SHA-256 Hash Algorithm Bitcoin Miners for sale eBay

How do miners avoid guessing SHA-256 hashes which another miner already guessed and moved on from? /r/Bitcoin

How do miners avoid guessing SHA-256 hashes which another miner already guessed and moved on from? /Bitcoin submitted by ABitcoinAllBot to BitcoinAll [link] [comments]

How do miners avoid guessing SHA-256 hashes which another miner already guessed and moved on from? /r/Bitcoin

How do miners avoid guessing SHA-256 hashes which another miner already guessed and moved on from? /Bitcoin submitted by cryptoallbot to cryptoall [link] [comments]

Bitcoin is a distributed supercomputer

I think bitcoin is a distributed super computer like SETI
What do you think bitcoin miners were doing? Their computers are sent a packet, they process it, and send it back. Exactly like the SETI supercomputer.
Something Iran would really want for nuclear simulations, and engineering. And guess what, Iran subsidizes electricity for bitcoin mining.
mic drop
submitted by iBrickedIt to Bitcoin [link] [comments]

ACIS-mining and its 3 best algorithms

ACIS-mining and its 3 best algorithms
Hello. 👋🏻 Today we will tell you about ACIS-mining and its 3 best algorithms.
📌 With the advent of ASICs for mining, it became possible to mine Bitcoin in much larger quantities than using video cards. ASIC is an integrated circuit specialized to solve a specific problem, in our case, only for bitcoin mining. These schemes are many times more profitable than video cards, because with more power (hash calculation speed) they consume much less energy. This served as a good reason to create a cryptocurrency mining business.
📌 In bitcoin and other blockchain systems, the complexity of mining depends on how quickly the miners find the block. Compared with the GPU and CPU, specialized #ASIC miners solve #PoW puzzles better and are therefore able to quickly find new blocks.
📌 Since PoW is still the preferred mining consensus mechanism, we propose to take a multiple algorithm approach. Instead of trying to use algorithms which are ASIC resistant, we propose to use algorithms which have had ASIC miners for quite some time. These are: #SHA256, #Scrypt, and #X11.
🔹 The SHA-256 algorithm has a number of advantages over other information protection technologies. Over the years of use in the cryptocurrency industry, he has shown his resistance to various hacking attempts.
🔹 Scrypt is a cryptocurrency mining algorithm that was previously interesting to many single miners in view of its resistance to the so-called “hardware attack”. The speed of creating blocks in a Scrypt-based blockchain is about 30 seconds. The hashrate, like Ethash, is measured in Megahash per second. Scrypt, first of all, became popular due to its use in Litecoin #cryptocurrency.
🔹 X11 is an encryption algorithm in which eleven are used instead of one function. This means that this technology can provide a high degree of security, because in order to harm the system, an attacker will have to crack all 11 functions, which is very unlikely, because the changes made will be visible after breaking the first function, and developers will have a lot of time to protect the system before the hacker reaches the eleventh function.
Since these miners are already in wide use, the distribution of mining should be fair and even. Furthermore, the use of three different algorithms results in a far less chance of any single person gaining a majority hash rate share. Lastly, we use the Multishield difficulty adjustment algorithm to prevent difficulty spike issues resulting from burst mining.
Read more about PYRK mining solutions here: https://www.pyrk.org
Read our Whitepaper to know more about the project:
https://www.pyrk.org/Pyrk-Whitepaper.pdf
https://preview.redd.it/rxmlr7wt1k251.png?width=1200&format=png&auto=webp&s=162f9ddaacb3cf3e137638464a208bdf25e50a21
submitted by VS_community to pyrk [link] [comments]

what are real advantages of ltc over others?

- what are real advantages of ltc over others?- i mean something truly outstanding, bc im talking in long-term of crypto
- if it doesnt, so what is the different from btc? only transaction speed? any more?

tq!
EDIT: my implicit & actual question is, so if's not much different from btc, too, with PoW how ltc will be against the mother ETH and very promising project like IOTA ???
ps. tbh ltc ppl are quite quality & less bias, i gotta admit ltc's adaptation over years and it just getting better (bc its adaptation)
submitted by Spongky to litecoin [link] [comments]

Mining bitcoin with pencil and paper

submitted by mynameisblanked to math [link] [comments]

How can Nakamoto Consensus work with hash for rent?

Originally posted by u/selectxxyba on rbtc. I would dearly love to read answers to that question too.
I think it's safe to assume that we all back Nakamoto Consensus as it's the backbone behind bitcoin but we need to explore why it is that we support it.
Nakamoto Consensus works because there's a profit motive for miners to mine the chain that they believe has the capacity to increase their return on investment.
And the key word here is investment, they front up the capital in order to express both their support and secure the network. But when you rent hash there is no investment. You won't see a return on investment because capitalism dictates that whoever is renting the hash out needs to make a profit greater than what they'd receive if they just mined for themselves.
You could argue that rented hash is used to speculate for future profits but in every situation you'd be better off buying that coin directly through an exchange.
Any institution with enough funds can simply subvert Nakamoto Consensus at their own whim so would anyone care to explain to me how this is not an attack.
I'm not just referring to the recent hard fork but also in the future, what's to stop competing payment platforms from using this attack vector?
submitted by edwinlefevre to bitcoincashSV [link] [comments]

For the newbies: You may have heard that Bitcoin works by "solving math problems", but what are the math problems?

Disclaimer: This has probably been covered before, and in more approachable language, so if this explanation is pointless duplication, let me know and I'll delete it.
So the math problems in Bitcoin aren't your traditional math: your computer isn't solving algebra problems or partial differentials. They involve cryptographic hashes: you might've come across these when you download a file, where the website says "here's the file, and here's a hash you can use to verify that the file downloaded properly". So your process of verification would be:
Download -> Hash(Downloaded File) -> Is Hash The Same? 
Say you downloaded a copy of Audacity for OSX, and the site says "the MD5 hash for audacity-macosx-ub-2.1.2.dmg is 535e103d9bc4a4625d71260c3a427d09 if you want to check it downloaded properly". So you download the file, head to your command prompt, and:
$ md5 audacity-macosx-ub-2.1.2.dmg MD5 (audacity-macosx-ub-2.1.2.dmg) = 535e103d9bc4a4625d71260c3a427d09 
Hey, it's the same.
Now, hashes work by taking all the numbers in the file and Doing Something to them; the simplest would, of course, be the checksum: add all the numbers together. One big problem with checksumming though: if you add 1 to a number somewhere in the file, and subtract 1 elsewhere, you get a corrupted file with the same checksum. Not ideal.
So algorithms like MD5, SHA-1 and the like arose, which do more complicated things. The number that falls out of these is quite large: MD5, for example, outputs a 128-bit number (the biggest value is something like 80 quintillion quintillion) but it's not the absolute value of the number that's important, just the fact that it's the same as what the website says it should be.
Aside: "But if the hash is just a huge number, why does it have those weird letters in?"
It's just written in hexadecimal (base 16) instead of base 10. In your average decimal base-10 number, the digits are 0-9 and the number values go units, tens, hundreds, thousands, etc.
In base 16, the digits are 0-9 then a-f (ten to fifteen), and the number values go units, sixteens, two-hundred-and-fifty-sixes, four-thousand-and-ninety-sixes, etc.
Now. Bitcoin uses this same technology (it uses the SHA-256 algorithm in particular) to hash the contents of each block of transactions that comes through. It looks a little like this:
Hash of the last block -----\ | Hash of the transactions --+ SHA256 -> This block's hash in this block | (twice) | Current time ----------/ 
And thus the block chain gets built: "this block's hash" falls out of the above algorithm, and gets fed into the algorithm for the next block.
Except SHA-256 doesn't take long to compute; a cellphone can do literally millions of these hashes per second. Here's where the genius of Bitcoin comes in: there's an artificial limit placed by the algorithm on how fast blocks can be generated, and it doesn't matter how fast your computer (or the whole network of computers) is at generating these hashes. It works by adding one thing to the above diagram:
Hash of the last block -----\ | Hash of the transactions --+ SHA256 -> This block's hash in this block | (twice) | Current time ----------+ | A number to twiddle -------/ 
(The technical literature actually calls it a "nonce".)
I said above that the numeric value of the hash isn't important when you download a file, just the fact that it matches what the website says it should be. In Bitcoin, the numeric value of the hash is important: it needs to be less than a certain value (the "target") for the block you make to be accepted by the network. For example, (as of the time of writing) the last block had a hash of 000000000000000001ef62f299ea93356f4d52c75ff3cc442b4a073e90f947e0; look at all those zeros at the front!
SHA-256 is very good at making an even distribution of its numeric value: futz with the content of what you're hashing even a tiny bit, and the number that falls out is vastly different. So, you need to do a lot of twiddling of that nonce, to find a block where the hash comes out with all those zeros at the front.
In fact, you need to do so much twiddling that, on average, the entire network of computers doing this will only find one solution to the problem every ten minutes. That solution gets broadcast to the network, the other computers will plug it in as "the hash of the last block", and keep going.
One more question you might have: what happens when computers suddenly get a lot faster at doing these calculations, and they can rattle their way to a solution in a minute, or 30 seconds?
Bitcoin has a solution: change the target, to make it even lower. This is referred to as a "change in difficulty", and happens around every two weeks if the blocks come out every ten minutes (every 2,016 blocks). If the blocks come out faster, the difficulty changes sooner, and changes by more, to get things back on the ten-minutes-per-block track.
Conversely, if computers suddenly get very slow at doing this work and blocks only come out once an hour, the difficulty will change to make life easier. (Again, it'll only change every 2,016 blocks, so it might take a while to build the chain up to that point; until then, we'd have to suffer with slow blocks.)
So, I hope this was useful, and that it was accurate. It helped to clarify things in my mind, at least; let me know if it helped (and if I missed anything).
submitted by OrangeredStilton to Bitcoin [link] [comments]

