What are the benefits of mining crypto?
In: Technology
For many crypto currencies, the miner (or their pool) who finds a valid solution to a block is entitled to send the block reward plus any transaction fees included in that block to an address of their choice.
When you mine, you earn crypto, and can then wait for it to moon, or exchange it for dollars
It takes processing power and energy to mine. You receive crypto as a payment for this. short term and on a small scale its not a good deal. long term if the price keeps rising you can make a fortune.
Statistically they’re very slim. Essentially you’re spending time and electricity participating in a lottery against millions of other computers hoping to hit the jackpot. If you do hit the jackpot you’re awarded with the transaction fees involved as well as the right to create some number of crypto from the void and give to yourself.
It’s generally not a very good bet given the odds of you winning by yourself are very slim, but it’s not impossible if you want to spend that time and electricity.
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