Crypto mining is running specialized computers to secure a proof of work blockchain. Miners compete to add the next block and earn newly issued coins plus transaction fees.
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Miners repeatedly hash block data until one finds a result below the network's target. The difficulty adjusts so that blocks arrive at a steady pace, about every ten minutes on Bitcoin.
Profit depends on electricity prices, hardware efficiency, the coin's price and network difficulty. Large firms with cheap power dominate Bitcoin mining today, and halvings regularly squeeze margins.
In most countries yes, though some ban or restrict it, and mined coins are usually taxable income.
A group of miners who combine their computing power and share rewards in proportion to their work.