Mining is the act of creating Bitcoins. Think of it like mining for gold without the dirt and pickaxes. Anyone can mine Bitcoin, but it is pretty hard to do and there's no guarantee you'll make money doing it. Bitcoins get created via mining on average every 10 minutes. Mining is the act of creating a block on the blockchain that is verified by the other Bitcoin nodes. Mining does two things
The process goes something like this
This process is also known as Proof-of-work and takes a lot of electricity and very powerful computers to create the blocks. The difficulty changes every 2016 blocks (2 weeks) based on the time it took to mine the previous 2016 blocks as miners join or leave the network. The more miners the more difficult the problem becomes by automatically adjusting the difficulty. Questions
|