Part 2: What Is Bitcoin Mining?
At its core, Bitcoin mining is the process of using powerful computers to verify transactions on the Bitcoin network. These transactions are recorded on a public ledger called the blockchain. Miners compete to solve complex mathematical problems using the SHA-256 cryptographic hash function, aiming to generate a 64-character hash that meets the network’s target. Successfully solving this puzzle creates a new block, rewarding miners with Bitcoin. This process ensures the network’s security and decentralization.