Review and Prospect of Crypto Economy-Development and Evolution of Consensus Mechanism (2)

Review and Prospect of Crypto Economy-Development and Evolution of Consensus Mechanism (2)

https://preview.redd.it/a51zsja94db51.png?width=567&format=png&auto=webp&s=99e8080c9e9b1fb5e11cbd70f915f9cb37188f81
Foreword
The consensus mechanism is one of the important elements of the blockchain and the core rule of the normal operation of the distributed ledger. It is mainly used to solve the trust problem between people and determine who is responsible for generating new blocks and maintaining the effective unification of the system in the blockchain system. Thus, it has become an everlasting research hot topic in blockchain.
This article starts with the concept and role of the consensus mechanism. First, it enables the reader to have a preliminary understanding of the consensus mechanism as a whole; then starting with the two armies and the Byzantine general problem, the evolution of the consensus mechanism is introduced in the order of the time when the consensus mechanism is proposed; Then, it briefly introduces the current mainstream consensus mechanism from three aspects of concept, working principle and representative project, and compares the advantages and disadvantages of the mainstream consensus mechanism; finally, it gives suggestions on how to choose a consensus mechanism for blockchain projects and pointed out the possibility of the future development of the consensus mechanism.
Contents
First, concept and function of the consensus mechanism
1.1 Concept: The core rules for the normal operation of distributed ledgers
1.2 Role: Solve the trust problem and decide the generation and maintenance of new blocks
1.2.1 Used to solve the trust problem between people
1.2.2 Used to decide who is responsible for generating new blocks and maintaining effective unity in the blockchain system
1.3 Mainstream model of consensus algorithm
Second, the origin of the consensus mechanism
2.1 The two armies and the Byzantine generals
2.1.1 The two armies problem
2.1.2 The Byzantine generals problem
2.2 Development history of consensus mechanism
2.2.1 Classification of consensus mechanism
2.2.2 Development frontier of consensus mechanism
Third, Common Consensus System
Fourth, Selection of consensus mechanism and summary of current situation
4.1 How to choose a consensus mechanism that suits you
4.1.1 Determine whether the final result is important
4.1.2 Determine how fast the application process needs to be
4.1.2 Determining the degree to which the application requires for decentralization
4.1.3 Determine whether the system can be terminated
4.1.4 Select a suitable consensus algorithm after weighing the advantages and disadvantages
4.2 Future development of consensus mechanism
Last lecture review: Chapter 1 Concept and Function of Consensus Mechanism plus Chapter 2 Origin of Consensus Mechanism
Chapter 3 Common Consensus Mechanisms (Part 1)
Figure 6 Summary of relatively mainstream consensus mechanisms
📷
https://preview.redd.it/9r7q3xra4db51.png?width=567&format=png&auto=webp&s=bae5554a596feaac948fae22dffafee98c4318a7
Source: Hasib Anwar, "Consensus Algorithms: The Root Of The Blockchain Technology"
The picture above shows 14 relatively mainstream consensus mechanisms summarized by a geek Hasib Anwar, including PoW (Proof of Work), PoS (Proof of Stake), DPoS (Delegated Proof of Stake), LPoS (Lease Proof of Stake), PoET ( Proof of Elapsed Time), PBFT (Practical Byzantine Fault Tolerance), SBFT (Simple Byzantine Fault Tolerance), DBFT (Delegated Byzantine Fault Tolerance), DAG (Directed Acyclic Graph), Proof-of-Activity (Proof of Activity), Proof-of- Importance (Proof of Importance), Proof-of-Capacity (Proof of Capacity), Proof-of-Burn ( Proof of Burn), Proof-of-Weight (Proof of Weight).
Next, we will mainly introduce and analyze the top ten consensus mechanisms of the current blockchain.
》POW
-Concept:
Work proof mechanism. That is, the proof of work means that it takes a certain amount of computer time to confirm the work.
-Principle:
Figure 7 PoW work proof principle
📷
https://preview.redd.it/xupacdfc4db51.png?width=554&format=png&auto=webp&s=3b6994641f5890804d93dfed9ecfd29308c8e0cc
The PoW represented by Bitcoin uses the SHA-256 algorithm function, which is a 256-bit hash algorithm in the password hash function family:
Proof of work output = SHA256 (SHA256 (block header));
if (output of proof of work if (output of proof of work >= target value), change the random number, recursive i logic, continue to compare with the target value.
New difficulty value = old difficulty value* (time spent by last 2016 blocks /20160 minutes)
Target value = maximum target value / difficulty value
The maximum target value is a fixed number. If the last 2016 blocks took less than 20160 minutes, then this coefficient will be small, and the target value will be adjusted bigger, if not, the target value will be adjusted smaller. Bitcoin mining difficulty and block generation speed will be inversely proportional to the appropriate adjustment of block generation speed.
-Representative applications: BTC, etc.
》POS
-Concept:
Proof of stake. That is, a mechanism for reaching consensus based on the holding currency. The longer the currency is held, the greater the probability of getting a reward.
-Principle:
PoS implementation algorithm formula: hash(block_header) = Coin age calculation formula: coinage = number of coins * remaining usage time of coins
Among them, coinage means coin age, which means that the older the coin age, the easier it is to get answers. The calculation of the coin age is obtained by multiplying the coins owned by the miner by the remaining usage time of each coin, which also means that the more coins you have, the easier it is to get answers. In this way, pos solves the problem of wasting resources in pow, and miners cannot own 51% coins from the entire network, so it also solves the problem of 51% attacks.
-Representative applications: ETH, etc.
》DPoS
-Concept:
Delegated proof of stake. That is, currency holding investors select super nodes by voting to operate the entire network , similar to the people's congress system.
-Principle:
The DPOS algorithm is divided into two parts. Elect a group of block producers and schedule production.
Election: Only permanent nodes with the right to be elected can be elected, and ultimately only the top N witnesses can be elected. These N individuals must obtain more than 50% of the votes to be successfully elected. In addition, this list will be re-elected at regular intervals.
Scheduled production: Under normal circumstances, block producers take turns to generate a block every 3 seconds. Assuming that no producer misses his order, then the chain they produce is bound to be the longest chain. When a witness produces a block, a block needs to be generated every 2s. If the specified time is exceeded, the current witness will lose the right to produce and the right will be transferred to the next witness. Then the witness is not only unpaid, but also may lose his identity.
-Representative applications: EOS, etc.
》DPoW
-Concept:
Delayed proof of work. A new-generation consensus mechanism based on PoB and DPoS. Miners use their own computing power, through the hash algorithm, and finally prove their work, get the corresponding wood, wood is not tradable. After the wood has accumulated to a certain amount, you can go to the burning site to burn the wood. This can achieve a balance between computing power and mining rights.
-Principle:
In the DPoW-based blockchain, miners are no longer rewarded tokens, but "wood" that can be burned, burning wood. Miners use their own computing power, through the hash algorithm, and finally prove their work, get the corresponding wood, wood is not tradable. After the wood has accumulated to a certain amount, you can go to the burning site to burn the wood. Through a set of algorithms, people who burn more wood or BP or a group of BP can obtain the right to generate blocks in the next event segment, and get rewards (tokens) after successful block generation. Since more than one person may burn wood in a time period, the probability of producing blocks in the next time period is determined by the amount of wood burned by oneself. The more it is burned, the higher the probability of obtaining block rights in the next period.
Two node types: notary node and normal node.
The 64 notary nodes are elected by the stakeholders of the dPoW blockchain, and the notarized confirmed blocks can be added from the dPoW blockchain to the attached PoW blockchain. Once a block is added, the hash value of the block will be added to the Bitcoin transaction signed by 33 notary nodes, and a hash will be created to the dPow block record of the Bitcoin blockchain. This record has been notarized by most notary nodes in the network. In order to avoid wars on mining between notary nodes, and thereby reduce the efficiency of the network, Komodo designed a mining method that uses a polling mechanism. This method has two operating modes. In the "No Notary" (No Notary) mode, all network nodes can participate in mining, which is similar to the traditional PoW consensus mechanism. In the "Notaries Active" mode, network notaries use a significantly reduced network difficulty rate to mine. In the "Notary Public Activation" mode, each notary public is allowed to mine a block with its current difficulty, while other notary public nodes must use 10 times the difficulty of mining, and all normal nodes use 100 times the difficulty of the notary public node.
Figure 8 DPoW operation process without a notary node
📷
https://preview.redd.it/3yuzpemd4db51.png?width=500&format=png&auto=webp&s=f3bc2a1c97b13cb861414d3eb23a312b42ea6547
-Representative applications: CelesOS, Komodo, etc.
CelesOS Research Institute丨DPoW consensus mechanism-combustible mining and voting
》PBFT
-Concept:
Practical Byzantine fault tolerance algorithm. That is, the complexity of the algorithm is reduced from exponential to polynomial level, making the Byzantine fault-tolerant algorithm feasible in practical system applications.
-Principle:
Figure 9 PBFT algorithm principle
📷
https://preview.redd.it/8as7rgre4db51.png?width=567&format=png&auto=webp&s=372be730af428f991375146efedd5315926af1ca
First, the client sends a request to the master node to call the service operation, and then the master node broadcasts other copies of the request. All copies execute the request and send the result back to the client. The client needs to wait for f+1 different replica nodes to return the same result as the final result of the entire operation.
Two qualifications: 1. All nodes must be deterministic. That is to say, the results of the operation must be the same under the same conditions and parameters. 2. All nodes must start from the same status. Under these two limited qualifications, even if there are failed replica nodes, the PBFT algorithm agrees on the total order of execution of all non-failed replica nodes, thereby ensuring security.
-Representative applications: Tendermint Consensus, etc.
Next Lecture: Chapter 3 Common Consensus Mechanisms (Part 2) + Chapter 4 Consensus Mechanism Selection and Status Summary
CelesOS
As the first DPOW financial blockchain operating system, CelesOS adopts consensus mechanism 3.0 to break through the "impossible triangle", which can provide high TPS while also allowing for decentralization. Committed to creating a financial blockchain operating system that embraces supervision, providing services for financial institutions and the development of applications on the supervision chain, and formulating a role and consensus ecological supervision layer agreement for supervision.
The CelesOS team is dedicated to building a bridge between blockchain and regulatory agencies/financial industry. We believe that only blockchain technology that cooperates with regulators will have a real future. We believe in and contribute to achieving this goal.

