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If you are mining Bitcoin, you do not need to figure the total value of the 64-digit number (the hash). I repeat: You do not need to calculate the entire value of a hash.

Remember that ELI5 analogy, where I composed the number 19 on a piece of newspaper and put it in a sealed envelope

In Bitcoin mining conditions, that metaphorical undisclosed number in the envelope is called the target hash.

What miners are doing with these huge computers and dozens of cooling fans is guessing at the target hash. Miners create these guesses by randomly generating as many"nonces" as possible, as quickly as possible. A nonce is short for"number only used once," and also the nonce is the secret to generating these 64-bit hexadecimal numbers I keep talking about.

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The primary miner whose nonce generates a hash which is less than or equivalent to the target hash is given credit for completing that block, and is given the spoils of 12.5 BTC. .

In theory you can achieve the same goal by rolling a 16-sided die 64 days to arrive at random numbers, but why on earth would you want to do this

The screenshot below, taken from the site Blockchain.info, might help you put all of this information together in a glance. You are looking at a list of everything that happened when obstruct 490163 was mined. The nonce that generated the "winning" hash was 731511405. The goal hash is shown on the top.

As you see here, their contribution into the Bitcoin community is they confirmed 1768 transactions for this block. If you really want to see all 1768 of these transactions for this block, then go to this page and scroll down to the heading"Transactions." .

There's no minimum target, but there is a maximum goal set by the Bitcoin Protocol. No target can be greater than this number:

Here are some examples of randomized hashes and also the criteria for if they will lead to achievement for the miner:

You'd need to find a fast mining rig or, more realistically, join a mining pool--a bunch of miners that combine their computing ability and divide the mined bitcoin. Mining pools are comparable to people Powerball clubs whose members buy lottery tickets en masse and consent to discuss any winnings. A disproportionately high number of blocks are mined by pools rather than by individual miners. .

In other words, it's literally just a numbers game.  You cannot imagine the pattern or make a prediction based on previous target hashes. The difficulty level of the most recent block at the time of writing is 2,874,674,234,416, i.e. the chance of any given nonce producing a hash beneath the goal is just 1 in 2,874,674,234,416--less than 1 in two trillion. .

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The aforementioned website Cryptocompare delivers a very helpful calculator that permits you to plug in numbers such as your hash rate, power costs etc. to gauge the costs and benefits.

Mining benefits are paid into the miner who finds a solution to the puzzle first, and also the likelihood that a participant is going to be the one to discover the solution is equivalent to the portion of the entire mining energy on the network.  Participants which have a small percentage of their mining power stand a very small chance of discovering the next block on their own.  For instance, a mining card that one could buy to get a couple thousand bucks would represent less than 0.001% of the network's mining energy.  With such a tiny chance at finding the next block, it might be a long time before that miner finds out a block, and the difficulty going up makes things even worse.  The miner may their website never recoup their investment.  The answer to this problem is mining pools.  Mining pools are operated by third parties and coordinate groups of miners.  By working together in view website a swimming pool and sharing the payouts amongst participants, miners can get a steady flow of bitcoin starting the day that they trigger their miner.  Statistics on a few of the mining pools can be seen on Blockchain.info. .

Sure. As mentioned, the easiest way to get Bitcoin is to buy it on an exchange like Coinbase.com. Alternately, you can always leverage the"pickaxe strategy". This relies on the old saw that during the 1848 California gold rush, the wise investment was not to pan weblink for goldbut instead to make the pickaxes taken for mining.

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In a crypto context, the pickaxe equivalent would be a company that manufactures equpiment utilized for Bitcoin mining. You can start looking into companies which make ASICs miners or GPU miners. .