Welcome to Bitcoin Mining Explained page. I am going to explain to you what Bitcoin Mining is. And hopefully, you will see how this can make you money. But first, lets start with the basics.
What is Crypto?
Crypto is a short term for “CryptoCurrency”. Basically, it is Ditigital, or electronic currency designed to work as a medium of exchange that only exist within a Computer. You can’t Hold it or Touch it. It is virtual. There is no regulatons or any supervision by a Central Bank. The value of cryptocurrency depends on the Marketplace and can fluculate constantly. Since cryptocurrency is viritual, it uses encryption technologies for accounting purposes and to prove its integrity. In order to prove that the cryptocurrency has value and not something fake, you have to be able to validate its integrity.
What is a BitCoin?
Bitcoin is the first and most widely recognized cryptocurrency. It is a form of digital money that exists independently of any government, state, or financial institution. It enables peer-to-peer exchange of value in the Virtual World. Through the use of a decentralized protocol, cryptography, and a mechanism to achieve global consensus on the state of a periodically updated public transaction ledger called a ‘blockchain.
What is a BlockChain?
In todays economy, Financial Insitutions such as Banks act as intermediaries to track the flow of Money from one party to another. Blockchain is a peer-to-peer decentralized distributed ledger technology. The components of blockchain consist of blocks of data, nodes, tashtags and ledger information that make up a digital transaction. Each block contains a cryptographic hash tag of the previous block, a timestamp and transaction data. Therefore, the Hash Tag proves that the transaction data is part of the Block and the timestamp proves that the transaction data was there when the Block was created. Thus, the components play an essential role in ensuring data security and integrity. The link of one Block to the previous Block before it forms the Blockchain.
Blockchains makes the records of any digital asset transparent and unchangeable. It works without involving any third-party intermediary such as Banks. A blockchain uses a network of computers in a way that makes it difficult to hack or alter.
Blockchain technologies remove Financial Insitutions from the center of exchanging Bitcoin. Blockchain Innovation is a new system of exchange where a user can send Bitcoin directly from one party to another without the need for intermediaries. Thus, Blockchain Innovation allows the transfer of Bitcoins in Reel Time to any one any where in the World. The underlying blockchain technology is inherently secure.
What is Mining BitCoin?
Each time a cryptocurrency is bought, sold or used to support a purchase, a new record is added to the Blockchain. Because there isn’t a central bank involved with cryptocurrencies, the transactions needs to be validated to ensure they’re accurate and legal.
Cryptocurrency users need to take part in the verifications. The verification process is called “Mining”. Mining serves as a security and verification mechanism to ensure the integrity of the Bitcoin’s associated ledger. As a result, there is a reward for completing the verification process, the user involved gets reward of cryptocurrency.
Mining is a foundational part of blockchain operations. It verifies the authenticity of any transaction. As a reward for completing the verification process, the user involved gets a reward of cryptocurrency. The reward is referred to as “Mining”. As time passes, the equations become more challenging to solve. The normal User does not have the computer to handle the equations. Mining pools are group of people that use their own personnal computer to assist in the solutuion to the equations, thus, validation.
We would liked to present to you the ability to become a Cryptocurrency Miner. It is the easiest system to date to join the Mining Community. Turn your Personal Computerr into a Micro-Mining machine. Visit Bitcoin Smart Miner page for more Information.
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