December 27, 2017 at 7:08 am #2362Angu RansomKeymaster
Bitcoin mining is the process by which transactions are verified and added to the public ledger known as the block chain, and also the means through which new bitcoins are released.
Anyone with access to the internet and suitable hardware can participate in mining. The mining process involves compiling recent transactions into blocks and trying to solve a computationally difficult puzzle. The participant who first solves the puzzle gets to place the next block on the block chain and claim the rewards. The rewards, which incentivize mining, are both the transaction fees associated with the transactions compiled in the block as well as newly released bitcoin.
The amount of new bitcoin released with each mined block is called the block reward. The block reward is halved every 210,000 blocks, or roughly every 4 years. The block reward started at 50 in 2009, was 25 in 2014 and is currently at 12.5 bitcons per block, this will continue to diminish.
This diminishing block reward will result in a total release of bitcoin that approaches 21 million.
In the earliest days of Bitcoin, mining was done with CPUs from normal desktop computers. Graphics cards, or graphics processing units (GPUs), are more effective at mining than CPUs and as Bitcoin gained popularity, GPUs became dominant. Eventually, hardware known as ASIC, which stands for Applicaton-Specific Integrated Circuit, was designed specifically for mining bitcoin. The first ones were released in 2013 and have been improved upon since, with more efficient designs coming to market.
How can i know the best mining platforms?
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