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Bitcoin Mining


Now you know the concept of bitcoin?

And if don’t? I recommend you to read our previous blog.

Now let’s understand what is bitcoin mining and how the bitcoin is created?

Bitcoin mining is the backbone of the Bitcoin Network. 
Miner are the one which make the network secure and confirm bitcoin transaction.
By mining, you can earn cryptocurrency without having to put down money for it.

Bitcoin mining:
It is a decentralized computational process that serves 2 purposes:
1.Confirmation transaction in trustful manner when enough computational power is devoted to block.
2.Creating a new bitcoin with adding each block.

  



Sound cool right just confirm the transaction and add a block of that transaction into the bitcoin blockchain. But it’s not that easy.  

In order to earn a bitcoin for a miner from verifying the transaction two things have to occur. 

Firstly, they must verify 1-megabyte (M.B) worth of transaction, which can theoretically be as small as 1 transaction but are more often several thousand, depending on how much the transaction store.

Secondly, in order to add a block into the blockchain, miner must solve the complex computational math problem also called the “proof work”.

After the transaction get fully completed network generate a new bitcoin which goes to the miner for work.

Now you would be thinking what’s that complex computational math problem?

Basically, it a 64-digit hexadecimal number called “hash”, which the miner has to create which should be equal or less then the target hash value.

Now, to come up with hash, less or equal to targeted hash it huge amount of computer power which can cost way more than you thing (cost of hardware’s and electricity etc). So that is why majority of mining is done by a huge company.

Every two week or every 2016 blocks difficulty level is adjusted, with goa of keeping the rate of mining constant.

Now, you I have done all the above thing and found out the hash then I would get bitcoin?

The answer is No! Because you to be the first to find the hash out of the million of miner which are present in the network, here luck into action. If your luck and your computer with you then you can get the bitcoin. And the probability of that happening is between 1 in 13 trillion odds.


In my suggestion doing mining using your computer  will be totally waste of all your resource and money.
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