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To: CygnusXI

From what I understand these miners verify a Bitcoin transaction so as a reward if you verify enough transactions you get to birth a new bitcoin.


19 posted on 01/18/2018 12:30:28 PM PST by C19fan
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To: C19fan; CygnusXI
From what I understand these miners verify a Bitcoin transaction so as a reward if you verify enough transactions you get to birth a new bitcoin.

That's not how it works. The transactions take no computer time at all and those aren't done until after the mining. The way it works is the miners test 17,000,000,000,000,000,000,000 hashes per second collectively (that was the peak, it's less now). Since hashes produce random number output by design, it is very unlikely to get lots of zeroes in a hash. The winner is the miner who gets a lot of zeroes. At that point they do the transactions to create a block which takes no time.

25 posted on 01/18/2018 12:35:35 PM PST by palmer (...if we do not have strong families and strong values, then we will be weak and we will not survive)
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To: C19fan

>From what I understand these miners verify a Bitcoin transaction so as a reward if you verify enough transactions you get to birth a new bitcoin.

No, bitcoins are discovered through lots of prime number hashes. But since miners are already doing the work to find new bitcoins, they also lend out their mining gear to verify transactions for a cut of the transaction. However, as the blockchain grow(IE, the recorded bitcoin movements) the cost to process transaction increases.

Bitcoin operations require a lot of electric power for the video card bitcoin farms they run. Almost all mining is done in China today because China heavily subsidizes electric power to encourage economic growth.


44 posted on 01/18/2018 12:51:54 PM PST by JohnyBoy (The GOP Senate is intentionally trying to lose the majority.)
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