Bitcoin Forum

I want to know the whole proccess by which we can earn through mining.what happens in mining?

When you mine Bitcoins, you are securing the network by confirming transaction. Such process is made by an ASIC miner (look it on ebay) and depending on your hashrate (KH/s, MH/s, GH/s, TH/s), network difficulty, and electricity costs, that will determine what you will earn. For more info, i'd suggest you look into these sites: http://www.pcadvisor.co.uk/how-to/internet/how-mine-bitcoins-generate-money-bitcoin-mining-3515249/ (http://www.pcadvisor.co.uk/how-to/internet/how-mine-bitcoins-generate-money-bitcoin-mining-3515249/)     http://www.coindesk.com/information/how-bitcoin-mining-works/ (http://www.coindesk.com/information/how-bitcoin-mining-works/)

Hope this helps. Somebody correct this, if I'm wrong.

You've mostly gotten it right. Mining is a computational process that secures the network, with coins being minted to act as a reward for securing the network. Specialized mining devices called ASICs are the only way to mine now (aside from as an academic curiosity, for different types of coins that don't have ASICs yet, and on private testing nets), and even they have very slim profit margins (due to cost of electricity and the miners themselves).

it's like digging gold, but you do it with specific machine called asic(in the past was possible with gpu) and with mathematical process they try to find the block before the other if in solo

or they partecipate together to find the block and divide it based on their hashpower

When transactions are first broadcast, they stays in the mempool till a miner decides to include them into a block. Mining is basically described as a process to add transactions into the blockchain and helps in the distribution of the coins to ensure that the market cap is unchanged. Miners first have to assemble transactions, usually from highest fee/kb to lowest fee/kb and the coinbase transaction in an order to calculate the merkle root. Rest of the block header is then populated with other data and the miner begins to hash the block. It hashes the block repeatedly with nonce incremement after each try till the hash is below the target. The miner then broadcast it to the network. Other miners will then calculate another set of merkle root and change the block header.

This is an effective way of preventing double spending with majority of honest miners.

Mining started from the CPU that you find in your computer to high end GPUs in the gaming rigs. Nowadays, they are no longer profitable for Bitcoin and ASICs are used for mining them. Even so, small time home miners aren't profiting from these. People are using big warehouse populated with ASICs to generate profits.

Have you considered reading posts in the Mining board of this forum?

Here's the link -> https://bitcointalk.org/index.php?board=14.0

There's a lot to be learned on this forum - read, learn, contribute.

Welcome!

Actually mining was a good thing for everyone years ago. Today you will not earn much mining Bitcoins if you have only a simple computer.
Try to join a mining pool otherwise try to focus on mining altcoins.

Mining is done with an ASIC, a single computer can't do anything. Mining pool doesn't change anything. Alt coins are highly competitive as most Bitcoin miners gave up on Bitcoin and some turned it into an alt coin rig. If you're mining on a lesser known coin, it would still be risky.

Mining is just popular name for "Transaction processing".
IMO it's linked to reward earned for each block and we will stop using this name after all bitcoins will be mined-out ... when the only reward for miners will be tx fee.

i would recommend documentary rise and rise of bitcoin on youtube or somewhere else
there is beggining of mining described in real life situation :) great movie, have fun

True. Mining is actually a time-consuming process. But you can definitely start mining if you can afford to invest the time required and bear the electricity charges as securing networks does take a long time. All the best with it if you are ready for it.

Check this video for how bitcoin completely work. :)
https://www.youtube.com/watch?v=1GP9fSAqBIM

You calculate hash (cryptographic function) that is confirmation of transactions in next block.
Simple as that, you need more details, read everything about mining out there :) i recommend bitcoin documentaries also.

As my knowledge BTC mining is a way to get Bitcoin by using mining equipment and we join in a Pool to start our mining, this is the section where you can learn about Bitcoin mining further https://bitcointalk.org/index.php?board=14.0, you should calculate about the cost and electricity cost.

nice explaining the answer, i get some new information about mining bitcoin, thanks bro.

