Bitcoin Mining: What exactly is Bitcoin Mining?

-

 Bitcoin Mining: 



What exactly is Bitcoin Mining?


The biggest obstacle in the way of blockchen cryptocurrency is how the double -spind problem is exactly how to solve the problem. But the double -spind problem was the biggest obstacle in front of the cryptocurrency, but was not the only obstacle. The blockchane resolved how to distribute the currency through digital, but there was another major problem behind the cryptocurrency. That is how to create this currency?


Bitcoin Mining :

In today's part, we are going to broilly know about what Bitcoin Mining is Bitcoin Mining. In the back of this article, we see how Bitcoin transaction technology is exactly what the blockchain is, and how the biggest obstacle in the way of blockchain cryptocurrency is how the double -spendy problem is resolved. But the double -spind problem was the biggest obstacle in front of the cryptocurrency, but was not the only obstacle. The blockchane resolved how to distribute the currency through digital, but there was another major problem behind the cryptocurrency. That is how to create this currency?


Bitcoin and Cryptocurrency Powered Technology - Part 1


To understand this problem, we must first understand why the creation of a currency is and how is it important? Generally, a currency like Fiat Currency, the rupee dollar euro, prints a central organization, and the biggest willpower to implement cryptocurrency was to raise a decentralized option to the central organization. But there was no homogeneity among the people who were excited about digital currency on how to set up this decentralized structure. Satoshi Nakomoto wrote the white magazine and brought this singularity. We are not going to consider part of the economy in this article, but people have so much misconceptions about mining that what exactly is mining? Before understanding this, it is important to briefly understand the meaning behind that.

Bitcoin mining 

  • What exactly is the problem to create a currency in the decentralized system? Creating currency is a very sensitive issue. The whole economy of that currency depends on how much currency to go to the market at any certain time. 
  • Can the government make as much currency as they want? So theoretically. And many countries have done so from time to time. But the money printing the air has a very adverse effect on the economy. Not much to say in the economics, the more money is printed in the economy and the value of the currency is reduced. 
  • For example, the same thing you can take in 5 rupees has to take 5 rupees, your service is reduced and so on. At the same time, if there is no money to the air, the price of money increases and the value of money increases. Therefore, it is important to make the decision to create a currency.
  • If everyone in this currency is determined to decide this, it will be very difficult to agree, so it is important to hand over this decision to an absolute organization. But how to install such an absolute organization in a decentralized system? Science help was taken back to this place. 
  • Mathematics is the organization that Satoshi handed over to an absolute organization. Faith is an important issue in the decentralized system. Humans or man -made organizations can miss, their decisions may be relative, and therefore, the decentralized method is emphasized on reducing the relative. And mathematical structures are an excellent solution for this.
  • Many people think that bitcoin mining means solving a mathematical puzzle and you get some bitcoin from the system to solve these puzzles. Of course, new bitcoin is produced. Therefore, people's perceptions are that getting money to solve a puzzle is as incredible like a pyramid scheme. But this total faith is based on somewhat wrong assumption.
  • You don't just have a currency as a reward to solve a math in the blockchain. So this is a strong mathematical structure overall. And to understand it, you have to remember the back of this article. The end of the back was done on a question. How and who decides which block will be next to the blockchain. The answer to that question is hidden in mining.
  • Each block of the blockchain is secured by an encryption so that it is impossible to open this block and play with the transactions. This encryption is called Irreversible Cryptographer Hash Function. How does this hash function work exactly? The hash changes any data into the boundary letters. That is, if there is a hash function of 256 BIT, whether there are two words "Hi Indranil", whether two sentences of conversation, the hash function will encode it in 256 bit. 
  • These 3 letters are completely random or random. And even if one of them changes the letter, the whole meaning changes. It does not have any key to decode encryption. Therefore, the computer has to predict the encryption. That is, you know the output and find it input. This is called the use of Bruch Force. That is, the word random word is to encod by the hash function and see if it matches the encoded string, the output of the given. If you match, it happened. If not, take a new word back. This decoding takes a long time.

