What is mining ? And how does bitcoin get generated

rik3

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Quote from: Roboabhishek on September 18, 2016, 02:51:56 PM

I have a serious question since I started using bitcoin that is -> How bitcoin is generated

- By Bitcoin currency creator ?

Also what happen in mining does it create more bitcoin or it's a reward for confirming transactions by Bitcoin creator.

I hope getting answer soon.
Thanks

Accoding To Me As I Know That Bitcoins are Generated By Solving Some Mathematical Equations By a Hardware Which is Known as a Mining Hardware.....
In Mining The Bitcoin Transactions are Confirmed And Enlisted into The Public Ledger By the Mining Hardware.....

Steve_T

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Thanks for posting the thread, really interesting info.

emezh10

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everything is explained here : http://www.coindesk.com/information/how-bitcoin-mining-works/

jak3

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bitcoin mining is a time based process in which a mashine is used to solve huge mathamatical problems and each problem is placed into a network block with a set of 20000-30000 transactions friom all over the world and as soon as a block gets solved it is also being verified and hence all the transactions in that will get confirmations

Sundark

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Quote from: DannyHamilton on September 24, 2016, 09:23:32 AM

Quote from: Roboabhishek on September 23, 2016, 03:16:30 PM

I meant Nakamoto when I said creator of bitcoin Cheesy

,
As he made this currency they he should be having some administrative rights like giving bitcoins to miners , etc

No.

Bitcoin is a decentralized, open-source, permissionless, trustless, peer-to-peer system.

You have all the same administrative rights in this system as Mr. Nakamoto. The system doesn't allow him to do ANYTHING that is doesn't also allow you to do.

Maybe in theory when we are talking about 1 person it is correct. But what about scenario when this person is admin of the biggest mining pool.
Isn't that true that these people (owners of mining pools, developers) have bigger possibilities to influence bitcoin?

amacar2

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CryptoTalk.Org - Get Paid for every Post!

Bitcoin is completely decentralized and no one has yet been identified as the original owner/creator of bitcoin. But yes how much and how bitcoin will be generated every time when transaction is included in a block every 10 minutes time were fixed/setup in early days by bitcoin creator/dev. Those generated bitcoin will go towards miner who have enough mining power and who support bitcoin network not towards the creator of bitcoin.

DannyHamilton

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Quote from: Roboabhishek on September 23, 2016, 03:16:30 PM

I meant Nakamoto when I said creator of bitcoin Cheesy

,
As he made this currency they he should be having some administrative rights like giving bitcoins to miners , etc

No.

Bitcoin is a decentralized, open-source, permissionless, trustless, peer-to-peer system.

You have all the same administrative rights in this system as Mr. Nakamoto. The system doesn't allow him to do ANYTHING that is doesn't also allow you to do.

Roboabhishek

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Quote from: buxlover on September 23, 2016, 06:29:30 AM

Mining is simply confirming the transactions of bitcoins.

Quote from: Roboabhishek on September 18, 2016, 02:51:56 PM

I have a serious question since I started using bitcoin that is -> How bitcoin is generated

- By Bitcoin currency creator ?
Thanks

Bitcoin is not practically generated, the miners just include a transaction of block reward to himself when a block is found.

Quote from: Roboabhishek on September 18, 2016, 02:51:56 PM

Also what happen in mining does it create more bitcoin or it's a reward for confirming transactions by Bitcoin creator.

nearly both are correct more bitcoins comes into circulation and that bitcoin comes in the way of reward.

Huh

One thing i don't understand on what meaning you are specifying bitcoin creator

I meant Nakamoto when I said creator of bitcoin Cheesy

,
As he made this currency they he should be having some administrative rights like giving bitcoins to miners , etc
Some of my doubts are now clear.

beerlover

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Quote from: Roboabhishek on September 18, 2016, 02:51:56 PM

I have a serious question since I started using bitcoin that is -> How bitcoin is generated

- By Bitcoin currency creator ?

Also what happen in mining does it create more bitcoin or it's a reward for confirming transactions by Bitcoin creator.

I hope getting answer soon.
Thanks

There is no specific Bitcoin currency creator, blockchain itself creates new bitcoins out of thin air and will includes it to the newly created block as a reward to the miner who finds it.

With mining process, our new transactions are being included into new blocks and recent-old transactions are being confirmed. For the process "including", blockchain rewards new bitcoins.

Noctis Connor

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Quote from: Roboabhishek on September 18, 2016, 02:51:56 PM

I have a serious question since I started using bitcoin that is -> How bitcoin is generated

- By Bitcoin currency creator ?

Also what happen in mining does it create more bitcoin or it's a reward for confirming transactions by Bitcoin creator.

I hope getting answer soon.
Thanks

bitcoin mining ? is the process of adding transaction records you can get generated bitcoin depends on the hash power of your bitcoin miner and for me as of today or last survey that bitcoin mining is not that profitable right just try trading and everything will be fine for sure.

buxlover

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Mining is simply confirming the transactions of bitcoins.

Quote from: Roboabhishek on September 18, 2016, 02:51:56 PM

I have a serious question since I started using bitcoin that is -> How bitcoin is generated

- By Bitcoin currency creator ?
Thanks

Bitcoin is not practically generated, the miners just include a transaction of block reward to himself when a block is found.

Quote from: Roboabhishek on September 18, 2016, 02:51:56 PM

Also what happen in mining does it create more bitcoin or it's a reward for confirming transactions by Bitcoin creator.

nearly both are correct more bitcoins comes into circulation and that bitcoin comes in the way of reward.

Huh

One thing i don't understand on what meaning you are specifying bitcoin creator

newIndia

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Quote from: Roboabhishek on September 18, 2016, 02:51:56 PM

I have a serious question since I started using bitcoin that is -> How bitcoin is generated

- By Bitcoin currency creator ?

Bitcoin is generated through the mining process. It is nothing but a mathematical calculation to find a SHA256 hash which satisfies certain criteria.

Quote from: Roboabhishek on September 18, 2016, 02:51:56 PM

Also what happen in mining does it create more bitcoin or it's a reward for confirming transactions by Bitcoin creator.

By mining, a miner gets rewarded by some bitcoin from the network as well as the miner collects total mining fee from the Tx list it is confirming.

Quote from: Roboabhishek on September 18, 2016, 02:51:56 PM

I hope getting answer soon.
Thanks

For details, please check https://en.bitcoin.it/wiki/Mining

Roboabhishek

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I have a serious question since I started using bitcoin that is -> How bitcoin is generated

- By Bitcoin currency creator ?

Also what happen in mining does it create more bitcoin or it's a reward for confirming transactions by Bitcoin creator.

I hope getting answer soon.
Thanks

Topic: What is mining ? And how does bitcoin get generated (Read 1250 times)