What is Bitcoin Mining?

Programmers, called miners, not the state, decide when to produce or distribute bitcoin, which is decentralized and does not represent a national law. Miners solve mathematical problems using certain programs, and thus bitcoin is produced.

A miner can choose cloud mining, hardware mining or computer mining as a method. In the process of circulating Bitcoins, the accuracy of the transaction is confirmed by the miners and new blocks are added to the chain. This process is called bitcoin mining. Anyone who wants can mine with a suitable hardware and internet environment. Production requires good hardware, good mining software, and a bitcoin wallet.

The electrical energy spent for production is also added to the costs. Energy is an important factor for both system operation and cooling. Miners who do not want to mine alone can also mine by establishing a partnership, and for this, they can make their work easier by joining groups called “pools”.

Miners in pools can be found in various regions or countries, and any miner who wants to have more powerful hardware at less cost can use the pool method. Thus, thanks to powerful equipment, more difficult problems can be solved in a shorter time. The reward from Bitcoin production is also divided according to the contribution made in that production. It is a known fact that mathematical problems created with complex encryptions can be solved 1 billion times per second thanks to devices.