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

Bear in Mind that ELI5 analogy, in which 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 those huge computers and dozens of cooling fans is guessing at the target hash. Miners make these guesses by randomly generating as many"nonces" as possible, as fast as possible. A nonce is short for"number only used once," and the nonce is the key to generating these 64-bit hexadecimal numbers I keep talking about.

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

In theory you could achieve the same goal by rolling a 16-sided expire 64 days to Reach random numbers, but why on earth do you want to do this

The screenshot below, taken by the site Blockchain.info, might enable you to put all of this information together in a glance. You are looking at a summary of everything that happened when block #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 to the Bitcoin community is that they confirmed 1768 transactions for this cube. If you truly want to see all 1768 of these transactions for this block, go to this webpage and scroll down to the heading"Transactions." .

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

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

You would need to find a fast mining rig or, more realistically, join a mining pool--a bunch of miners that combine their computing power and divide the mined bitcoin. Mining pools are similar to those Powerball clubs whose members purchase lottery tickets en masse and agree to share any winnings. A disproportionately large number of cubes are mined by pools rather than by individual miners. .

In other words, it is literally only a numbers game.  You cannot guess the pattern or make a prediction based on preceding 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 goal is just 1 in 2,874,674,234,416--less than 1 in two trillion. .

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The aforementioned site Cryptocompare delivers a very helpful calculator which permits 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 , and the likelihood that a participant will be the one to discover the solution is equal to the portion of the entire mining energy on the network.  Participants which have a small percentage of the mining power stand a tiny chance of discovering the next block on their own.  For instance, a mining card that one could buy to get a couple thousand dollars would represent less than 0.001% of their network's mining power.  With such a tiny chance at finding the next block, it could 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 get a steady look at this site flow 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 simplest 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 for goldbut rather to make the pickaxes taken for mining.

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