How To Mine Bitcoin: A Guide For Beginners
How to Mine Bitcoin: A Beginner's Guide Understanding Bitcoin Bitcoin is a decentralized cryptocurrency that facilitates direct online payments without intermediaries. Transactions are verified, and new coins are created through a process known as mining, where powerful computers solve complex puzzles. The total supply of Bitcoin is capped at 21 million, contributing to its scarcity. How Bitcoin Transactions Work When a transaction is initiated, it's broadcast to the Bitcoin network and placed in a pool of unconfirmed transactions. Miners select transactions from this pool, verify them, and add them to a block, securing the blockchain. The Role of Miners Miners are essential for maintaining the network's security and integrity. They use specialized hardware to solve mathematical problems, competing to add new blocks to the blockchain. Successful miners earn newly minted bitcoins as rewards, while this process also regulates the supply of bitcoins, with rewards halving ap...