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

Bear in Mind that ELI5 analogy, in which I wrote the number 19 on a piece of paper and put it in a sealed envelope

In Bitcoin mining terms, that metaphorical undisclosed number in the envelope is known as the objective hash.

What miners are doing with those tremendous computers and dozens of cooling fans is guessing at the hash. Miners make these guesses by randomly generating as many"nonces" as you can, as quickly as possible. A nonce is short for"number only used once," and 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 equal 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 expire 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 at a glance. You are looking at a summary of everything that happened when obstruct 490163 was mined. The nonce that generated the "winning" hash was 731511405. The goal hash is shown on top.

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

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

Here are some examples of randomized hashes and also the criteria for if they read this will lead to success for your miner:

You'd have to find a fast mining rig or, more realistically, join a mining pool--a group of miners who combine their computing power and divide the mined bitcoin. Mining pools are somewhat similar to those Powerball clubs whose members buy lottery tickets en masse and consent to share any winnings. A disproportionately large number of blocks are mined by pools rather than by individual miners. .

In other words, it's literally only 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 below the target is just 1 in 2,874,674,234,416--significantly less than 1 in 2 trillion. .

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The aforementioned website Cryptocompare delivers a helpful calculator that allows you to plug in numbers like your hash rate, power prices etc. to gauge the costs and benefits.

Mining benefits are paid into the miner who discovers a solution to the puzzle first, and also the likelihood that a participant will be the one to discover the solution is equivalent you can look here to the portion of the total mining power on the network.  Participants which have a small percentage of the mining capability 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 few thousand bucks would represent less than 0.001% of the network's mining power.  With such a tiny chance at finding the next block, it might be a long time before that miner finds out a block, and also the problem going up makes things even worse.  The miner may 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 a swimming pool and sharing the payouts amongst participants, miners can find a steady stream of bitcoin starting the afternoon that they activate their miner.  Statistics on some of the mining pools can be seen on Blockchain.info. .

Sure. As discussed, the easiest way to get Bitcoin is to buy it on an exchange like Coinbase.com. Alternately, you can always leverage the"pickaxe plan". This relies on the old saw that during the 1848 California gold rush, the wise investment was not to pan for gold, but rather to create the pickaxes used for mining.

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In a crypto context, the pickaxe equivalent are a company that manufactures equpiment sites used for Bitcoin mining. You can look into companies that make ASICs miners or GPU miners. .