🔌 What are the differences between mining Bitcoin and Ethereum?

Bitcoin and Ethereum are two of the most popular cryptocurrencies for mining. They are both blockchain-based, can be used as a means to pay for goods or services, and have a decentralized transaction confirmation mechanism. Both Ethereum and Bitcoin support the anonymity of users, allowing them to operate their tokens without revealing the identity of the parties.

📌 However, cryptocurrency mining approaches are very different — Bitcoin can be mined using the SHA-256 algorithm, which is only available on powerful ASIC-miners. Due to the volatility of the exchange rate, the cost of mining devices often changes, and this is not always to the benefit of miners. Ethereum is usually mined using video cards - it is much easier and cheaper than installing and maintaining ASIC-miners.

It takes 10 minutes to generate a Bitcoin block, while Ethereum takes about 15 seconds. Also Bitcoin has a reduced amount of rewards — no such changes with Ether.

📎 However, the first cryptocurrency has been a popular means of payment among users for many years, its capitalization is seriously overtaking its competitors. In the case of Ether, the situation is different: in this system, decentralized applications and smart contracts come first. Companies, IT-services and startup developers interact with this altcoin more often.

Which is preferable — it's up to you to decide📍bitcluster