Bitcoin (and cryptocurrency) behind technology - Part 1

  • The larger the hash function, the longer it takes. Shaptoconies use ShaP 256 Hash Function of 2 bit bits. How does this hash create for each block?
  • An encoded hash function of each block is produced by the hash function of the previous block, the hash function of the current block, and a none. What is a noons? So, like the blockchain protocol, a difficulty level for each hash function is fixed, ie difficular levels. That is, the hash function created below the level is considered valid. Due to this problem level, the time to create a hash function is usually the same on the network, which is usually the same (this is about 5 minutes in terms of bitcoin). 
  • This problem level varies every two weeks so that it can be stable for 5 minutes. In the case of blockchain, the problem level determines how much zero should be at the beginning of the hash function. For example 1, 2, 2, etc. A valid hash function usually looks like this
  • Now, with the hash function of the previous block and the hash function of the current block, it cannot be sure that the hash function at the bottom of this difficulty level will be created. In fact, the possibility of that is very low. Then it is added to the number of letters of the random letters that are called noons. These random letters have to be identified by the computer estimated and it takes the real time. It is seen that the hash is less than the hassle of changing the noons. If not low, a new hash is created using a new nose back. 

  • It will usually take a year to identify your simple laptop. But since all the nodes are solved on the decentralized network, this time takes less. It was recognized that the hash function was created and the new block is connected to the chain. Solving this hash function is said to solve mathematics in simple language. But this mathematics is not to be solved, but it is very important for blockchain to solve it. Therefore, the person who relieves this hash function gets a certain crepticity. 
  • How many nodes are on this network can make it less time to solve the none for this hash function. If there is a low node, the algorithm reduces the odd problem level so that the nodes solve the mathematics and they get the money to solve it. It becomes faster to solve it, and with this currency's craving, more nodes begin to come to the network, then the difficulty levels increase automatically and it takes longer to solve math. Currency creation slows down and maintains the system balance. There are restrictions on how much currency it is being created. And this stability is due to this complex but stable mathematical structure. Of course, the motivating power of currency creation is not human but is mathematical and completely decentralized.
What will be the future of Bitcoin and the rest of the Creptocci? It will only be said that this is the time to come, but it is certain that the blockchain is a boon for digital exchange and transactions. It is not just a blessing to be limited to money transactions. Blockchain is a strong alternative to all the resolutions between the two persons, the claim of copyright, sending confidential information, and this option is definitely changing the face of the Internet in the coming days.


Location: RCCW+75 Basoni, Uttar Pradesh, India

Comments

Post a Comment

Post office Saving Schemes - Secure Government Investment

Mahila samman saving scheme post office

-
Image
Mahila samman saving scheme post office  2023 (MSSC) ~ Note -This scheme is no longer available from 31st March 2025  (you can check for alternative Scheme available in post office) Mahila Samman Saving Certificate is new scheme launch by Modi government specifically targeting for Women and girls   for small saving. It was launch by Union Finance Minister, Smt. Nirmala Sitharaman   in her 2023-24 Budget speech. The Mahila Samman Savings Certificate scheme was announced to commemorate the Azadi ka Amrit Mahotsav.  The Mahila Samman Savings Certificate is a one-time scheme available for two years, from April 2023-March 2025. This scheme is having heights return in short term 2 year only no other such scheme available in market or in post office itself. It will offer a maximum deposit facility of up to Rs.2 lakh in the name of women or girls for two years at a fixed interest rate.  Features of Mahila Samman Savings Certificate as below Feature...
Read more

Postal Life Insurance (PLI)

