Bitcoin is a blockchain which is a shared ledger that contains a history of every bitcoin transaction that ever took place. The blockchain is made up of blocks and in each block has transaction information in it.
Cryptocurrency is still in its very early stages but it has had its milestones since the Bitcoin network was first deployed in 2009. Blockchain technology hasn’t been widely adopted yet, but it has been growing at an exceptional rate with the potential to dramatically change how we do business in a variety of industries. There have been many cryptocurrencies namely Bitcoin and Ethereum have hit all time highs this year which many experts say that it is a good thing for the future of digital assets and for the evolution of finance.
Positive attributes are for cryptocurrency vs current financial email@example.comT04:16:34+00:00
All transactions on the network are peer-to-peer. This means that there is no 3rd party involvement in the process. When these transactions occur there is no way for either party to identify one another, this means that it is much more private than fiat. Since payments can be processed by sender and receiver you can instantly process transactions, traditionally a transaction with a bank can take a few days. Also, there are no fees to keep crypto in your wallet.
Proof of work is the original consensus algorithm in a blockchain network. This means that the algorithm is used to confirm the transaction and creates a new block to the chain. As soon as a miner successfully creates a valid block, they get rewarded.
Mining Pool, which refers to a collection/group of miners cooperating to improve their odds of finding a block at the group level as opposed to the individual level. Miners in such pools pool their individual computational resources with those of the other members, enhancing their combined processing capacity and assisting in the speedier completion of the desired output.
To use an analogy, a gold digger capable of digging 100 square meters of land in a single day will need 100 days to search for gold on a hectare of land. A team of 100 gold diggers can finish the job in one day. If all 100 diggers put in equal effort to investigate their assigned areas of land, the unearthed gold can be divided equitably among them.
Bitcoin Mining Rewards are earned daily. These supercomputers work constantly to solve computational math to earn rewards. It’s a complex process made by engineers for machines to generate validity on the blockchain.