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If you're mining Bitcoin, you do not need to figure the total value of the 64-digit number (the hash). I repeat: You do not need to figure the total 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 known as the objective hash.

What miners are doing with those tremendous computers and dozens of cooling fans is guessing in the hash. Miners create these guesses by randomly generating as many"nonces" as possible, 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 first miner whose nonce generates a hash that is less than or equivalent to the target hash is awarded credit for completing that block, and is awarded the spoils of 12.5 BTC. .

In theory you can achieve the same goal by rolling a 16-sided die 64 times to arrive at random numbers, but why on earth would you want to do this

The screenshot below, taken by the site Blockchain.info, might enable you to put all this information together in a glance. You're looking at a summary of everything which 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 they confirmed 1768 transactions for this block. If you truly want to see all 1768 of those transactions for this block, go to this webpage and scroll down to the heading"Transactions." .

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

Here are some examples of randomized hashes and the standards for whether they will lead to success for your miner:

You'd need to find a speedy mining rig , more realistically, join a mining pool--a group of miners that combine their computing power and split the mined bitcoin. Mining pools are similar to people Powerball clubs whose members purchase lottery tickets en masse and consent to discuss 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 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 1 in 2,874,674,234,416--less than 1 in two trillion. .

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The aforementioned site Cryptocompare offers a very helpful calculator that permits you to plug in numbers try this such as your hash speed, power costs etc. to estimate the costs and benefits.

Mining rewards are paid into the miner who discovers a solution to the puzzle , and also the probability that a participant is going to be the one to find the solution is equal to the portion of the total mining energy on the network.  Participants with 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 purchase to get a few thousand bucks would represent less than 0.001% of their network's mining energy.  With such a tiny chance at finding the next block, it could be a long time before that miner finds a block, and also the difficulty going up makes things even worse.  The miner may never recover their investment.  The answer to this problem is mining pools.  Mining pools are run by third parties and coordinate groups of miners.  By working together in a 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. useful source .

Sure. As discussed, the simplest way to acquire Bitcoin is to purchase it on an exchange like Coinbase.com. Alternately, you can consistently leverage the"pickaxe plan". This relies on the old saw that during the 1848 California gold rush, the smart investment was not to pan for gold, but instead to make the pickaxes taken for mining.

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