What is Bitcoin Mining? (In Plain English)
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Published 2018-07-12
Bitcoin mining is the process of updating the ledger of Bitcoin transactions known as the blockchain. Mining is done by running extremely powerful computers (known as ASICs) that race against other miners in an attempt to guess a specific number.
The first miner to guess the number gets to update the ledger of transactions and also receives a reward of newly minted Bitcoins (currently the reward is 12.5 Bitcoins).
Today, in order to be profitable with Bitcoin mining you need to invest heavily in equipment, cooling and storage. It’s not possible to mine profitably with a PC or a GPU at home. You can calculate your profitability using a Bitcoin mining calculator.
0:20 - Bitcoin mining in a nutshell
3:13 - Mining difficulty and block time
4:22 - Evolution of Bitcoin mining hardware
6:30 - Bitcoin mining pools
7:24 - Is Bitcoin mining profitable?
10:41 - Other types of mining
13:14 - Frequently asked Questions
15:20 - Conclusion
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All Comments (20)
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What is the best strategy to succeed in the market now for someone with more or less than $10k
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Ok now I need to find a video that explains this video
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Quick questions: 1. Why do miners need to solve complex computational math problems? 2. Who create these puzzles? 3. For whom they are solving these maths problem? — it’s like I pay money to buy Pizza, here am solving the puzzle but why? Why puzzle? 4. Creator of puzzle will get what? 5. Is there any intrinsic value attached to crypto currency? or it’s all notional? — we still need fiat currency to buy bitcoins right? like to buy gold you need fiat money — same fiat money is used to buy bitcoins right? then what’s the difference here? it’s like buying a property or gold, now we have digital money, but I cannot buy bitcoins without fiat money.
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Watching this in 2024. Bought 2 Bitcoins in 2015 for $250 USD each, paid for a lakers game with 1 bitcoin, couldn't be bothered to use the other.. glad I forgot I had it till 2023,
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I'll never be sober enough to understand this.
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Me : watched the entire video carefully Also me : wait what ?
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The difficulty adjustment is so freaking genius
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Now this is probably the best beginner-friendly explanation out there, kudos to your team
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Instead of counting sheep, I will just watch this to fall asleep.
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I wish that some day I could talk so politely like him.
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I mined a coin yesterday 👍 good luck fellow miners
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Hey ppl, I'm a retired computer/IT person, Yet I still find sentinel Recover so informative and straight forward. Thanks for your advise and helping the people...........Great work and love watching.
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Michael scott: explain it to me like I'm 8 years old: Michael scott: ...... explain it to me like I'm 5 years old
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You have a serious knack for speaking and presentation
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To anyone reading this, remember Rome wasn't built in a day. your hard work will pay off
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This is great but...why don't you explain this to me like I'm five? 👀😭😂
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The amount of time we spend believing we can't is more than enough time to learn how you can. - my Brain
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Should’ve added: “And finally, it may be more profitable to invest in making videos about Bitcoin, or writing stories about Bitcoin and selling shares in the media company you’ve created than mining the Bitcoin itself. Depending on market factors, of course..... The world is turning into the matrix before our very eyes
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It is utterly amazing that this has monetary value
