What is cryptocurrency mining?

 A number of cryptocurrencies, including the largest and most well-known - Bitcoin (BTC) - operate using the Proof-of-Work (PoW) consensus mechanism. This process requires a vast network of very powerful computers, working together by combining their computational 'hash power' to solve extremely complex cryptographic (hence 'crypto') algorithms. These algorithms are necessary to either conduct transactions on a PoW blockchain, such as Bitcoin, or to create ('mine') new 'coins'.

Crypto miners generate income from mining new coins (a small percentage of which goes to every miner as a block reward), as well as from transaction fees (which serve as an additional reward for miners, further incentivizing the mining process.). These transaction fees are similar to the fees paid in traditional finance systems to centralized processors such as banks or card issuers (e.g. Visa or Mastercard). 

These 'mining rewards' are generated both from the process of creating new coins and from a percentage of transaction fees paid by all users when performing transactions on the blockchain.

The rewards accrue at a steady and generally reliable rate* (subject to normal elevated crypto coin price fluctuations), resulting in our company being able to achieve, primarily through capital investments in Web 3.0 server infrastructure, a reliable income stream providing data hosting solutions while also offering access to high-performance hardware and renewable energy resources.

In addition, blockchain companies rely on powerful hardware to support their software development needs, from websites and online games to smart contract deployments - all of which we help facilitate.