📷Website
https://www.celesos.com/
📷 Telegram
https://t.me/celeschain
📷 Twitter
https://twitter.com/CelesChain
📷 Reddit
https://www.reddit.com/useCelesOS
📷 Medium
https://medium.com/@celesos
📷 Facebook
https://www.facebook.com/CelesOS1
📷 Youtube
https://www.youtube.com/channel/UC1Xsd8wU957D-R8RQVZPfGA
submitted by CelesOS to u/CelesOS [link] [comments]

Looking for Technical Information about Mining Pools

I'm doing research on how exactly bitcoins are mined, and I'm looking for detailed information about how mining pools work - i.e. what exactly is the pool server telling each participating miner to do.
It's so far my understanding that, when Bitcoins are mined, the following steps take place:
  1. Transactions from the mempool are selected for a new block; this may or may not be all the transactions in said mempool. A coinable transaction - which consists of the miner's wallet's address and other arbitrary data - that will help create new Bitcoin will also be added to the new block.
  2. All of said transactions are hashed together into a Merkle Root. The hashing algorithm is Double SHA-256.
  3. A block header is formed for the new block. Said block header consists of a Version, the Block Hash of the Previous Block in the Blockchain, said Merkle Root from earlier, a timestamp in UTC, the target, and a nonce - which is 32 bits long and can be any value from 0x00000000 to 0xFFFFFFFF (a total of 4,294,967,296 nonce values in total).
  4. The nonce value is set to 0x00000000, and said block header is double hashed to get the Block Hash of the current block; and if said Block Hash starts with a certain number of zeroes (depending on the difficulty), the miner sends the block to the Bitcoin Network, the block successfully added to the blockchain and the miner is awarded with newly created bitcoin.
  5. But if said Block Hash does not start with the required number of zeroes, said block will not be accepted by the network, and the miner Double Hashes the block again, but with a different nonce value; but if none of the 4,294,967,296 nonce values yields a Block Hash with the required number of zeroes, it will be impossible to add the block to the network - and in that case, the miner will either need to change the timestamp and try all 4,294,967,296 nonce values again, or the miner will need to start all over again and compose a new block with a different set of transactions (either a different coinable transaction, a different set of transactions from the mempool, or both).
Now, what I'm trying to figure out is what exactly each miner is doing differently in a mining pool, and if it is different depending on the pool.
One thing I've read is that a mining pool gives each participating miner a different set of transactions from the mempool.
I've also read that, because the most sophisticated miners can try all 4,294,967,296 nonce values in less than a fraction of a second, and since the timestamp can only be updated every second, the coinbase transaction is used as a "second nonce" (although, it is my understanding that, being part of a transaction, if this "extra nonce" is changed, all the transactions need to be double hashed into a new Merkle Root); and I may have read someplace that miners could also be given the same set of transactions from the mempool, but are each told to use a different set of "extra nonce" values for the coinbase transaction.
Is there anything else that pools tell miners to do differently? Is each pool different in the instructions it gives to the participating miners? Did I get anything wrong?
I want to make sure I have a full technical understanding of what mining pools are doing to mine bitcoin.
submitted by sparky77734 to Bitcoin [link] [comments]

Questions about mining and choosing nonces.

My understanding is that to mine a block of bitcoin, the miner runs the btc core program, their computer starts at 1 as the nonce (and goes upwards) and does the SHA-256 hash function on it and if the output starts with a certain number of leading zeros (at least), then they mine the block and receive the block reward.
  1. My question is, if all inputs produce a unique output, then since so many nonces have been hashed before, do those get skipped?
  2. Now, do only really large numbers produce a hash with so many leading zeros?
  3. What kind of numbers are the current nonces that mined blocks recently, can we find out?
  4. How many leading zeros with the current difficulty is required?
  5. If in 2009 only 2 leading zeros were required, but the nonce that was used produced a hash with 20 leading zeros, could that same nonce be used again today?
edit: 7. Why were the nonces so high for the genesis block and 2nd block etc?
submitted by Zaidinator7 to Bitcoin [link] [comments]

Nothing has changed - what's all the fuss about?

To those BCH holders who see a problem with this development fund - what is so concerning about this that wasn't already true of Bitcoin Cash, the consensus mechanisms it has, and the power of miners? Others have said this before, but if you don't like what 51% hash power is doing, it's an attack. If you do, it's an upgrade. 51% of hash power has always been able to do things like this. This is not new. 51% of the mining power could always censor any transaction. But they won't, because game theory and their economic incentives directs them not to do this. It's the same thing here.
This is basically just a more free market and anarchic way of funding development than what DASH has, where it's built into the rewards system. It's essentially miners donating their rewards to make the ecosystem and coin better, except doing it in a game theoretic fair way that makes sure everyone contributes. And if people in these mining pools don't like it, they can stop offering their hash power, and offer it to someone that opposes it. If there's backlash from the community like that, most likely this proposal won't go through. But I hope it does, and I expect it will, because miners donating millions to BCH is not a good thing. It's a very very good thing.
This makes far more sense than leaving development completely unfunded, and this is more decentralized than both DASH and BTC. This is anarchy in action - development has been agreed to by mining actors rather than the top holders (or those who'm they've hired, i.e. DASH, which I like btw) or outside groups like Blockstream (BTC). Instead, this is the part of our community most invested in seeing Bitcoin Cash succeed. The miners, who have invested millions into mining equipment, probably hold millions in BCH, and are donating millions to see BCH succeed, are not nefarious actors. They're are strongest supporters and investors, and have been screwed over by Blockstream when the Segwit 2X agreement was broken. They need one of the SHA-256 coins to succeed and we all know if won't be Bitcoin BTC. My guess is a much larger portion of the mining power supports BCH than currently mines it - they're just held captive by the current prices of the two currencies.
Complaining about there being only 4 mining companies that agreed to this, and that therefore this is centralized uses the same logic as those who are against ASIC's and support shitcoins like Vertcoin because "muh decentralization." Economics dictates that there are millions of different restaurants, but not nearly as many car companies, nor nearly as many large supply stores like Walmart, Target, or Costco. Decentralization isn't an end in and of itself, but only a good in so far as it serves Bitcoin. If there were 1 million phone companies instead of like 4 or 5, then phones would suck. In fact, we probably wouldn't even have them. But competition makes those companies work for the consumer. Likewise, here the miners are steered by economic incentives to support the BCH network. It's only them that will lose if they do not.
So in short, nothing has changed. So what's all the fuss about when we're about to see an explosion of Bitcoin Cash development? Let's pop the champaign and light the cigars!
submitted by TheFireKnight to btc [link] [comments]

What is Blockchain Technology?

