Mining Bitcoin Blocks
Step 2: Mining Bitcoin Blocks
Transaction Validation: GPUs in the pool validate pending Bitcoin transactions, ensuring senders have sufficient funds and transactions are legitimate.
The Hashing Process (Proof-of-Work): Miners compete to find a specific hash value that meets the Bitcoin protocol's difficulty target by repeatedly hashing the block's header.
Block Propagation & Network Consensus: The first miner to find the valid hash broadcasts their solution. Other network participants verify it. If accepted, the block is added to the blockchain.
Earning Block Rewards: The successful miner (or in our case, the pool which then distributes to participants) receives newly minted bitcoins and transaction fees from the block.
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