Until quite recently, bitcoin mining was mostly done by massive computers that can run complex algorithms. These computers are responsible for the constant issuance of new bitcoins, the confirmation of new transactions on the blockchain network, and the security of processing new coins.
But now, as technology is moving forward at an unstoppable pace, new applications make bitcoin mining approachable for anyone who holds a smartphone. And while the actual technology behind bitcoin mining is complex, using a PC or mobile phone to mine cryptocurrencies is a very simple process.
Bitcoin Mining – How Does it Work?
Simply put, bitcoin mining is a process of adding new transaction records to the public ledger. This process will continue until the maximum supply of 21 million bitcoins will be mined, which is estimated to be completed at around 2140. At the time of writing, 18,559,300 bitcoin were already mined, which leaves a total number of 2,440,700 bitcoins to be mined.
Meanwhile, the profitability of the bitcoin mining process is highly affected by the cost and volume of transactions in the blockchain network. Evidently, the bitcoin hash rate has hit a new all-time high of 162.263 million TH/s on October 18th, which shows the high correlation of bitcoin price and hash rate (the hash rate measures of the processing power of the bitcoin network). As a matter of fact, it is very likely that the price of bitcoin follows the bitcoin hash rate.
In the past months, there has also been a sharp rise in mining difficulty, which is a measure of how difficult it is to solve complex algorithms and mine new coins. The rise in mining difficulty comes at the same time when bitcoin trades above $19,000, its highest price in the past two years.
Mining Bitcoin on a Mobile Device
Basically, bitcoin mining on a mobile phone is easy – all you need is a smartphone and a bitcoin mining app that uses your smartphone’s CPU to mine bitcoins. Once you have found a reliable mining app, you essentially give them the permission to use the CPU power from your mobile phone in order to mine bitcoins. The mining app runs in the background, and you receive rewards for it.
With that in mind, there are some factors to take into consideration. First, some bitcoin mining apps might damage mobile devices. Apple, for example, banned on-device crypto mining apps on the Apple store in 2018. However, since then, many bitcoin mining apps made mining possible with no battery or CPU drainage. Secondly, bitcoin mining is not yet possible on any mobile phone, so it’s advisable to check with the mining app first if your phone is supported. Lastly, some mining apps provide users with ways of figuring out the speed of bitcoin mining on a mobile phone and the estimated mining profitability. This is a great tool to understand the profitability and determine if it’s worthwhile for you to use the app.
The bottom line
Mining bitcoin on a mobile phone is certainly possible. However, do not expect to get rich from this as it is more of an extra way to make passive income by using your smartphone as a tool. One thing is certain in this case, securing your mobile phone is a necessary action. When you turn your mobile phone into a mining rig, you have to secure it with every possible security feature.