the hash): a difficult to crack the mathematical puzzle.