The mining of cryptocurrency first started in 2010, and since then, more than 18,000 types of cryptocurrency have been created. And while mining crypto is an excellent way to earn money, many times, it costs more in electricity than the coins are worth. This is where Helium mining comes into play.
What is helium?
Helium is a decentralized wireless network that uses IoT (low-power smart devices) to transmit and receive data across the internet. Across the Helium Network, coverage providers are known as “miners.”
Essentially, by utilizing a small device in your office or home, you can provide miles of low-power network coverage to your city. And in the process, you earn HNT or Helium coins for your efforts.
How does helium mining work?
As we mentioned, Helium rewards miners with coins. These coins are based on an algorithm known as Proof of Coverage. This algorithm verifies that the miner’s hotspots are truthfully displaying their location and that the network coverage being created is coming from that location.
Proof of Coverage verification is crucial because Hotspots across the Helium Network need to be placed correctly to ensure reliable and stable coverage for all connected devices.
This system works thanks to a few key properties of radio frequency that allow miners to create proofs that show the legitimacy of their hotspot activity. These properties include:
- Radiofrequency travels at the speed of light, so there is no latency.
- The strength of radio frequency signals can be used to show how far away they originated.
- Radiofrequency can only travel short physical distances.
Hence, these bullet points are fundamental for Proof of Coverage to function because they allow the blockchain to consistently check if the hotspots are performing correctly.
What is the helium network used for?
So, you may be wondering who would want to take advantage of the Helium Network. And the answer is anyone who uses low-data smart devices, especially those who are traveling many miles or into locations with limited wifi.
Devices that can be used on Helium’s Network include:
- Pet Trackers
- Temperature Devices
- Water Level Checkers
- Weight Devices
- Bike Trackers
- Soil Sensors
- Electrified Mousetraps
How to increase helium mining
There are several things you can do to increase your Helium mining, which includes:
- Use an external helium antenna that’s suitable for your area, so do not use the standard antenna that comes in the box with your mining device.
- Use an LMR400 cable in the shortest length possible to connect the antenna to your hotspot. You should use 5m or less, but 10m will work when using an LMR600 cable.
- Do not relay your hotspot.
- Do not use wifi; use ethernet instead. And don’t forget to disable the wifi to prevent network loops.
- During the hot summer months, be sure to keep your Helium hotspot cool.
- Do not place two hotspots within 300m of one another, or you will receive decreased rewards.
If you consider the six steps listed above, you’ll notice increased range and witnesses, which will translate into increased Helium earnings. Remember, it’s all about getting the best range possible. So, earnings will be decreased if the IoT device cannot connect to your antenna.
The key to mining Helium is having a reliable and effective mining hotspot and helium mining antenna. So, if you want to earn more coins, don’t be afraid to spend a little more on better equipment!