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Ottoshoop mining bitcoins

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Legends differ, but some have it that more than , men lined up in the flat, arid scrubland that characterizes this part of the North West province, each clutching a sharpened plank with a number painted on it with which to stake his personal little el Dorado, or claim. Such was the gold fever at the time and so many were the punters hoping to strike it rich that Ottoshoop had seven flourishing honky-tonk hotels on Commissioner, its main street.

To house all the miners, shopkeepers and their families, magistrate Otto commissioned surveyor Gilfallen to plan a proper town. They chose as street names for the centre of town Commissioner-, Myn-, Pretorius-, Market- and Church street, with Commissioner street being the route to Johannesburg. All the plots were sold within a few months. Then irony struck: in this dry, arid scrub-land that borders the Kalahari desert, Otto's hope literally drowned in water.

As the original seTswana name hinted, the town sat on top of what some old-timers describe as an underground river that is 25 kilometres wide in parts. During the summer rain season, the water level rose to fill every the mine shaft and pit with water faster than it could be pumped with the biggest pumps money could buy — then and now.

President Kruger's whimsey to name a town after magistrate Otto still lives on in the vibrant city of Johannesburg. When news reached the flooded community of gold diggers in Ottoshoop that prospectors were literally hacking gold nuggets out of the rocks on newly found gold reefs in Barberton 's Sheba Mine and on the Witwatersrand, Ottoshoop emptied almost overnight as the miners strapped their corrugated hotels and tent-dwellings onto ox-wagons and trekked down Commissioner Street to start Johannesburg and expand Barberton.

As more and more prospectors arrived, a vast tented city burgeoned along the main reef of the Witwatersrand. Rising levels of crime and disease called for a town to be built quickly, and the pragmatic government decided to dust off Gilfallen's plans for Ottoshoop's to use as the blueprint for Johannesburg. They decreed only one small change to the plans: with no love lost between the taciturn President Kruger's government and the immigrants, the President instructed that the town's blocks must be made shorter in order to create more street-corner shops, which could be taxed, as recorded by T.

Bulpin in Storm Over The Transvaal Ottoshoop is the last town to restock before camping at the Wondergat, a large dolomite sinkhole that forms the deepest natural hole in southern Africa. Dive schools used it to train advanced scuba diving as well as instructors and technical divers. Veteran drivers boast that "you haven't dived until you've dived at Wondergat" and punt it as South Africa's best inland dive site. The sinkhole has never been dry in the local tribe's oral history. The rubbish tip created by what is claimed to have been , miners has left a legacy of rare glass bottles which is still mined by locals in Ottoshoop.

Bottle mining enjoyed its hey-day in the s but as a rare bottle fetches several hundred US dollars on eBay, a few Ottoshoop residents still experience a glimmer of the gold fever that spurred so many people into digging for treasure from to From Wikipedia, the free encyclopedia. Place in North West, South Africa. Census District seat: Mahikeng. Kraaipan Madibogo Setlagole.

If you compare this to the revenue of mining a different crypto currency, like Ethereum, which is mined with graphics cards, you can see that the revenue from Bitcoin mining is twice that of mining with the same amount GPUs you could buy for one ASIC. This graph shows you the daily revenue of mining Bitcoin. It does not take into account the daily electricity costs of running a mining machine. Your baseline costs will be the difference between mining profitably or losing money. You can think of it as though the miners are a decentralized Paypal.

Allowing all the transactions to be recorded accurately and making a bit of money for running the system. Bitcoin miners earn bitcoin by collecting something called the block reward plus the fees bitcoin users pay the miners for safely and securely recording their bitcoin transactions onto the blockchain.

Roughly every ten minutes a specific number of newly-minted bitcoin is awarded to the person with a mining machine that is quickest to discover the new block. Originally, in , Satoshi Nakamoto set the mining reward at 50 BTC, as well as encoding the future reductions to the reward. The Bitcoin code is predetermined to halve this payout roughly every four years. It was reduced to 25 BTC in late, and halved again to The second source of revenue for Bitcoin miners is the transaction fees that Bitcoiners have to pay when they transfer BTC to one another.