What is Blockchain Technology?
The original article appeared here: https://www.securities.io/what-is-blockchain-technology/
Its been almost ten years since Satoshi Nakamoto first introduced Blockchain technology to the world in his 2008 Bitcoin Whitepaper. Since that time, these revolutionary networks have gained popularity in both the corporate and governmental sectors. This growth is easily explained when you consider that blockchain technology provides the world with some unique advantages that were previously unimaginable. Consequently, today, you can find blockchain technology in nearly every sector of the global economy.

What is Blockchain Technology?

A blockchain is a network of computers that share a distributed ledger across all network participants (nodes). This strategy is far different than say, fiat currencies that originate from a centralized authority figure. Importantly, this ledger keeps an unbroken chain of transactions since the birth of the network. This “chain” of transactions grows larger as new “blocks” of transactions are approved and added to it.
Bitcoin Whitepaper
In order to approve new transactions, each node works together with others to validate new blocks. Additionally, the nodes also validate the current state of the entire blockchain. In order for a new block of transactions to be added to the blockchain, they must receive approval from 51% of the network’s nodes. Nodes are also referred to as miners. In this manner, blockchain networks are decentralized networks that provide unmatched security to the world of digital assets.

Security via Decentralization

Decentralization is an important aspect of blockchain technology because it makes these revolutionary ledgers immutable and unalterable. In fact, since there is no centralized attack vector, hacking a blockchain is nearly impossible. The larger the blockchain network, the more secure the data on it remains.
For example, let’s look at the world’s largest blockchain, Bitcoin. Currently, the Bitcoin blockchain has over 10,000 active nodes located across the globe. This distribution means that in order for an attacker to alter even just one tiny piece of information on the blockchain, they would need to successfully hack 5,000+ computers at once.
While this task may not be impossible for the quantum computers of the future, it’s so unprofitable that it makes no sense to even attempt such a monumental task. Additionally, on top of successfully hacking 5000+ computers at once, an attacker would also need a supercomputer to recalculate the new blockchain transactions in time to introduce them into the network. It would literally be more affordable to create a new cryptocurrency from scratch.

Consensus Mechanisms

One of the reasons why blockchain networks are so secure is the integration of consensus mechanisms. Consensus mechanisms are cryptographic protocols that leverage the participants of a blockchain network in securing its data. In the case of Bitcoin, the Proof-of-Work (PoW) consensus mechanism is used.

Proof-of-Work (PoW)

The Proof-of-Work consensus mechanism was revolutionary to the world of cryptography when it was first introduced years prior by Adam Back in his Hashcash whitepaper. In the concept, Back describes the integration of a mathematical equation to the network’s security protocols. In this way, every computer can show “proof” of their work securing the network.

Miner Rewards

It’s important to understand that nodes receive a reward for their mining efforts. These rewards adjust automatically depending on the network’s difficulty and value. In the case of Bitcoin, miners originally received 50 Bitcoin for their efforts. Today, this seems like fortune, but back in 2009, Bitcoin was only worth pennies. As the value of the token rises and the network goes, the mining rewards shrink. Today, Bitcoin miners receive 6.5 BTC if they add the next block to the chain.

SHA-256

Notably, every node validates and secures the blockchain, but only one gets to add the next block of transactions to the network. To determine who the next miner is that gets to add this block, every computer competes in a mathematical race to figure out the PoW equation. In the case of Bitcoin, the equation is known as SHA-256. Importantly, the first SHA algorithm dates back to Hashcash. This early version of the equation was known as SHA-1.
Notably, the SHA-256 equation is so difficult that it’s easier and more efficient for your computer to just make random guesses rather than attempting to figure out the equation directly. The answer to the equation must begin with a predetermined amount of 0s. In the Bitcoin blockchain, the equation’s answer must start with four zeros. However, if the network’s congestion rises, so does the difficulty of these equations. This difficulty adjusts by the addition of another zero at the beginning of the required SHA-256 answer.
Similarly to traditional commodities such as gold, there are costs that are associated with the creation and introduction of these digital assets into the market. These random guesses utilize intense computational power. This power equates to real-world costs such as electricity bills. Studies have shown that securing the Bitcoin network can use more electricity than required by entire countries. Luckily, over 80% of Bitcoin’s power consumption comes from renewable sources such as solar or hydroelectric. This cost of mining also adds measurable value to each Bitcoin.

Miners

As Bitcoin began to gain in profitability, its network’s computing power expanded significantly. In the beginning, nodes, also known as miners, could mine for Bitcoin using nothing more than your home PC. Eventually, miners realized that graphic cards were far better at the repetitive guessing required to figure out the SHA-256 algorithm. This led to a computational race in the market.

ASIC

Eventually, large blockchain firms such as Bitmain introduced Application Specific Integrated Circuit (ASIC) miners into the equation. These purpose-built miners were thousands of times more efficient at guessing the SHA-256 algorithm than the GPUs and CPUs before them. Consequently, their introduction created a scenario in which the average miner now needed to invest thousands in mining equipment to stay relevant.

Mining Pools

Luckily, some creative minds in the field began to think of ways to level the playing field out again. They developed “mining pools.” A mining pool is a network of miners that all share computational power for the common goal of mining blockchain transactions. Importantly, mining pool participants receive a percentage of the reward based on their contributions to the network’s overall hash (computational power).
Importantly, over the last three years, there has been a push to move away from power-hungry consensus mechanisms such as PoW. This desire to secure blockchains in a more efficient manner has led to the development of some truly unique consensus mechanisms in the sector.

Proof-of-Stake (PoS)

The Proof-of-Stake mechanism does away with the difficult mathematical algorithms and instead utilizes a more psychological approach to securing the network. In a PoS blockchain, users don’t need to compete mathematically to add the next block to the blockchain. Instead, PoS users “stake” their coins via network wallets to secure the network. The way staking works is simple.
Keeping a certain amount of coins in your wallet allows you to participate in transaction validations. The more coins you stake, the more likely the chances are you get to add the next block of transactions to the network. In most PoS systems, a miner from those with the most tokens staked at the time receives the chance to add the blocks.
The advantages of a PoS consensus mechanism are immediately evident. For one, you don’t need to pour tons of resources into your network to keep it safe. Additionally, since nodes are chosen based on their amount of staked coins, there is never a scenario in which a node gains anything from validating incorrect transactions. Basically, a hacker would have to fully invest in the cryptocurrency prior to attacking the network. In this way, PoS systems create a huge deterrent to attackers.

The Future of Blockchain Technology

Blockchain technology has come a long way from its early days as a means to secure cryptocurrency networks. Today, blockchain technology has numerous uses across every type of industry imaginable. Specifically, blockchain programs have impacted the logistical, financial, and data security sectors in a major way.

Blockchain Technology Logistics

Blockchain logistical systems are more efficient and cost-effective to operate than traditional paper-based models. In fact, the immutable and unalterable nature of blockchain tech makes it ideally suited to logistical tasks. Soon, you may be able to ascertain much more information regarding the creation and delivery of your products thanks to these new-age systems emerging.

Fundraising

Blockchain technology has also altered the way in which businesses raise funds. In a traditional corporate crowdfunding strategy such as an IPO, companies must balance between cost-effectiveness and participation. The inability to process smaller transactions meant that for the longest time, companies had to turn away potential investors. Nowadays, blockchain technology enables businesses to easily automate these procedures via smart contracts.

Smart Contracts

Smart Contracts feature preprogrammed protocols that execute when they receive a certain amount of cryptocurrency sent to their address. These contracts live on the blockchain and enable remarkable functionality. For example, in the case of fundraising, a smart contract can automate processes such as the approval of investors and the distribution of funds.

