Questions tagged [mining-theory]

This tag should be used for questions about the function, the reason for, and the underlying concepts of mining.

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Would Bitcoin still work without a target difficulty?

Suppose that Bitcoin nodes had no target difficulty at all, and instead just accepted the block with the largest PoW every 10 minutes. Ignoring the increased bandwidth (since nodes would be ...
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1answer
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How a real mining code treats difficulty?

I have come up recently with "how to mine bitcoin using python" or "how to mine bitcoin using golang" and as I have been observing all these source code, not only I'm confused but ...
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3answers
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Could the threat of centralization be realized if a sufficiently large entity acquired enough Bitcoin?

This is primarily a hypothetical, but not an impossible one. If a sufficiently large entity such as a massive company with a lot of cash or the U.S. Federal Reserve were to acquire more than half of ...
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Why should a miner include transactions when creating a new block?

As I understand it, if I'm a miner, and I have 5 transactions in my queue, I then would use the previous blocks hash and my list of transactions to attempt to create a new block. To do this, I must ...
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Can dishonest miners spam fake blocks? [duplicate]

How, if at all, does bitcoin disincentivize spam blocks by adversarial/dishonest miners? As I understand it, blocks are propagated throughout the network using a gossip protocol. If that's true, I ...
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1answer
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What is the meaning of Bitcoin terms like `Tx`, `Block-Header` and `Target`

Hello can you please explain what "TXes" are and What "Block Headers & Targets" and "Headers Below Target" mean. Thank you very mcuch.
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3answers
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What (if anything) in the bitcoin protocol prevents bias against certain accounts?

The bitcoin protocol allows miners to choose which transactions to include when they create a block. They can't include any inauthentic transactions, but to allow for an open market of transaction ...
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1answer
43 views

Where is there a graph of total miner revenue (BTC) per unit time (e.g. day)?

Basically I'm looking for this graph, but denominated in BTC https://www.blockchain.com/charts/miners-revenue or this graph plus the block reward https://www.blockchain.com/charts/transaction-fees I'...
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2answers
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How often does the “little man” win [mining]

I have read that long term we expect that the percentage of blocks mined to be forever converging to the percentage of hashpower possessed by the miner. This means if a particular miner has 20% of the ...
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0answers
52 views

Bitcoin botnets are not a problem. What is stopping ASIC resistant bitcoin now? [duplicate]

Many have suggested solutions to the botnet problem. Including being able to see your cpu rate; genuine miners to see their incomes dropping , etc. If we tried, there are easily solutions we can find ...
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3answers
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Why there are so many miners, if only one will be rewarded?

Why do we need so many miners, if we anyways only can add one block every 10 minutes? I mean if the current block height is x and we now need the block of height x+1 only one miner will be rewarded ...
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1answer
646 views

Why can the block production rate be as low as two per hour?

Why is it taking so long to mine a single block. Like last hour only 2 blocks have been mined. Currently been 45 min since the last block was mined. According to blockchair Hour Blocks 5 ***** ...
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1answer
85 views

How Do I unlock a Bitcoin Blockchain with my Proof Of Work? [duplicate]

Can anyone help with some good explanations on next steps for Bitcoin mining. Hypothetically let's say I create an algorithm that successfully guesses the code to unlock a Bitcoin blockchain gives me ...
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1answer
96 views

Are all “hosted mining” services necessarily scams?

In 2014 or something, I paid a smaller sum of money to some company called "Cloudhashing" or something, which claimed that I was renting part of their Bitcoin mining pool and all I had to do ...
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Why do we need miners

I know everyone says that we need mining to solve the double spending issue, but why? OK I am Alice and I want to send Bob some money, but double spend that money. This is the part where you say ...
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1answer
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What happens if a miner deliberately ignores a transaction, and “wins”?

Suppose a miner decides to solve the nonce for a particular block, where the miner deliberately excluded a particular transaction from this block. The miner "wins", i.e. they found the nonce ...
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What exactly determines how long it takes a given miner to mine 1 btc block? (not talking about hashrate) [duplicate]

So given the number of miners out there working on doing the same thing and that 1 block is mined every 10 minutes, it would appear at face value that only those with the highest hashrates would ever ...
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32 views

Fee-gathering advantages for geo-optimised miners

As the fee-in-reward percentage grows relative to subidy, will profitability increasingly be proportional to the number of listening nodes a miner has access to? While Bitcoin Core randomises ...
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1answer
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Is it possible that two miners mine blocks with different headers because they include different transactions

Ok, it's a yes or no question: miners can include different transactions in a block, so does that mean that they search for different nonces
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Question about bitcoin future [duplicate]

I've a question in mind: As we all know, bitcoin database hosting is a highly resource consuming operation cause of the way block chain works. For now bitcoin is being hosted and served through mining ...
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1answer
59 views

Is my Bitcoin address valid for mining?

I am looking at the specific block at height 680175. When comparing the address which received the block reward # bitcoin-cli validateaddress 1KFHE7w8BhaENAswwryaoccDb6qcT6DbYY { "isvalid":...
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1answer
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Why are there more than two transaction outputs in a coinbase transaction?

In a coinbase transaction there are always more than two transaction outputs. The first transaction output contains the reward. The second contains the witness reserved value. But why are there other ...
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I need help figuring out what happened with my BFGminer overnight

I'm a newbie to crypto and was experimenting with usb erupters because I was getting into ETH mining with my rig and wanted to test it on something less risky. I ran ck pool for my USB erupter just to ...
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1answer
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How is the witness reserved value set in a coinbase transaction?

In a coinbase transaction the second transaction output seems always to be a 32-byte witness reserved value. Is there any constraint on this value?
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1answer
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How to set the sequence number in a coinbase transaction?

