My ruby version is
ruby 1.9.3p374 (2013-01-15) [i386-mingw32]
and I am running under Windows 8 with mingw installed.
How can I upgrade
Just install ruby version 2.0 from the official rubyinstaller site.
There's nothing like 'upgrade'. You can actually run both versions on ur PC at the same time (many people prefer that too). Also refer to this question: How to have multiple versions of Ruby AND Rails, and their combinations on Windows?
Well you could just try building it from source, just like how you installed 1.9.3. Personally I would recommend using something like RubyInstaller or better still doing Ruby development inside a Linux VM.
Pik let you play with and manage multiple versions and flavours of ruby on on your Windows box. I have chosen this way because I'm not sure that everything I need will work on the first try with the new version, hence I want also to keep prior versions.
The installation is also simple: if you haven't jet Pik see topic: "Install pik using rubygems" then "pik install ruby 2.0.0"
for example:
C:\Sites>pik list
160: jruby 1.6.0 (ruby 1.8.7 patchlevel 330) (2011-03-15 f3b6154) (Java H...
165: jruby 1.6.5.1 (ruby-1.9.2-p312) (2012-01-25 fffffff) (Java HotSpot(T...
167: jruby 1.6.7 (ruby-1.8.7-p357) (2012-02-22 3e82bc8) (Java HotSpot(TM)...
187: ruby 1.8.7 (2011-02-18 patchlevel 334) [i386-mingw32]
192: ruby 1.9.2p0 (2010-08-18) [i386-mingw32]
* 193: ruby 1.9.3p125 (2012-02-16) [i386-mingw32]
C:\Sites>pik install ruby 2.0.0
** Downloading: http://rubyforge.org/frs/download.php/76807/ruby-2.0.0-p0-i386-
mingw32.7z
...
C:\Sites>pik list
160: jruby 1.6.0 (ruby 1.8.7 patchlevel 330) (2011-03-15 f3b6154) (Java H...
165: jruby 1.6.5.1 (ruby-1.9.2-p312) (2012-01-25 fffffff) (Java HotSpot(T...
167: jruby 1.6.7 (ruby-1.8.7-p357) (2012-02-22 3e82bc8) (Java HotSpot(TM)...
187: ruby 1.8.7 (2011-02-18 patchlevel 334) [i386-mingw32]
192: ruby 1.9.2p0 (2010-08-18) [i386-mingw32]
* 193: ruby 1.9.3p125 (2012-02-16) [i386-mingw32]
200: ruby 2.0.0p0 (2013-02-24) [i386-mingw32]
C:\Sites>pik use 200
C:\Sites>ruby --version
ruby 2.0.0p0 (2013-02-24) [i386-mingw32]
C:\>echo %HOME%
C:\Users\rondinif
C:\>where ruby
C:\Users\rondinif\.pik\rubies\Ruby-200-p0\bin\ruby.exe
C:\>pik use 193
C:\>where ruby
C:\RailsInstaller\Ruby1.9.3\bin\ruby.exe
C:\>pik use 167
C:\>where ruby
INFO: Could not find files for the given pattern(s).
C:\>where jruby
C:\Users\rondinif\.pik\rubies\JRuby-167\bin\jruby
and so on...