Blockchain Technology Today

You can expect to see further expansion of the blockchain sector in the coming months as more governments and institutions explore its benefits. For now, the blockchain revolution is well underway.
submitted by BlockDotCo to u/BlockDotCo [link] [comments]

30+ Reasons Why Cryptocurrencies Are Worthless

1)It is possible to change the code through a miner vote or a fork and change the total supply or anything. DASH did it : they reduced the total supply from 84M to 18.9M a few years ago. They could also increase it to 999 Trillions if they wanted to so that millions of DASH are mined every week.

2)You can also fork bitcoin anytime , start over from 0 and claim it's the real bitcoin. (BCH , BSV , BTG , LTC , BCD etc)

3)Why would you pay $10,000 for a digital collectible unit called BTC when you can use BCH or TRX or LTC .. you name it. They work just as fine and cost less. There is no rarity like in gold.

4)Think of any amount you hold in ethereum as a gift card to use smart contracts on the ETH blockchain. Ridiculous. You’d rather hold a wal mart gift card or even simply cash.

5)Private keys may be bruteforced as we speak. Quintillions entries a second. When they’ll have enough bitcoins under control , they could move them all at once instantly.(At least 45,000 ETH have been stolen this way for now through ethereum bandit)SHA 256 is too old , bitcoin is 10 years old , it is not secure enough , quantum computing could potentially break it.

6)And that’s if people don’t find a way to create an infinite amount of coins to sell on exchanges.. it happened with monero , stellar , bitcoin , zcash , zcoin , eos , etc..

proofs :

“Bitcoin , Coindesk : “The Latest Bitcoin Bug Was So Bad, Developers Kept Its Full Details a Secret”an attacker could have actually used it to create new Bitcoin — above the 21 million hard-cap of coin creation — thereby inflating the supply and devaluing current bitcoins.”

Stellar : “Stellar Inflation: Glitch Leads to 2.25 Billion Extra XLM Printed”

Monero : “A bug in the Monero (XMR) wallet software that could enable fake deposits to exchanges has been recently brought to public attention through a Medium post”

Zcoin : Forged coins were created, but not exceeding 1% of the circulating supply. We will release further details on exact numbers when Sigma is released.

EOS : “Hackers Forge Billion EOS Coins to Steal Real Crypto From DEX “

Zcash : “Zcash Team Reveals It Fixed a Catastrophic Coin Counterfeiting Bug” etc..

7)Segwit , and especially Lightning network is a very complex technology and it will inevitably have flaws , bugs , it will be exploited and people will lose money. That alone can cause bitcoin to drop very low levels.

8)Then miners may be losing millions so they will stop mining , blocks may be so slow , almost no transaction will come though , and bitcoin may not have enough time to reach the next difficulty adjustement. This is reffered to as a death spiral. Then every crypto even those with no mining involved may crash hard.

9)Many crypto wallets are unsafe and have already caused people to lose all their investment , including the infamous “parity wallet”.

10)It is NOT trustless. you have to trust the wallet you’re using is not just generating an address controlled by the developper , you have to trust the node the wallet connects to is an honest node , you have to trust a Rogue state or organization with enough computing power will not 51% attack the network. etc..

11)Bitcoin is NOT deflationary. Bitcoins are created every blocks (roughly every 10 minutes) and you wil be dead by the time we reach the 21 million current hard cap.

12)Bitcoin price may artificially be inflated by Tether.

13)It’s an energy waste , an environmental catastrophy.

14)The only usecases are money laundering , tax evasion , gambling , buying on the dark net , evading sanctions and speculation.

15)Governments will ban it if it gets too big , and they have a big incentive to do so , not only for the obscure usecases but also because it threatens the stability of sovereign currencies. Trump could kill bitcoin with one tweet , force fiat exchanges to cease activity.

16)Most cryptos are scams , the rest are just crazy speculative casino investments.

17)It is pyramidal : early adopters intend to profit massively while last comers get crushed. That's not how money works. The overwhelming majority of crypto holders are buying it because they think they will be able to sell it to a higher price later. Money is supposed to be rather stable. That's why the best cryptocurrencies are USDT USDC etc..

18)The very few stores accepting bitcoin always have the real price in the local currency , not in bitcoin. And prices like 0.00456329 BTC are ridiculous !

19)About famous brokers listing bitcoin : they have to meet the demand in order to make money , it doesn't mean they approve it , some even short it (see interactive broker's CEO opinion on bitcoin)

20)People say cash is backed by nothing and losing value slowly , and yes it is very flawed , but there is a whole nation behind it , it's accepted everywhere , you can buy more things with it.

21)Everybody in crypto thinks that there will be a new bullrun and that then , they will sell. But because everybody thinks it will happen , it might not happen. The truth is past performance doesn’t indicate future performance and it is absolutely not guaranteed that there will ever be another bullrun. The markets are unpredictable.

22)Also BTC went from about $0.003 to the price it is today , so don’t think it’s cheap now.

23)There is no recourse if you’re scammed/hacked/made a mistake in the address etc. No chargebacks. But it might be possible to do a rollback (blockchain reorganization) to reverse some transactions. BSV did it.

24)In case of a financial crisis , the speculative assets would crash the most and bitcoin is far from being a non speculative safe heaven ; and governments might ban it to prevent fiat inflation to worsen.

25) Having to write down the private key somewhere or memorize it is a security flaw ! It’s insane to think a system like this will gain mass adoption.

26) The argument saying governments can not ban it because it is decentralized (like they banned drugs) doesn’t work for cryptos. First , drugs are much harder to find and much more expensive and unsafe because of the ban , and people are willing to take the risk because they like it. But if crypto is banned , value will drop too much , and if you can’t sell it for fiat without risking jail , goodluck to find a buyer. Fiat exchanges could close. Banks could terminate every crypto related bank account. And maybe then the mining death spiral would happen and kill all cryptos.

27) Crypto doesn’t exist. It’s like buying air. It’s just virtual collectibles generated by a code. Faguzzi, fugazzi, it’s a whazzie, it’s a whoozie.. it’s a.. fairy dust. It doesn’t exist. It’s never landed. It’s no matter, it’s not on the elemental chart. It… it’s not fucking real!

28) Most brilliant guys have come out and said Bitcoin was a scam or worthless. Including Bill Gates , Warren Buffet , The Wolf Of Wall Street…

29) Inflation is necessary for POW , BTC code will have to be changed to bypass the 21M cap or mining will die ! If BTC code is not changed to allow for miners to be paid reasonably , they will cease mining when the bitcoin block reward gets too low.Even monero understood it ,the code will have to be changed to allow for an infinite bitcoin supply (devaluating all current bitcoins) or the hash will decrease and the security of bitcoin will decrease dramatically and be 51% attacked

30) Don’t mix up blockchain and cryptos. Even blockchain is overrated. But when you hear this or that company is going blockchain , it doesn’t mean they support cryptocurrencies.

31) Craig Wright had a bitcoin mining company with Dave Kleinman (he died) and on january 1 2020 he claims he will be able to access the 1.1M BTC/BCH/BTG from the mining trust. He may or may not dump them on the market , he also said BTC had a fatal flaw and that by 2019 there will be no more BTC.

32) Hacks in cryptos are very common and usually massive. Billions of dollars in crypto have been stolen in the last 6 years. In may 2019 Binance was hacked and lost 7,000 BTC (and it’s far from being the biggest crypto hack).

33) Bitcoin was first. It's an ancient technology. Newer blockchains have privacy, smart contracts, distributed apps and more.Bitcoin is our future? Was the Model T the future of the automobile? (John Mc Afee)

34) IOTA investiguating stolen funds on mainnet. IOTA shuts down the whole network to deal with trinity wallet attack.

35) Compared to bitcoin other cryptos work just as fine and don't waste so much energy.

36 ) Everytime miners disagree on the updates it will create another version of bitcoin : problem of governance and legitimacy.

37) Cryptos are only legitimate if they act as a credit for a redeemable asset like USDT or gold backed coins.


While the native language of the writter is not english , I think you get the point and it doesn't make it any less relevant.
submitted by OverTheRedHills to u/OverTheRedHills [link] [comments]

Can someone explain me in simple terms what exactly is "solving a hard mathematical problem" in relation to bitcoin miners?

