What is Bitcoin?
Bitcoin is the first worldwide decentralized crypto currency and digital payment system called digital currency, as the system works without a central repository or single administrator. The system is peer-to-peer, and transactions take place between users directly, without an intermediary. These transactions are verified by network nodes and recorded in a public distributed ledger called a blockchain. Bitcoins are created as a reward for a process known as mining. They can be exchanged for other currencies, products, and services. As of February 2015, over 100,000 merchants and vendors accepted bitcoin as payment. Bitcoin can also be held as an investment. According to research produced by Cambridge University in 2017, there are 2.9 to 5.8 million unique users using a crypto currency wallet, most of them using bitcoin.
How does mining work?
Bitcoin mining begins with computers called miners. These miners use their processing power to solve complex math equations. They verify transactions and decrypt blocks of newly released Bitcoin. As a reward for solving these equations, they are rewarded with a certain amount of Bitcoin in return, which in turn can be exchanged into US dollars.
Can I make money mining Bitcoin?
Yes! Bitcoin has been consistently increasing in value over time and shows no signs of slowing down. The more Bitcoin you can mine, the more valuable it becomes when the Bitcoin value increases. If you had $100 worth of Bitcoin in 2010 and held on to it until today, your $100 would be worth $75,000,000.
What do I need to get started mining Bitcoin?
To get started in Bitcoin mining you will need to buy a miner such as the Avalon 741, a power supply and a controller. Once you have these 3 items, you can configure your miner, join a pool and start mining Bitcoin.