₿ Bitcoin Mining Guide

Learn how Bitcoin mining works

What Is Bitcoin Mining?

Bitcoin mining is the process of verifying transactions and adding them to the Bitcoin blockchain.

Miners use specialized hardware to perform computational work and compete to add new blocks to the network.

How Does Bitcoin Mining Work?

1. Transactions are broadcast to the Bitcoin network.
2. Miners collect transactions into blocks.
3. Mining hardware performs computational work.
4. A valid block is added to the blockchain.
5. The miner can receive a block reward and transaction fees.

Bitcoin Mining Costs

Mining profitability can depend on electricity prices, hardware efficiency, cooling costs, network difficulty and the market price of Bitcoin.

• ASIC mining hardware
• Electricity consumption
• Cooling and maintenance
• Internet connection
• Bitcoin market conditions

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