I have read several blogs and several small books but none of the book could explain easily how does exactly a bitcoin generated. I know the following things:
  1. After every 10 minutes, a block is generated which contains all the transactions that happened since the last block got verified.
  2. All the miners try to verify the newly generated block. It's a hard mathematical problem which requires extensive computation. The miner which solves that problem gets 12.5 Btc in reward.
I am confused about that mathematical problem. What is that? Is it finding a key by brute force method for the newly generated hash of the newly generated block? Why is it so hard? Is it because the hash generated becomes longer and longer as the number of transactions have increased? Or is the hash generated contains all knowledge of the transaction since the first bitcoin generated?
Can some one explain me in simple terms? I want to make other people understand the value of bitcoin but get confused myself while explaining them.
P.S. I am a technical person and have no difficulty in understanding the mathematics.
submitted by kumartarun to Bitcoin [link] [comments]

Quantum splice attack on hashes?

So, if I were able to manipulate a block such that the hash matched a hash of another existing block, would that enable me to create a new chain that had blocks spliced into it at some point?
Sha-1 has been cracked. https://www.theregister.co.uk/2017/02/23/google_first_sha1_collision/
A whitepaper for using quantum computers to crack sha-3 is here: https://eprint.iacr.org/2020/213.pdf
We are at sha-256.
What would the consequences of a quantum splice attack look like? Well, for starters, the attackers could not submit any invalid transactions. It would be rejected as an invalid block. Could they mess transaction ordering? Maybe. Remember these are deep in the past. The biggest impact would be that the attacker might be able to control who earned the bitcoins mined at that point. This would invalidate transactions in the present because the initial miner got swapped. This would create all kinds of chaos as blocks became invalid.
The bigger question is how bitcoin would recover. We would recover, no doubts there. The question of how we recover is an important one. Bitcoin probably would need governance in this scenario. Miners, holders, and node runners would both need to have additional channels of communication to the ones they have now.
submitted by Ghostcarapace3 to Bitcoin [link] [comments]

Why a POW change will make Bitcoin stronger.

Recently, my Bitcoin value has been manipulated by high profile actors who control the POW used to prevent double spends. This is not the bitcoin I signed up for, and I think too many people believe bitcoin is "secured" by said hash power.
My Bitcoin is primarily secured by consensus and my private key. While it's true that miners can ignore or delay transactions, this is supposed to be detrimental to miners. But because of a bug in the POW, the money from fees (10%) is less than the savings from a POW shortcut.
This is a great opportunity for a safe, consensus transition to a new asic-resistant POW. There has been tremendous research in this area. Bitcoin could even select 3 of the top algos - and chain them.
A safe, flag day and replay-impossible hard fork can change the difficulty schedule to ramp down the old POW and ramp up the new - in lock step over the course of 1 year. This would gracefully retire reliance on centralized manufacturing.
My personal favorite algos involve gpu-optimized polygon manipulation and rasterization . The idea is that any improvement in mining /must/ also improve the quality or affordability of graphics rendering. Algorithms that attempt ASIC resistance with large amounts of memory are delay tactics that won't scale over time.
By doing this gradually, there need be no industry outrage, or undue harm to existing manufacturers or miners. Also it give GPU farms time to spin up and equal the electricity expenditure and security provided.
submitted by earonesty to Bitcoin [link] [comments]

I earned about 4000% more btc with my android tablet than with a $250 ASIC mini rig setup using GekkoScience Newpac USB miners!

Requirements:
1.) Android Device with access to Google Play Store. *I haven't tried yet but you may be able to use tis on Android TV devces as well by sideloading. If anyone has success before I try, let me know! -Note, I did this with a Samsung Galaxy Tab S6 so its a newer more powerful device. If your android is older, your profts will most likely be less than what I earned but to give a projected range I also tested on my Raspberry Pi 4 running a custom LineageOS rom that doesn't allow the OS to make full use of the Pi's specs and I still got 500 h/s on that with Cloud boost, so about 60% of what my Tab 6 with MUCH Higher Specs does.
**Hey guys. Before I get started i just wanted to be clear about one thing. Yes I have seen those scammy posts sharing "miracle" boosts and fixes. I have a hard time believing stuff online anymore. But this is honestly real. Ill attach photos and explain the whole story and process below. Thanks for taking the time to read and feel free to share any thoughts, concerns, tips, etc*
So last week I finally got started with my first mini rig type mining build. I started getting into crypto about a year ago and it has taken me a long time to even grasp half of the projects out there but its been fun thus far! Anyways my rig was 2 GekkoScience Newpac USB miners, a Moonlander USB miner to pair with an FPGA i already had mining, a 10 port 60W 3.0 USB hub and 2 usb fans. The Newpacs actually are hashing at a combined 280 g/s which is actually better than their reported max hash rate when overclocked. Pleasant surpise and they are simple!! I just wanted to get a moonlander because my fpga already mines on Odocrypt for DGB and I just wanted to experience Scrypt mining and help build the DGB project. The Newpacs are mining BTC though.
After I got everything up and running i checked my payout daily average after 1 week. I averaged .01 a day TOTAL between all three miners with them all perforing ABOVE SPEC!!! I had done research so i knew I wouldnt earn much. More than anything i just wanted to learn. But still. I was kinda surprised in a negative way. Yesterday I actually earned less than .01 Frustrated I went back to scouring the web for new ideas. About a year ago, when II was starting, I saw an app on my iphone called CryptoBrowser that claimed to mine btc on your phone without actually using phone resources using a method of cloud mining. I tried it for a week and quit because I earned like .03 after a ton of use and seemed scammy. Plus my iphone actually would get very hot when doing this so I quit using it as it seemed like a possible scam with all the cryptonight browser mining hacks and malware out there.
Anyways I was on my Galaxy Tab S6 and saw that CryptoBrowser released a "PRO" edition for 3.99 on Google Play. I bought it for Sh*ts and giggles and booted it up. It came with what they called "Cloud Boost" Essentially this is a button you press and it multiplys the estimated hashrate that it gives you device by the number shown on the boost button. (With the purchase of PRO you get one free x10 boost. You can purchase additional boosts to use with other android devices but those are actually pretty pricy. Another x10 boost was like $25 if i remember correctly).
I played with it for about an hour to see if it actually worked like it said it would this time. To my surprise, as i was browsing, my device didnt increase in temperature AT ALL!!!!! I checked my tast manager to confirm and it was indeed true, my memory and usage barely went up. it was giving me an estimated range of 80-105 on the hashrate. Once i pushed the x10 boost button, that went to 800-1150 h/s. I switched my screen to not go to sleep, plugged it to the charge and let it run on the browser page, hashing. When you push the boost button, it runs for 3 hours at the boosted speeds. After that it goes back to normal but if you press the button again, it boosts everything again. There is no limit to how many times you use it. After checking what I earned after 24 hours, I HAD MADE .40 in BTC!!!!! I JUST EARNED OVER 4000% MORE THAN MY $280 MINING RIG EARNED ME!!!! I was blown away. Maybe this was a fluke? I did it again next day. Every 3 hours or so I would push the button again but thats all. Sure enough, .35 that day. Also, it realy BTC. I requested a payout and although it took like 12 hours for them to send me an email stating they had just sent it, I actually did recieve the state amount of BTC within 24 hours in my personal wallet. The fees to send are SUPER LOW!. Like .01
Below I will list the steps I took, along with an explanation of thier "Mining" process on Androids. Reminder, this ONLY WORKS ON ANDROIDS. Also DO NOT use cryptobrowser on a physcal laptop or desktop. I ran it on an old laptop for three days last year and it fried it. It does actually use your hardware on those platforms to mine and it is not efficnet at all as I suspect they prob steal over half of your power for themselves using the REAL RandomX protocol via browser mining which is EXTREMELY INEFFICIENT DONT TRY IT!!
-----How To Do This Yourself:
Cryptotab Browser states the program works on Android devices by estimating what it thinks the hashrate would be for your device specs and siimulates what you would mine in a remote server however you still earn that estimated coin amount. It is not a SHA-256 process or coin that they say is mining, rather it is XMR and they swap that and pay it out to you in BTC Bitcoin. However I know damn well my Tab S6 doesnt hash 80-105 h/s on RandomX because I have done it with a moodified XMRig module i ported to Android. I got 5 h/s a sec if I was getting any hashes at all. But thats besides the point as I still was making money.
Now, when you press that cloud boost button it immediately boosts that hash rate it estimates by the number on the cloud boost. As stated above, you can purchase more boosts and gift them or use them on extra android devices that you may have. Again, they are pricey so I'm not doing that plus it would just mean that I have another device that I have to leave on and open. The boosts come in x2, x4, x6, x8 and x10 variants. Again, they have unlimited uses.
Here is the link to grab yourself CryptoBrowser Pro from CryptoTab. This IS A REFERRAL LINK! This is where I benefit from doing tis tutorial. Like i said, I want to be transparent as this is not a scam but I'm also not doing this out of the love of my heart. Their referral system works in that people that use the donwload the app using your link are your stage 1 referrals. Anytime they are mining, you earn a 15% bonus. So say they mine $.30 one day. You would get paid out an additional $.045 in your own balance (it does not come out of the referred user balance fyi so no worries). Then lets say that referred miner also gets their own referrals. I would get a 10% bonus on whatever THOSE people mine. This goes on and on for like 8 tiers. Each tier the bonus percntage essential halves. So again, I stand to benefit from this but it also is stupid to not make this visible as its WAY CHEAPER, EASIER AND MORE PROFITABLE TO GET BTC USING THIS METHOD THAN IT IS USING ASICS!! THIS EARNS ALMOST AS MUCH BTC AS AN ANTMINER S7 DOES RUNNING 24/7 ONLY WITHOUT THE HUGE ELLECTRICTY BILL AND COSTS!!!!)
Thats it. Again, if you have concerns, let me know or if you have suggestions, other tips, etc... mention those as well!!!
https://cryptotabbrowser.com/8557319
Links to Picture Proof http://imgur.com/gallery/P13bEsB
submitted by Afraid_Balance to earnbitcoin [link] [comments]

Question: I want to do a paper on Bitcoin for school.