-
Image
Postal Life Assurance or  Postal Life Insurance -   The inception of Postal Life Assurance (PLA) dates back to the 1st of February in 1884. It emerged as a benevolent endeavor aimed at the welfare of postal staff and subsequently extended its protective embrace to employees of the Telegraph Department in 1888. In a noteworthy stride, in 1894, PLA pioneered insurance coverage for female employees within the then P & T Department, an unprecedented feat at a time when no other insurance entity ventured to safeguard women's lives. This establishment bears the distinction of being the most ancient life insurance provider within our nation. The annals of time have witnessed PLA's impressive evolution, transforming from a mere handful of policies in 1884 to a staggering tally of over 50 Lacs policies as of the 31st of March, 2021. Presently, it extends its protective canopy over personnel from various sectors, encompassing Central & State Governments, Defense and Para-Mil...
Read more

Post Office Fixed Deposit

-
Image
  Post Office Time Deposit Account (Fixed Deposit) post office term deposit interest rate   Introduction The Post Office Time Deposit Account, also known as the Fixed Deposit, and the National Savings Time Deposit Account (TD) are investment options that allow individuals to save money for a specific period while earning assured returns. These accounts provide a secure and reliable avenue for individuals to grow their savings with the backing of the Government of India. Account Tenure and Interest Rates The Time Deposit Accounts offer different tenures, ranging from 1 year to 5 years, with corresponding interest rates. Currently, the interest rates stand at 6.9% for a 1-year account, 7% for a 2-year account, 7.1% for a 3-year account, and 7.5% for a 5-year account. Post office fd intrest rate 2025 Account Tenure Applicable Interest Rate 1 Year 6.9% 2 Year 7% 3 Year 7.1% ...
Read more

Buying and Renting a Flat: A Lucrative Real Estate Investment

-
Image
Buying and Renting a Flat: A Lucrative Real Estate Investment   Introduction to Buying and Renting a Flat as an Investment Investing in flats can be a profitable venture, providing both passive income and long-term wealth accumulation.   To be honest I have seen all analyze this classically being the comparison with loan and EMI vs Mutual funds. People seem to think that mutual funds offer 15 to 20 percent guaranteed returns. This is not the case many a times. Just like good research is required to invest in mutual funds. Same is the case with real estate. A 6 year old 3 bhk (in 2014) bought for 1 cr in 2014 in a metro is now worth 1.5 cr. Deal sealed and money in account. Sold in 2019 (11 year old building) for a 50 percent return in 5 years. Plus 3 percent average rentals each year a 13 % per annum. Real estate is about one major thing. And that is location. Location is key to this market /investment.   In this guide, we will explore the various steps involv...
Read more

NFT Investments: The Future of Investing

-
Image
  NFT Investments: The Future of Investing NFT  Introduction In recent years, the world of finance has witnessed a revolutionary concept known as Non-Fungible Tokens (NFTs). These unique digital assets have gained tremendous popularity, attracting attention from investors, collectors, and enthusiasts alike. NFT investments have emerged as a new frontier in the financial landscape, offering exciting opportunities for growth and diversification. In this comprehensive guide, we will delve into the intricacies of NFT investments and explore why they are considered the future of investing. Understanding NFTs NFTs are digital assets that utilize blockchain technology to establish verifiable ownership and scarcity. Unlike cryptocurrencies such as Bitcoin or Ethereum, which are fungible and can be exchanged on a one-to-one basis, NFTs are indivisible and unique. Each NFT possesses distinct attributes, making it one-of-a-kind and irreplaceable. These digital tokens can repr...
Read more

Senior Citizen Saving Scheme interest rate (SCSS) 2023

-
Image
Secure Your Retirement with the Senior Citizen Savings Scheme (SCSS) 2023  Senior citizen saving scheme interest rate By Satish M•  On 23rd  June, 2023 Are you a retired senior citizen above 60 years of age or someone who took voluntary retirement after turning 55? If so, the Senior Citizen Savings Scheme (SCSS) is an exclusive investment opportunity designed to provide financial security and a regular income to individuals in their golden years. Offered by India Post Office and some nationalized banks, this scheme is specifically tailored to cater to the needs of senior citizens and offers attractive benefits. In this comprehensive blog post, we will delve into the details of SCSS, its eligibility criteria, interest rates, tenure, deposit limits, key features, and the documents required to open an account. Eligibility for the Senior Citizen Savings Scheme: The SCSS is available to two specific groups of individuals: Retired Defense Employees : Individuals who...
Read more

