CONCEPT OF INDUSTRIAL MINING

Cryptocurrency mining is the process of verifying, securing, synchronizing, and adding to a public directory – the so-called blockchain – through computing power of all users to release new units (coins).

In principle anyone who has access to the Internet and suitable hardware can participate in this process, which is called „Mining“ analogous to gold mining.

Cryptocurrency mining has evolved in recent years from an initial hobby of less enthusiasts into a specialized, global, high-level industry with its own value chain.

In contrast to private and small miners, the large-scale, professional processing in mining farms is referred to as industrial mining.

GREEN MINING

The mining of cryptocurrencies depends heavily on the energy supply. The price and availability of electrical energy are the most important factors.

This has led to a concentration of large mining companies in countries with low environmental and social standards, which primarily cover their energy needs with cheap fossil fuel, thereby contributing significantly to climate change.

In contrast, Bit & Coin AG relied on green mining, a business model that uses clean and renewable energy sources.

VALUE CHAIN

Miner Individuals and organisations using their own mining equipment to process transactions and earn the mining reward and transaction fees.
Mining pools Combines computational resources from multiple miners to increase the likelihood and frequency of finding a new block, and then distributes mining rewards among participating miners based on the proportion of contributed computational resources.
Mining hardware manufacturing Organisations designing and building specialised mining equipment.
Cloud mining services Organisations renting out hashing power to customers.
Remote hosting services Organisations hosting and maintaining customer-owned mining equipment.