Before we get started, I have around 4 months left for this paper, it is meant as a finalizing paper for my "high school" career. I live in the Netherlands and I am 17 years old.
The project is meant in pairs, and for anyone who is dutch, it is my profielwerkstuk. So basically, the paper is a roundup of your specific field you have chosen in high school (mine is physics biology and quite a low level of math).
Here is the problem. The plan was to build a bitcoin mine, which would be our research, we have linked our research with math as a subject. Our supervisor told us it wasn't smart to do anything related to cryptography and math. Because it was too difficult, and if we were to build a bitcoin mine he would expect us to do something with math (cryptography) or programming.
is doing anything related to cryptography too ambitious with a low level of math?
Our supervisor told us even he cannot do cryptography as a math teacher, and told us that we had read and study cryptography long-term. But we cannot do our research without involving any sort of math or programming. Does anyone have another idea for us to do with some simple programming or math. We are just regular high school students and we've been following along with the bitcoin trend investing a little bit here and then. And thought it would be a neat idea to do something with a subject we enjoy.
TL;DR Summup of questions:
As someone who is by no means and expert in math, would doing something related to cryptography and bitcoin be achievable?
Does anyone have any idea as to what we could add (such as programming or math) to a future mine we plan on building for school.
submitted by niekh1234 to Bitcoin [link] [comments]

Mining tax proposal could have been a great plan, but orphaning suggestion makes it a disaster

As I said before, the miners run the network and as such they are responsible for the software which runs it. This only makes sense that they fund development. Since it looked for me that they were in agreement to donate the %% of their mining profits to the development fund, I was very happy to see that they came together for a common goal.
Until someone pointed this paragraph to me:
To ensure participation and include subsidization from the whole pool of SHA-256 mining, miners will orphan BCH blocks that do not follow the plan. This is needed to avoid a tragedy of the commons.
If that sounds like an abuse, that's because it is:
That would be a disaster. BCH community must take a stand that 50% attack is NEVER EVER EVER acceptable.
All of that is also aggravated by the fact that the 50% attack is completely unnecessary. If majority of the miners are already on board with the plan, what prevents them from executing it without 50% attack, and make the fund a voluntary thing? There will be a little less funds, so what. If more that 50% hash rate is already secured for that plan, then at minimum half of the funds would still be available. And all of that would be done without any dick moves.
submitted by wk4327 to btc [link] [comments]

How to Create Your Own Cryptocurrency Using Python 2020

A blockchain is a public database that irreversibly documents and authenticates the possession and transmission of digital assets. Digital currencies, like Bitcoin and Ethereum, are based on this concept. Blockchain is an exciting technology that you can use to transform the capabilities of your applications.
Of late, we’ve been seeing governments, organizations, and individuals using the blockchain technology to create their own cryptocurrencies—and avoid being left behind. Notably, when Facebook proposed its own cryptocurrency, called Libra, the announcement stirred many waters across the world.

What if you could also follow suit and create your own version of a cryptocurrency?