Investment in Gold is Profitable

-
Image
  Investment in Gold and Future Profit   Introduction : - Gold, with its lustrous and enduring appeal, has been a symbol of wealth and prosperity throughout human history. In the realm of investments, gold has consistently played a crucial role as a hedge against inflation, economic uncertainties, and currency fluctuations. This article explores the various facets of investing in gold, shedding light on its historical significance, its role in a diversified portfolio, and the different avenues available for investors to tap into the golden opportunity. The Historical Significance of Gold: Gold's status as a valuable commodity can be traced back thousands of years, transcending cultures and civilizations. From ancient civilizations using gold as a form of currency to its pivotal role in the gold standard, the precious metal has retained its allure over time. Today, gold stands as a timeless store of value, cherished for its scarcity, durability, and intrinsic beauty. ...
Read more

Baluchistan - Baloch Maratha

-
Image
 Baluchistan -  Baloch Maratha   Balochistan's region is also in the news, both Iran and Pakistan are attacking Baloch fighters and Balochi people are also fighting for their freedom from Pakistani injustice on people. The third battle of Panipat took place on January 7 between the Marathas and Afghanistan's Ahmed Shah Abdali. The Mughal emperor had sought his help to break the Maratha domination. The Peshwas overturned the Mughal empire and decided to march on Panipat. However, destiny left them and the Marathas faced the most abusive defeat in their glorious history. But even in the defeat, he damaged the Afghan army, and Abdali never stepped in India again.  About 3 soldiers from the army of the Peshwas participated in the battle were rescued and then scattered in the forest of Haryana. Today they are known as Rod (or Ror) Marathas, and with a population of 1 lakh to 3 lakhs, it is a strong local community spread over Karnal, Rohtak, Bhiwani etc. Neeraj Chopra, th...
Read more

IPPB: Post office bank now at your doorstep

-
Image
  IPPB: Post office bank now at your doorstep! To get these facilities you need to do. IPPB: India Post Payments Bank will now provide services directly to your doorstep. You will have to pay a nominal fee for it. This scheme will be of great benefit to those who do more digital transactions, so what is this scheme? Delhi: You must have heard the name of India Post Payments Bank, the post office bank will soon reach places where Indian banks have not reached. For the past several years, the post office has been the medium for delivering many other savings schemes to the villages. Now the post office will work to strengthen the economic pulse of the country through IPPB. Now this post office bank has brought a great offer for crores of customers across the country. You will get the facilities of Indian Post Payments Bank at your doorstep. So you can take advantage of the post office schemes at your doorstep. Below is the offer Under the premium, special service of Indian Pos...
Read more

Gramin Dak Savek (GDS)

-
Image
 GDS ( Gramin Dak Sevak )  - what is GDS in Post office ? Are you curious about the Gramin Dak Sevak (GDS) role and want to know everything there is to know? Look no further! In this ultimate guide, we will offer you a comprehensive overview of the GDS position and provide you with all the essential information you need. Whether you are considering a career as a GDS or you simply want to understand the responsibilities and benefits associated with this role, this guide has got you covered. From explaining what a GDS is to detailing the eligibility criteria, job responsibilities, and career prospects, we leave no stone unturned. Our aim is to provide you with accurate and up-to-date information, ensuring that you have a clear understanding of what to expect from a career as a GDS. Whether you are new to the field or a seasoned professional looking to gather more insights, this guide will act as your go-to resource. So, without further ado, let's dive into the world of Gramin Da...
Read more