Replies to post #73863 on Santo Mining Corp (SANP)

[Investorhawk]

Its like searching for pokemon. You walk around staring at an imaginary map on your phone and dig for magical coins where it tells you to.

[SteveWin]

@kittie88 - "Bitcoin mining" is really a "transaction verification service". For a transaction to happen on the Bitcoin blockchain ledger, the transaction must be verified, then included in a block, and the block must be authenticated. Mining rigs take the transactions, verify them (money spent here is traceable to a transaction already confirmed, which hasn't been spent already), assemble them into a block, and then they begin trying to solve a very hard math puzzle which is designed to take 10 minutes of trial and error to solve. When a mining rig solves the puzzle, it adds the proof of the solution to the block it's making, AND A NEW TRANSACTION CREATING 12 BTC FOR ITS OWNER, and then pushes its solved block out to other nodes on the network. The other nodes check the puzzle solution and confirm its validity, then remove the included transactions from their lists of transactions waiting for verification. Then, the whole process starts over.

So, "mining bitcoin" is the process of receiving newly created bitcoin for doing the work of verifying the transactions in a block. "How YOU do it" is: you buy an efficient mining rig (like an Antminer S9, $6500), plug it into electric power and internet, register it with a "mining pool", and let it run.