InvestorsHub Logo
Followers 73
Posts 9028
Boards Moderated 0
Alias Born 07/16/2010

Re: Zorax post# 128469

Thursday, 10/19/2017 5:45:43 PM

Thursday, October 19, 2017 5:45:43 PM

Post# of 220219
If one creates an electronic currency say, BogusCoin, then there will be a corresponding BogusCoin blockchain.

The distributed maintenance of the transaction database do not require any computer resources from the creators of BogusCoin, it gets spontaneously maintained by enthusiasts which exhibit host a copy of the whole transaction database (BitCoin database, it's blockchain, is 100Gb or so, and growing fast), and record all new transactions for "free".

Well, not for free, since one of the maintainers gets paid a small fee each time a new block is added to the blockchain. Since it requires sizeable computing resources to find a correct hash for the new block being added, the first one to find the proper hash is paid 7.5 new bitcoins. It's called "BitCoin mining",

Since the only bitcoins that can ever be added are the ones crated for the bitcoin miners, the e-currency value can be stable. Well a lot more stable than say, a penny stock shares, because new shares get issued all the time seemingly at random.

The total number of bitcoins currently in circulation is about 16,631,675
with 7 and a half new Bitcoins being created every time a new transactions block is added to the blockchain.

As to BogusCoins, they have the patter, but they don't have a clue.

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.