#minexcoin.com

https://www.bitcoinmining.com/

This site has been pretty helpful for people trying to learn more about it. GL

Check this one https://www.bitcoinmining.com/.There are a lot of detailed information.

https://bitcointalk.org/index.php?topic=1580557.0 (https://bitcointalk.org/index.php?topic=1580557.0)

This OP asked the same question, and now you did. What's the difference between What is mining v/s What is btc mining?
Mining had been fun before, but it's a serious thing nowadays as the prices have gone crazy and generating Bitcoins through small computers is impossible, and you can only mine if you are stuffed with a lot of money and willing to put it into the required hardware that is needed to do this thing.

a straight forward answer will be.. btc mining is a way of earning bitcoins just by using your computer.. however it depends on the specs of your computer.. the faster it is.. the better the chance that you will have bitcoins.. cause the computer it self will process or find a problem that it will solve.. and if it did in a right time.. you will have a reward which is bitcoins :D ..

For the remainder of BTC surplus, miners harvest nodes to acquire coins... After the 21,000,000 are mined additional amounts come from transactions over the entire Bitcoin network.

This is done by mega computers with heavy GPU's as well as custom computers to amass virtual wealth.

My understanding is that once the 21 million coins are mined by 2140, there will be no block reward as such. The miners will get only the transaction fee, which can vary. Anyway, I don't know whether BTC will survive up to 2140.

It might. Untill then people now are very early adopters still. There only a few bitcoins so far and only so many can be mined. As more people adopt and in ten years time if you have saved a few whole bitcoins you might actually end up being rather wealthy. Lots horse our coins and wait and find out. ^^ Maybe by 2140 another Bitcoin is out and we do a swap xP

Bitcoin mining is the process of adding transaction records to Bitcoin's public ledger of past transactions or blockchain. This ledger of past transactions is called the block chain as it is a chain of blocks. The block chain serves to confirm transactions to the rest of the network as having taken place.

Bitcoin mining is a process of mathematical calculation performed on Bitcoin tissue. As we all know, Bitcoin runs in an online system, and the purpose of mathematical calculations is to verify the bitcoin transactions that exist on the Internet. By performing the verification, a bitcoin miner will get a new block gap in the Bitcoin network containing a new amount of Bitcoin and can be taken. That's where a Bitcoin miner will get Bitcoin for himself. The more the process of verification and the creation of new blocks, the more mined bitcoins will be.

Mining is process of generation of coins. Which is basically a rewards claimed by miner for their contribution for solving mathematical problem. These rewards are generated coins for solving certain blocks. These rewards have many parameters for calculation. Block height, block size, block difficulty, block rewards, total contributing power etc.

Especially for bitcoin mining there is predefined theory for rewards generation. As after every 2,10,000 Block there halving occurs which reduce bitcoin generation by 50%.

Very interesting, How much capital is needed to start mining?

Quite a lot. Most successful mining enterprises end up purchasing electricity, land, and miners in bulk, thus taking advantage of an economy of scale. Of course, if you want to try your luck at solo-mining, and need a wireless router as well, you can get a router with Bitcoin miner built-in (https://shop.bitmain.com/productDetail.htm?pid=00020160307072415240XwaQIqfF06D3#44) for around 40 USD.

Bitcoin mining is the process of adding transaction records to Bitcoin's public ledger of past transactions or blockchain.

what did you mean

I have same Question... I want to know how to mining...Very interesting, How much capital is needed to start mining......I hove I will get some Answer...?

I do not know what is the exact amount of investment need to build a mining site because it depends on the mining site wanting by the users. and also it depends on the price of the mining rigs you build. mate just consider the electricity rate in your country.

Great information here about bitcoin mining, I too wanted to know more about this and it brought me to this thread. Will try to see if it works for me too because so far from some topics I've read here at bitcointalk it usually says you need lots of funds or capital because it will increase your electric bill for sure.