Go Back   Web User Forums > All Other Technical Help Topics > All other topics

Reply
 
Thread Tools Search this Thread Display Modes
  #1  
Old 20-12-17, 22:37
Mugsy0151's Avatar
Mugsy0151 Mugsy0151 is offline
Enthusiastic contributor
 
Join Date: Nov 2007
Location: The Great Gig in the Sky
Posts: 812
Default Mining bit coin

Trying to get my head around this.

Articles I read infer they find, or mine bit coin by solving complex equations.

How?

It doesn't exist. Does it?

They make it sound like metal detecting.

Is it produced out of thin air?

Is there a finite supply?

Cryptocurrency experts are forecasting the biggest bubble pop ever, but security experts come alleged murderer and all round oddball John McAfee predicts it's value rising to $2m.

Each transaction uses enough power to serve a family home for a week. In whole it consumes more power than the lowest 140 power using countries, and is predicted to use more power than the whole world in 2020. The biggest single cause of global warming??

Anyways, I digress. Somebody please explain the production of bit coin to me!

Cheers, Mugsy
__________________
There is no Dark Side of the Main Stand.....

As a Matter of Fact, it's all Dark.....
Reply With Quote
  #2  
Old 21-12-17, 00:53
Madeline's Avatar
Madeline Madeline is offline
Top contributor
 
Join Date: Jan 2004
Location: Cymru
Posts: 50,037
Default Re: Mining bit coin

Below are links to a couple of threads you may find useful Mugsy:

Block Cryptocurrency Mining - Web User Forums

Persistent drive-by cryptomining coming to a browser near you - Web User Forums
__________________
"I'm Irish. We think sideways." Spike Milligan. 1918 - 2002
Reply With Quote
  #3  
Old 07-02-18, 21:27
Joe-King Joe-King is offline
Enthusiastic contributor
 
Join Date: Oct 2017
Location: Eastbourne, Sussex
Posts: 343
Default Re: Mining bit coin

I don't think that's what Mugsy0151 meant, Madeline. I think he's trying to understand how to create bitcoins.

I've seen diagrams, but it's not for me. This one remaining brain cell is getting too rusty for anything like that.

One thing that would worry me is the fact that bitcoins appear to have no physical existence and no direct connection to the existing money supply.

I realise that's part of their attraction, but if the internet were to go down, there'd be no more "imaginary" currency. Even the banks would very quickly run out of cash because most "money" is imaginary (meaning electronic).

Much as I dislike the existing "money as debt" SCAM, I'll stick with it until either it dies or I do, whichever comes first.
__________________
.
Ubuntu 12.04, 64-bit. i7 processor. Asus P6X58D-E motherboard. 6GB RAM. 1TB HD + 750 GB HD.
Reply With Quote
  #4  
Old 07-02-18, 21:38
Madeline's Avatar
Madeline Madeline is offline
Top contributor
 
Join Date: Jan 2004
Location: Cymru
Posts: 50,037
Default Re: Mining bit coin

Quote:
I don't think that's what Mugsy0151 meant, Madeline. I think he's trying to understand how to create bitcoins.
I disagree. I think that Mugsy is perfectly well aware that Bitcoin is a digital currency only, not physical. Some more info:

Bitcoin - Wikiwand

Bitcoin's in a bit of trouble at the moment:

Bitcoin falls below $6,000 - BBC News

Perhaps Mugsy will come back and let us know what he thinks.
__________________
"I'm Irish. We think sideways." Spike Milligan. 1918 - 2002
Reply With Quote
  #5  
Old 24-02-18, 18:54
PinUP's Avatar
PinUP PinUP is offline
Newbie
 
Join Date: Feb 2018
Location: USA
Posts: 5
Default Re: Mining bit coin

Quote:
Originally Posted by Madeline View Post
I disagree. I think that Mugsy is perfectly well aware that Bitcoin is a digital currency only, not physical. Some more info:

Bitcoin - Wikiwand

Bitcoin's in a bit of trouble at the moment:

Bitcoin falls below $6,000 - BBC News

Perhaps Mugsy will come back and let us know what he thinks.
To the sites above I want to add site bitcoinbestbuy.com. There is information about bitcoins. For beginners, it will be very useful.
Reply With Quote
  #6  
Old 25-02-18, 16:05
jak's Avatar
jak jak is offline
Highly valued member
 
Join Date: Aug 2014
Location: West Midlands
Posts: 2,542
Default Re: Mining bit coin

The miners get paid in bit coins they don't actually make them on their computer they get paid in bit coins.

The reason they get paid is because they are checking bit coin transactions which involves their computers creating check-sums (mathematical algorithms) which requires many complex calculations.

https://en.wikipedia.org/wiki/Checksum

This payment then gets more bit coins into circulation so it is a convenient way for the open source cryto-currency to be increased and to spread. So it is said that the miners are generating bit-coins because they are growing bit coin as a currency , when in actual fact they are just being paid in bit-coins.

It seems like money for nothing doesn't it but you need a very fast and powerful computer to get paid. Why! because only the first person (or cooperative as they usually work in groups) to generate a matching hexadecimal check-sum gets paid.

https://en.wikipedia.org/wiki/Hexadecimal

That still sound alright doesn't it because what you've never had you won't miss and you could still be first.

Well it's a very long shot and would cost a lot to get started and keep going come to that. There are so many people at it, and working in cooperative groups it has almost become an obsession to have the fastest and biggest computer rig. Gaming Graphics cards have the fastest chips and the best and fastest of those are several hundreds of pounds each plus they are electrical power hungry. The miners build computer rigs holding banks of graphics cards mounted on an external frame which consume lots of power.

Here's a video of a bit coin mining rig used to work out the hexadecimal check sums as quickly as can be afforded using high end gaming graphics cards. Each of these cards will have cost around 1000

https://www.youtube.com/watch?v=Pwa7Z5He9Ss

But it doesn't end there you need the rig running 24/7 and they gobble up electricity.

All that and you only get paid if you are first to submit the correct check sum.

The end result is that there are now no (or only very few) Gaming Graphics Cards available, the miners grab them as soon as they come on the market creating a world shortage. Iceland and Ireland's national power grid is under serious threat such is the obsession with bit coin mining in those countries.

I think high street banks will eventually ban all Bit coin transactions because it's an intangible which is difficult for them. They have already banned certain bit coin transaction because they could be left holding millions of worthless cyber currencies in return for real currency if the bit coin bubble bursts. They could easily get nervous and just ban all bit coin transactions to be safe.
Reply With Quote
  #7  
Old 25-02-18, 18:07
jak's Avatar
jak jak is offline
Highly valued member
 
Join Date: Aug 2014
Location: West Midlands
Posts: 2,542
Default Re: Mining bit coin

Is it any wonder Iceland power grid is nearing collapse

https://www.youtube.com/watch?v=2Jqf_wZKFCc

I thought the guy in the first video was a bit extreme but this is absolutely maniac.
Reply With Quote
Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off



Search the forum

Search

© Dennis Publishing Limited Licensed by Felden





All times are GMT. The time now is 18:29.


Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2018, Jelsoft Enterprises Ltd.
Copyright Dennis Publishing 2010, All rights reserved