SHA256 Algorithem; How does mining work?

[Centaure]

Hi guys,

I had a look at the SHA256 algorithm on http://celan.informatik.uni-oldenburg.de/kryptos/info/sha2/overview/. It is quite a nice way to explain it.

One can try it out on http://celan.informatik.uni-oldenburg.de/kryptos/algo/hash/sha2/.

When I saw this I was asking myself on what do we apply this algorithm for mining bitcoins. I would like to find out how that works for one hash to understand the notion of cryptocoins in general.

Best Regards,
Centaure

[DannyHamilton]

Mining involves repeatedly performing the SHA-256 hash of the block header (incrementing a nonce each time) until you stumble across a hash that has a lower value that the current bitcoin network difficulty target.

[dscotese]

Here you go.

Now I'll go read it myself :-)