Cardano ADA is a very promising cryptocurrency, attracting a lot of attention since the day it was founded. Many people are hopeful it is next-generation blockchain technology, which combines sustainability, decentralization, and value.
Because of great interest, many crypto enthusiasts try it and want to learn how to mine Cardano cryptocurrency ADA.
The thing is, you can mine ADA on your mobile device. How is this even possible? You will find the answer to this question and comprehensive information on Cardano in this guide.
Cardano Android mining guide
So, let’s get straight to the point. Firstly, we will dive deeper into Cardano’s history, technology, and idea. Then, you will learn how to mine some ADA coins on your phone.
What is Cardano cryptocurrency?
Cardano is a Proof-of-Stake (POS) blockchain, a native token is ADA. Therefore, it is much better to say that the cryptocurrency is ADA, running on the Cardano network. Still, the terms “Cardano coin” and “Cardano crypto” are very popular, although not entirely correct, so we will use them here as well.
The basic idea of Cardano’s PoS consensus algorithm is to provide a better and more efficient alternative to Bitcoin’s PoW (Proof-of-Work). Namely, Cardano seeks to cut energy consumption with a more sustainable, scalable, and interoperable algorithm.
Cardano had been developed for two years before it was finally launched in 2017. It was funded through ICO, starting at a market cap of $600 million and reaching $33 billion in 2018.
The mastermind behind Cardano is Charles Hoskinson, a former co-founder of Ethereum. Hoskinson is a mathematician and a well-known, appreciated personality in crypto circles. His blockchain systems are based on academic research and are famous for safety.
There are two main organizations behind Cardano. The first one is IOHK (Input Output Hong Kong), founded by Hoskinson in 2015. This organization develops Cardano, spreads the word about blockchain, and uses academic knowledge to improve Cardano technology. EMURGO is IOHK’s partner, who secures the project’s place in the world market.
Five phases of Cardano development
The Cardano platform is supposed to evolve through five stages:
- Byron – Foundation. Mainnet launch. Buy and sell ADA on Ourorobos consensus protocol. Creation of a Daedalus desktop crypto wallet. Community growth.
- Shelley – Decentralization. More nodes shift to the Cardano community. Delegation and incentives scheme. Introduction of a reward system to stake pools. The end goal is 1000 stake pools.
- Goguen – Smart Contracts. Current stage. Ability to build decentralized applications. To build Plutus, a smart contract development language to support on-chain and off-chain components. Creation of Marlow, a smart contract for financial experts with no technical experience. The addition of a multi-currency ledger to create new native tokens.
- Basho – Scaling. Optimization, improving scalability and interoperability. Sidechains. The introduction of parallel accounting styles.
- Voltaire – Governance. Voting and treasury systems. No longer under IOHK’s management.
How does Cardano blockchain work?
The first such blockchain algorithm was Bitcoin’s PoW. At the time it was invented, the scale of Bitcoin network was minimal, so there weren’t many concerns about it. However, as the Bitcoin network grew, this algorithm started showing flaws. To function, PoW requires huge energy consumption. The Bitcoin mining farms currently consume energy that would supply a country as big as New Zealand.
Another issue with Bitcoin is mining pools. PoW ensures safety by allowing all peers to decypher the block and agree on each transaction. However, only those who do it first get awarded a certain amount of crypto coins.
What is different about Cardano?
Cardano’s algorithm is completely different. Unlike the PoW consensus protocol, which requires all peers to compete, PoS uses a random selection system. Instead of asking every node (or peer or user) to validate each and every transaction, a random node is chosen to do it. Although the selection is not entirely random, those nodes with larger stakes (a.k.a., hold more coins) are more likely to get the chance to decipher and be awarded next.
It might sound like an unfair system in which those who have more gain more, which is partially true. However, the situation is quite similar if we compare it to Bitcoin. Although Bitcoin’s algorithm makes no difference among peers, these differences still exist. For example, those with better computers will decipher the block first and outrun those without.
Therefore, how to mine Proof-of-Stake based crypto is the wrong question. It is clear that in the case of PoS-based platforms, such as Cardano, there is no mining in the term’s original sense. Instead, we are talking about staking and validation.
How many ADA can be mined and what is its value?
The maximum amount of ADA coins that can be mined is 45 billion. For now, only around 33 billion are circulating the market. It is considered one of the world’s top 5 most promising cryptocurrencies, although, at the end of 2022, the price of ADA is around $0.30, with a market cap of $10.8 billion.
Mining Cardano: How does it work?
ADA coin mining is quite easy. We will continue using the term “mining” due to its general usage, although the more suitable term would be “staking.”
The first step for every Cardano miner is to get a wallet, a place to store ADA coins. We will give a little more details about that later on. Then, you just need to apply as a validator.
And that’s it. As of Shelley’s (Decentralization) launching, you don’t even have to be online, thanks to a new feature called delegated staking. If your node gets selected for the protocol, you can hand it over to someone else for a fee. It’s a win-win for both of you.
