Bitcoin Mining Complication

Bitcoin mining complication and its effect on the system

The major problem of Bitcoin mining is the difference between SHA-256 and the main goal. The hash SHA-256 should match the goal or be lower to make the system accept the block. Every hash has to start from a certain number of zeros. The chance to define the hash that starts from a lot of zeros is very low. Therefore, a lot of efforts and tries need to be applied.

There is a function called hash cash that allows generating every new hash in a new round, which helps nonce to increase.

System complication

The complication of the organization is measured by how complicated it is to search for a new block comparing with the most simplest one as it only can be. The block gets recounted every 2016 blocks. It should value all prior 2106 blocks that were generated after 14 days if all of them were mined at that difficulty.

The more mine-workers join the operation, the faster will be the process of creating blocks. When the speed of blocks’ generation grows, the complication also increases to make up, so the speed of creating blocks falls down. All blocks that will be created by fraud services will be refused and will not be used for the system and customers.

Reward for blocks

When the clock is found, the person who the block was found by can reward himself with a specific number of coins. These rules about rewarding yourself with coins are described in the system. At the moment the rewards comes to 25 bitcoins. Also, the mine-worker gets a reward that is paid by customers who make transactions. The commissions should stimulate the mine-worker to add every payment in its block. In the nearest future, new coins that will be created in every block by mine-workers, the fees will become the main income from the mining operation.