I thought about this and decided to develop an algorithm that creates a crypto.
I decided to call the cryptocurrency fccCoin.
In this tutorial, I’m going to illustrate the step-by-step process I used to build the digital currency (I used the object-oriented concepts of the Python programming language).
Here is the basic blueprint of the blockchain algorithm for creating the fccCoin:
class Block: def __init__(): #first block class pass def calculate_hash(): #calculates the cryptographic hash of every block class BlockChain: def __init__(self): # constructor method pass def construct_genesis(self): # constructs the initial block pass def construct_block(self, proof_no, prev_hash): # constructs a new block and adds it to the chain pass u/staticmethod def check_validity(): # checks whether the blockchain is valid pass def new_data(self, sender, recipient, quantity): # adds a new transaction to the data of the transactions pass u/staticmethod def construct_proof_of_work(prev_proof): # protects the blockchain from attack pass u/property def last_block(self): # returns the last block in the chain return self.chain[-1]
Now, let me explain what is taking place…
1. Building the first Block class A blockchain comprises of several blocks that are joined to each other (that sounds familiar, right?).
The chaining of blocks takes place such that if one block is tampered with, the rest of the chain becomes invalid.
In applying the above concept, I created the following initial block class
import hashlib import time class Block: def __init__(self, index, proof_no, prev_hash, data, timestamp=None): self.index = index self.proof_no = proof_no self.prev_hash = prev_hash self.data = data self.timestamp = timestamp or time.time() u/property def calculate_hash(self): block_of_string = “{}{}{}{}{}”.format(self.index, self.proof_no, self.prev_hash, self.data, self.timestamp) return hashlib.sha256(block_of_string.encode()).hexdigest() def __repr__(self): return “{} – {} – {} – {} – {}”.format(self.index, self.proof_no, self.prev_hash, self.data, self.timestamp)
As you can see from the code above, I defined the __init__() function, which will be executed when the Block class is being initiated, just like in any other Python class.
I provided the following parameters to the initiation function:
self—this refers to the instance of the Block class, making it possible to access the methods and attributes associated with the class; index—this keeps track of the position of the block within the blockchain; proof_no—this is the number produced during the creation of a new block (called mining); prev_hash—this refers to the hash of the previous block within the chain; data—this gives a record of all transactions completed, such as the quantity bought; timestamp—this places a timestamp for the transactions. The second method in the class, calculate_hash, will generate the hash of the blocks using the above values. The SHA-256 module is imported into the project to assist in obtaining the hashes of the blocks.
After the values have been inputted into the cryptographic hash algorithm, the function will return a 256-bit string representing the contents of the block.
This is how security is achieved in blockchains—every block will have a hash and that hash will rely on the hash of the previous block.
As such, if someone tries to compromise any block in the chain, the other blocks will have invalid hashes, leading to disruption of the entire blockchain network.
Ultimately, a block will look like this:
{ “index”: 2, “proof”: 21, “prev_hash”: “6e27587e8a27d6fe376d4fd9b4edc96c8890346579e5cbf558252b24a8257823”, “transactions”: [ {‘sender’: ‘0’, ‘recipient’: ‘Quincy Larson’, ‘quantity’: 1} ], “timestamp”: 1521646442.4096143 }
2. Building the Blockchain class The main idea of a blockchain, just as the name implies, involves “chaining” several blocks to one another.
Therefore, I’m going to construct a Blockchain class that will be useful in managing the workings of the whole chain. This is where most of the action is going to take place.
The Blockchain class will have various helper methods for completing various tasks in the blockchain.
Let me explain the role of each of the methods in the class.
a. Constructor method This method ensures the blockchain is instantiated.
class BlockChain: def __init__(self): self.chain = [] self.current_data = [] self.nodes = set() self.construct_genesis()
Here are the roles of its attributes:
b. Constructing the genesis block The blockchain requires a construct_genesis method to build the initial block in the chain. In the blockchain convention, this block is special because it symbolizes the start of the blockchain.
In this case, let’s construct it by simply passing some default values to the construct_block method.
I gave both proof_no and prev_hash a value of zero, although you can provide any value you want.
def construct_genesis(self): self.construct_block(proof_no=0, prev_hash=0) def construct_block(self, proof_no, prev_hash): block = Block( index=len(self.chain), proof_no=proof_no, prev_hash=prev_hash, data=self.current_data) self.current_data = [] self.chain.append(block) return block
c. Constructing new blocks
The construct_block method is used for creating new blocks in the blockchain.
Here is what is taking place with the various attributes of this method:
d. Checking validity
The check_validity method is important in assessing the integrity of the blockchain and ensuring anomalies are absent.
As mentioned earlier, hashes are essential for the security of the blockchain as even the slightest change in the object will lead to the generation of a completely new hash.
Therefore, this check_validity method uses if statements to check whether the hash of every block is correct.
It also verifies if every block points to the right previous block, through comparing the value of their hashes. If everything is correct, it returns true; otherwise, it returns false.
u/staticmethod def check_validity(block, prev_block): if prev_block.index + 1 != block.index: return False elif prev_block.calculate_hash != block.prev_hash: return False elif not BlockChain.verifying_proof(block.proof_no, prev_block.proof_no): return False elif block.timestamp <= prev_block.timestamp: return False return True
e. Adding data of transactions
The new_data method is used for adding the data of transactions to a block. It’s a very simple method: it accepts three parameters (sender’s details, receiver’s details, and quantity) and append the transaction data to self.current_data list.
Anytime a new block is created, this list is allocated to that block and reset once more as explained in the construct_block method.
Once the transaction data has been added to the list, the index of the next block to be created is returned.
This index is calculated by adding 1 to the index of the current block (which is the last in the blockchain). The data will assist a user in submitting the transaction in future.
def new_data(self, sender, recipient, quantity): self.current_data.append({ ‘sender’: sender, ‘recipient’: recipient, ‘quantity’: quantity }) return True
f. Adding proof of work
Proof of work is a concept that prevents the blockchain from abuse. Simply, its objective is to identify a number that solves a problem after a certain amount of computing work is done.
If the difficulty level of identifying the number is high, it discourages spamming and tampering with the blockchain.
In this case, we’ll use a simple algorithm that discourages people from mining blocks or creating blocks easily.
u/staticmethod def proof_of_work(last_proof): ”’this simple algorithm identifies a number f’ such that hash(ff’) contain 4 leading zeroes f is the previous f’ f’ is the new proof ”’ proof_no = 0 while BlockChain.verifying_proof(proof_no, last_proof) is False: proof_no += 1 return proof_no u/staticmethod def verifying_proof(last_proof, proof): #verifying the proof: does hash(last_proof, proof) contain 4 leading zeroes? guess = f'{last_proof}{proof}’.encode() guess_hash = hashlib.sha256(guess).hexdigest() return guess_hash[:4] == “0000”
g. Getting the last block
Lastly, the latest_block method is a helper method that assists in obtaining the last block in the blockchain. Remember that the last block is actually the current block in the chain.
u/property def latest_block(self): return self.chain[-1]
Let’s sum everything together
Here is the entire code for creating the fccCoin cryptocurrency.
You can also get the code on this GitHub repository.
import hashlib import time class Block: def __init__(self, index, proof_no, prev_hash, data, timestamp=None): self.index = index self.proof_no = proof_no self.prev_hash = prev_hash self.data = data self.timestamp = timestamp or time.time() u/property def calculate_hash(self): block_of_string = “{}{}{}{}{}”.format(self.index, self.proof_no, self.prev_hash, self.data, self.timestamp) return hashlib.sha256(block_of_string.encode()).hexdigest() def __repr__(self): return “{} – {} – {} – {} – {}”.format(self.index, self.proof_no, self.prev_hash, self.data, self.timestamp) class BlockChain: def __init__(self): self.chain = [] self.current_data = [] self.nodes = set() self.construct_genesis() def construct_genesis(self): self.construct_block(proof_no=0, prev_hash=0) def construct_block(self, proof_no, prev_hash): block = Block( index=len(self.chain), proof_no=proof_no, prev_hash=prev_hash, data=self.current_data) self.current_data = [] self.chain.append(block) return block u/staticmethod def check_validity(block, prev_block): if prev_block.index + 1 != block.index: return False elif prev_block.calculate_hash != block.prev_hash: return False elif not BlockChain.verifying_proof(block.proof_no, prev_block.proof_no): return False elif block.timestamp <= prev_block.timestamp: return False return True def new_data(self, sender, recipient, quantity): self.current_data.append({ ‘sender’: sender, ‘recipient’: recipient, ‘quantity’: quantity }) return True u/staticmethod def proof_of_work(last_proof): ”’this simple algorithm identifies a number f’ such that hash(ff’) contain 4 leading zeroes f is the previous f’ f’ is the new proof ”’ proof_no = 0 while BlockChain.verifying_proof(proof_no, last_proof) is False: proof_no += 1 return proof_no u/staticmethod def verifying_proof(last_proof, proof): #verifying the proof: does hash(last_proof, proof) contain 4 leading zeroes? guess = f'{last_proof}{proof}’.encode() guess_hash = hashlib.sha256(guess).hexdigest() return guess_hash[:4] == “0000” u/property def latest_block(self): return self.chain[-1] def block_mining(self, details_miner): self.new_data( sender=”0″, #it implies that this node has created a new block receiver=details_miner, quantity= 1, #creating a new block (or identifying the proof number) is awarded with 1 ) last_block = self.latest_block last_proof_no = last_block.proof_no proof_no = self.proof_of_work(last_proof_no) last_hash = last_block.calculate_hash block = self.construct_block(proof_no, last_hash) return vars(block) def create_node(self, address): self.nodes.add(address) return True u/staticmethod def obtain_block_object(block_data): #obtains block object from the block data return Block( block_data[‘index’], block_data[‘proof_no’], block_data[‘prev_hash’], block_data[‘data’], timestamp=block_data[‘timestamp’])
Now, let’s test our code to see if it works.
blockchain = BlockChain() print(“***Mining fccCoin about to start***”) print(blockchain.chain) last_block = blockchain.latest_block last_proof_no = last_block.proof_no proof_no = blockchain.proof_of_work(last_proof_no) blockchain.new_data( sender=”0″, #it implies that this node has created a new block recipient=”Quincy Larson”, #let’s send Quincy some coins! quantity= 1, #creating a new block (or identifying the proof number) is awarded with 1 ) last_hash = last_block.calculate_hash block = blockchain.construct_block(proof_no, last_hash) print(“***Mining fccCoin has been successful***”) print(blockchain.chain)
It worked!
Here is the output of the mining process:
***Mining fccCoin about to start*** [0 – 0 – 0 – [] – 1566930640.2707076] ***Mining fccCoin has been successful*** [0 – 0 – 0 – [] – 1566930640.2707076, 1 – 88914 – a8d45cb77cddeac750a9439d629f394da442672e56edfe05827b5e41f4ba0138 – [{‘sender’: ‘0’, ‘recipient’: ‘Quincy Larson’, ‘quantity’: 1}] – 1566930640.5363243]
Conclusion
There you have it!
That’s how you could create your own blockchain using Python.
Let me say that this tutorial just demonstrates the basic concepts for getting your feet wet in the innovative blockchain technology.
If this coin were deployed as-is, it could not meet the present market demands for a stable, secure, and easy-to-use cryptocurrency.
Therefore, it can still be improved by adding additional features to enhance its capabilities for mining and sending financial transactions.
Nonetheless, it’s a good starting point if you decide to make your name known in the amazing world of cryptos.
If you have any comments or questions, please post them below.
Happy (crypto) coding!
Source: Cryptoors
submitted by djkloud to CryptoTechnology [link] [comments]

Miners should be treated as enemy of bitcoin

Miners are playing with bitcoin... They just increased hash rate in order to increase difficulty just before difficulty adjustment.. Now they just remove their signaling which is cause to decline in hash rate.. Which is gonna create problem with transactions.. They are just playing with ecosystem.. They must treated as enemies of bitcoin. Source for their game: https://twitter.com/carpenoctom/status/924369249258360837
submitted by alienalf to Bitcoin [link] [comments]

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AntMiner S9 Bitcon Asic SHA256 Miner BITMAIN

My hack job of a mining farm. Nothing fancy, just barebone hashing. It's a hobby Farm now running on a Raspberry B+ I'd love to hear about your rigs! Please comment below and share your links. Mine Bitcoin, Ethereum and other crypto with HashFlare - https://goo.gl/Tm9waV Use code - cElIM5 - and get 3% off every purchase on GM. https://www.genesis-m... In this exciting new video I talk about the differences of SHA-256 vs Scrypt and try to explain different types of mining. I also go into depth about what mining the average user should look into. AntMiner S9 + 1600W PSU 11.85Th/s two fan,11850Gh/s Asic Miner, Bitcon Miner, 16nm BTC Mining, Power Consumption 1172w, SHA256 Special ofer: http://ali.pub/1w8tgy The SHA-256 algorithm is used to mine bitcoin, It is worth noting SHA-256 is part of the SHA-2 cryptographic hash(SHA-2 (Secure Hash Algorithm 2) is a set of cryptographic hash functions designed ...

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