Mining cryptocurrency from your phone: Pros and Cons
Staking Cardano from your phone is possible, although there are things to consider before you do it. Unless done with precaution, it can result in wasted time and effort.
While some crypto has its own mining platforms (like Pi network), you will need a phone mining app for others, ADA included. Some of the most popular are MinerGate App and ARM Mining Bitcoin.
Potential perks of mining Cardano and other cryptos from your phone are:
- no need for significant investments and infrastructure
- mining apps are usually not demanding in terms of memory space and processing power
Potential risks are as follows:
- the earnings will probably be low
- the mining will become even more demanding as blockchain networks grow
- you are risking a malicious software
- the phone and its battery might be destroyed due to overheating
- the phone’s operating system could crash
Although there are apps for iOS as well (NiceHash, CryptoTab), three years ago, Apple invited their users not to mine through their iPhones. The company later banned all mining apps unless they use the cloud to run. Google did the same for Android phones.
Luckily, in the case of ADA Cardano and other crypto-based on PoS protocols, there is no need to worry about this. If you do it through wallets or exchange platforms, staking Cardano has minimal risks for your phone and data protection.
How to mine Cardano from your phone – Checklist
In case you decide to stake for Cardano ADA on your phone, here is a step-by-step guide.
#1 Find a good phone
Don’t start mining unless you have a powerful machine. Otherwise, you risk destroying your phone before you get anything out of mining. Examples are ROG Phone 5 from Asus, Galaxy S21 Ultra from Samsung, OnePlus 8T, Xiaomi Mi 10, and iQOO 3.
#2 Install and sign up for a wallet or crypto exchange
Using crypto exchange
This is an easier option, suitable for beginners. Most beginners know about Kraken and Binance, for example. Different platforms have different terms, but you can count your APY will be somewhere around 5%.
To use Kraken crypto exchange, you must:
- create an account: enter your e-mail, username and password. You will receive an email with an activation code.
- secure the account: you can additionally secure the account with Authenticator app, YubiKey, or MasterKey
- get verified: Kraken needs to know you are a genuine person and older than 18. To prove that, you will need to provide documents, usually proof of physical address.
- trade: finally, you will have to enter your credit card details to buy and sell crypto.
Once you have ADA stored in your Kraken wallet, you can put ADA coins into your Kraken Staking Wallet. To do that, navigate to the option “Staking”, find Cardano (ADA), and click “Stake”.
Using crypto wallets for Cardano staking
Crypto wallets may come in different forms: desktop software, browser extensions, or hardware. Whichever it is, their function is the same, and the choice is a matter of personal preference. Most people prefer Yoroi as their mobile phone Cardano/ADA wallets.
Once you install the wallet, it will require:
- your name
- spending password
- recovery phrase
The spending password and recovery phrase are VERY important information, so you probably want to write them down and keep them somewhere safe. Spending password is an additional layer of security, a specific user-generated password to confirm or authorize every transaction.
And the recovery phrase is a code you will need to use your wallet on different devices. If you lose that one, you won’t be able to access your funds again.
Once you’re in, deposit a certain amount, and you will get some ADA coins. Then find the “Staking” or “Delegating” option on your wallet/exchange platform, choose a staking pool with more users in it, and click to start staking. The app will then ask you to decide the amount of ADA coins you want to stake, the Cardano mining pool, and the desired staking time.
#3 Earn your first passive income in Cardano ADA!
Once you’re a validator, you will be awarded a certain amount of coins as a reward for your staking. Whether you decide to stake on a centralized exchange or a self-custody wallet, you will get 5-10% rewards. Choose the staking pool wisely. Read the terms or agreement cautiously. Remember your funds would be locked for some time, with no regard to a market condition. Before staking, you should learn the coin performance. For example, via CoinMarketCap.
The most important thing you can take from this guide is that ADA crypto mining is better named “staking” or “validating”. Regardless of which word we use, we should remember what makes Cardano so easy to mine: PoS blockchain protocol. Once it’s understood, there should be no doubts about how to mine Cardano ADA coins, and you can mine Cardano on your phone. The answer is simple: download an exchange or wallet on your phone and put some ADA coins at stake!
How to buy Cardano ADA?
The best and safest way to buy Cardano is through some of the crypto exchange apps of your choice. Some of the most popular are Kraken, eToro, Coinbase, etc.
Where can I buy Cardano?
Currently, the only way to buy Cardano ADA is online, through an exchange app.
Which are the easiest coins to mine in 2022?
The easiest crypto to mine in the following year are:
– Pi network
– Cardano ADA
What coins can you mine even if you’re not online?
Some of the cryptos you can mine even if you’re not connected to the Internet are Ethereum, Pi network and Cardano ADA
What is the best wallet for staking ADA?
The best and most popular wallets to stake Cardano are Yoroi and Daedalus. You can also use AdaLite, Infinito, or some exchange.
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