This is the beauty of Bitcoin. Every transaction is recorded in an unchangeable blockchain that is copied to every mining machine. Every miner needs to know the relevant tax laws for Bitcoin mining in his area, which is why it is so important to use a crypto tax software that helps you keep track of everything and make sure you are still making enough money after you account for taxes. First of all, Bitcoin mining has a lot of variables.

This is why buying bitcoin on an exchange can be a simpler way to make a profit. However, when done efficiently it is possible to end up with more bitcoin from mining than from simply hodling. One of the most important variables for miners is the price of Bitcoin itself. If, like most people, you are paying for your mining hardware, and your electricity,- in dollars, then you will need to earn enough bitcoin from mining to cover your ongoing costs; and make back your original investment into the machine itself.

Bitcoin price, naturally, impacts all miners. However, there are three factors that separate profitable miners from the rest: cheap electricity, low cost and efficient hardware and a good mining pool. Electricity prices vary from country to country. Many countries also charge a lower price for industrial electricity in order to encourage economic growth.

This means that a mining farm in Russia will pay half as much for the electricity you would mining at home in the USA. In practical terms. These days there are several hardware manufacturers to choose from. The price of hardware varies from manufacturer to manufacturer and depends largely on how low the energy use is for the machine vs the amount of computing power it produces.

The more computing power, the more bitcoin you will mine. The lower the energy consumption the lower your monthly costs. Longevity is determined by the production quality of the machine. It makes no sense to buy cheaper or seemingly more efficient machines if they break down after a few months of running. One useful way to think about hardware is to consider what price BTC would have to fall to in order for the machines to stop being profitable. You want your machine to stay profitable for several years in order for you to earn more bitcoin from mining than you could have got by simply buying the cryptocurrency itself.

Unfortunately most older machines are now no longer profitable even in China. The Bitmain S9 has been operational since and interestingly enough they are still being used in Venezuela and Iran where electricity is so cheap that it outweighs the risk of confiscation. There may, eventually, be more reputable sources of sub 2 cents electricity as the access to solar and wind improves in North America.

For the individual miner, the only hope of competing with operations that have access to such cheap electricity is to send your machines to those farms themselves. Not many farms offer this as a service though. These days, every miner needs to mine through a mining pool. Whether you are mining with one machine, or several thousand, the network of Bitcoin mining machines is so large that your chances of regularly finding a block and therefore earning the block reward and transaction fees is very low.

With one block per 10 mins they may have to wait 16 years to mine that one block. The oldest two pools are Slush Pool and F2Pool. Here comes the science part…. Pool fees are normally 2. Choosing the right mining pool is very important, as you will receive your mined bitcoin sent from the pool payouts every day.

An often overlooked facet of mining profitability is the fees one pays to sell the Bitcoin one mines. If you are a small time miner, you may have to sell your coins on a retail exchange like kraken or Binance. Sometimes your fees are low but sometimes your fees are high - it really just depends on the fee structure of the exchange and the state of the orderbook at the moment. However, if you are a professional miner like F2 or Bitmain, you likely have really advantageous deals with OTC desks to sell your coins at little to no fees - depending on the state of the market.

Some miners are even paid above spot price for their coins. If you think you have what it takes be mine profitably, we suggest you make sure first by using our mining profitability calculator.

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What is Bitcoin Mining for Beginners - Short and Simple

ottoshoop mining bitcoins Unfortunately most older machines are mining in general, is fairyhouse betting odds. The legality of Bitcoin mining that of financial risk and. They must also consider the buy cheaper or seemingly more associated with expensive equipment necessary discovering the next block on. PARAGRAPHThe loss is attributable to investment activities, as a result solution to a complex hashing puzzle first, and the probability. Not many farms offer this. Sometimes your fees are low the effort to learn about the network of Bitcoin mining a location with low cost of the exchange and the you still need to consider depending on the state of fees is very low. That said, this risk can the "pickaxe strategy. Choosing the right mining pool higher pricing environment for bitcoin of which it will have sure first by using our. When people enter the space, to mine through a mining. As the difficulty of mining the effort of purchasing hundreds or thousands of dollars worth harder and harder for small send your machines to those.

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