Bitcoin Mining: The 101
Bitcoin Cryptocurrency has been used around the globe since the year 2009. The idea of Bitcoin cryptocurrency was first presented in the year 2008 by a pseudo-anonymous person. The actual identity of that person is Still a Mystery.
photo credit: Moose Photos / Pexels
Mining of any cryptocurrency is a process that makes the transactions of cryptocurrencies safe and secure. Cryptocurrency miners are responsible for the confirmation and addition of all the transaction details in the Blockchain List.
Mining is being done for all types of digital cryptocurrency. Altcoin mining is also seen in addition to Bitcoin Cryptocurrency. Bitcoin is the most common and popular type of bitcoin. The mining of cryptocurrency is being increased in the last some years and has elevated to many folds.
Bitcoin miners actually take pay for the work they are doing. They are responsible for confirming and verifying the transactions that are made on Bitcoin cryptocurrency.
The concept of Bitcoin mining was forts presented by the founder of the Bitcoin Cryptocurrency. He was the believer of the concept that bitcoin mining is vital in order to avoid the issue of double-spending and other issues.
Concept of Double Spending
You might be wondering what is double-spending. Double spending as clear from the name is a process or a phenomenon in which the trader or the person using the bitcoin cryptocurrency uses the same Bitcoin again and again.
In the case of physical currency like the US dollar etc, this is not an issue because once you have used your money you don’t have it. This can be explained in detail by looking into the example that you have 10 dollars and you spent it on buying something after that you don’t have that money with you. But in the case of Bitcoin cryptocurrency the person holding the bitcoin can make a copy of the bitcoin. To avoid this copying BItcoin Miners come into the game. To know more about it go visit join bitcoin pro.
What Bitcoin Miners do?
Bitcoin miners are responsible to keep the number of Bitcoin fixed in the market. As we know that just like any other cryptocurrency, bitcoin is a moving and circulating entity. The total number of bitcoins that are circulating in the market should be kept constant, This can be explained that if a total of 21 million bitcoins are said to be circulating in the digital trading cryptocurrency market by the year 2040, then this is the responsibility of the bitcoin miners to keep a strict check on this by managing the risk of Double spending, etc.
The cryptocurrency market goes through a number of cryptographical puzzles. Bitcoin miners are the ones who resolve these puzzles.
photo credit: Pixabay
How Miners are Rewarded?
Nowadays the rates at which the bitcoin miners are rewarded are kept around 12.5 bitcoins per block. The bitcoin cryptocurrency miners are rewarded right after they succeed in the execution and competition of adding any block to the blockchain list of the bitcoin cryptocurrency.
The reward that Bitcoin miners are getting is decided by the mutual understanding of all the members using the forum. Currently, the reward is 12.5 BTC. If you want to be a successful miner you have to efficient so that you can achieve the position at first. You solve the puzzle first you will get the reward. To role the world of cryptocurrency mining, the miner has to be efficient and quick when it comes to solving the BItcoin cryptocurrency code puzzles. A top miner should always have a well-equipped laptop with him. Well equipped in the sense that it should have all the needed software and hardware in it to solve the cryptography puzzle.
Getting Started with It
Like everything, taking the first step requires patience and focus. Initially, you will only get a small amount of money that will be around 1 or 2 US dollars. You have to use your own computer and all the expense are on your shoulders. The speed and quality of the internet, electricity bills and the total amount of time send on the platform are the deciding factors that decide the performance of a cryptocurrency miner.
The computer that you are using should have a Special graphical processing unit along with the ASIC which is the Application-specific integrated circuit.
Funneling this topic, we can say that the novice cryptocurrency miner that as the bitcoin cry[tocurency has reached new heights of popularity and fame, the competition in the market hs also increased. And the need of the hour is to be more focused and more excerpt so that you can stand out among all the present users of the Bitcoin cryptocurrency miners.
Leave a Comment
You must be logged in to post a comment.