CRYPTOCURRENCY MINING & HASHRATE:

📜 WHAT IS MINING:

Mining is a way to obtain Bitcoin and other cryptocurrencies, which involves the use of advanced computers and mining rigs like Application-Specific Integrated Circuit (ASIC) miners. It mainly appeals to those who want to acquire crypto assets steadily without using other means, such as crypto exchanges.

📜 WHAT IS HASHRATE:

Hashrate is one of the most commonly used terms in the crypto space, especially with regard to cryptocurrency mining. It refers to the combined computational power used by miners to process transactions in cryptocurrency networks that use the PoW validation system, such as Bitcoin (BTC), Bitcoin Cash (BCH), Litecoin (LTC), and Ethereum (ETH) (before the Merge upgrade on September 15, 2022).

📜 IMPORTANCE OF HASHRATE:

Hashrate can help investors determine the health and security of a cryptocurrency's network by providing a clear idea of the computing effort required to solve cryptographic puzzles to facilitate the mining process.

The more computing power used towards maintaining a cryptocurrency’s network, the more secure it can be and the more transactions it can handle.

A higher hashrate implies greater security, as many miners are involved in verifying transactions. Similarly, a growing hashrate indicates miner optimism, which equates to additional capital investment in computing power.