The sequence number seems to be used for locking a transaction in mempool. However, the coinbase transaction is not part of the mempool and thus the sequence number does not make sense. Is it just an &...
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How Bitcoin restricts the mining time?

How Bitcoin restricts the mining time? We know cryptocurrency systems restrict the mining time of a block to a certain limit for security reasons. For example, mining time for Bitcoin is ~10 minutes. ...
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1answer
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How to install the latest bfgminer binaries directly from terminal without 'aptitude' on a raspberry pi 4 8gb running raspbian?

months ago I found an entry on StackExchange or somewhere else on how to install the latest (!) bfgminer binaries directly from terminal. I can not find the stackexchange post, no matter how deep I ...
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1answer
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Why does decoded block data not match coinbase transaction input?

I am looking at the specific block at height 680175. Via bitcoin-cli getblock 00000000000000000004dbd66fa71fdcd62658bf8c8e2e153521257ad5858c71 0 I obtained the serialized, hex-encoded block data. ...
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2answers
595 views

Why does the mined block differ so much from the block template?

I am looking at the specific block at height 680175. At the time when the block was not mined yet, I received the block template via bitcoin-cli getblocktemplate '{"rules": ["segwit&...
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1answer
33 views

Educational sample of minimal working mining code

I would like if someone could point me to a minimal program source code that does solo minig on a CPU. (Can assume a running bitcoind/full node) Something that in theory (obviously not in practice) ...
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1answer
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Why does mining / validation of new blocks have to be complicated / time consuming? [duplicate]

Why does mining / validation of new blocks have to be complicated / time consuming ? Why it can't be as simple as just find a hash for a text? Is it just to control / limit the amount of new crypto ...
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About mining difficulty [duplicate]

I hope you’re all doing well during this COVID-19 period. I was wondering how you can calculate the difficulty rate of a coin (Mining purposes)?
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Looking for feedback on (Browser-based) Blockchain Simulator

I have created a Blockchain 'simulator' in JavaScript, for the purpose of helping explain how the technology works. It is complementary to a website I have set up years ago, where I attempt to explain ...
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how to identify as soon as possible that a new block was mined

From the miner perspective: You have a worker, fetching data from a full-node with getblocktemplate to create a candidate block and push it to the miners, to effective mine it. As soon as your miner ...
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0answers
38 views

How mining works for a new born cryptocurrency [duplicate]

What I have learnt that mining is breaking a block which contains transactions using hashing algorithm (Sorry if this is wrong please do correct me). Now my question is how mining will work for a new ...
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60 views

Stratum: How many shares should I submit per job?

I'm implementing a bitcoin CPU miner just for fun in python. I've been reading a lot about bitcoin and the protocol pools use for communication and coordinating workers but there is a key concept I ...
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1answer
192 views

Are Bitcoin's blocks signed by the miner?

To my understanding, at no point in the Bitcoin Whitepaper does it say that blocks are signed by the miner. However, one could see the advantage of having blocks signed. Thus I wonder if in the ...
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0answers
31 views

basics of cryptocurrency [duplicate]

I recently became interested in cryptocurrency and its mining process but there are a few things I don't understand very well and I am still trying to learn the basics more before getting into trading ...
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How does a blockchain relying on PoW verify that a hash is computed using an algorithm and not made up by a human?

How does a blockchain verify that the hash provided (the one with the leading zeros that is supposed to be unique, computed using lots of processing power) is indeed unique and that it wasn't just a ...
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0answers
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Is the block header in stratum protocol double hashed?

I'm trying to understand how the block header is done when mining in a stratum pool. Should the block header be hashed once or double hashed ? the block header consists of the version, previous hash, ...
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2answers
155 views

How does the mining pool know our hashrate/our share?

Scenario: Person A: has a good mining rig and run for 24 hours and produces: 1000 mega hashes, but found only 1 share. Person B: has a bad mining rig and run for 24 hours and produces: 1 mega hash, ...
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41 views

What algorithm do miners (mining pools) use the generate different blocks as they exhaust the nonce values

As I understand it, the building of a block goes something like this (please correct): Collect a bunch of new transactions. Hash all those transactions. Generate a coinbase transaction using the ...
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1answer
128 views

Is Mining Bitcoin While The Price is Low or High better?

I have a few questions: Does the reward for Bitcoin increase/decrease when the price goes up and down? Is it more profitable to mine when Bitcoin is down, or when it is up? Thank you!
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1answer
128 views

What is the purpose of submit header relative to submit block?

I understand what the usage is for submit block, but submit header exists in the RPC API reference. Is that a legacy function? Or can it still be used? Thanks
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1answer
72 views

Can one manually type the mined block on bitcoin core and broadcast it?

I get that all miners compete to find the block first, which is then broadcasted to other nodes who then verify it. But what spikes my interest is would it be possible to broadcast the block to the ...
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1answer
33 views

How wallets/ miners differentiate bitcoin and bitcoin cash (forks of cryptos)? (technical IT question)

I could not find the answer by web search. People usually interested in economic differences. I guess it is a question for those who know how mining algorithms works. Internet is kind of decentralized....
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Trust in bitcoin networking

I am new to the subject, but as I was studying I wasn't able to understand something and I would appreciate if anyone could help me. I understand that in most aspects bitcoin doesn't rely on trusting ...
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3answers
214 views

What would happen if the BTC price collapsed and the reward for mining dropped below the cost of mining?

Miners will only mine bitcoins if the reward they get from mining outweighs the cost of mining it. The network difficulty is adjusted every 2016 blocks (approximately every 2 weeks). If the price ...
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28 views

Who and How are Bitcoin Mining Puzzles Orgiinated [duplicate]

For "miners", who makes up the "complex mathematical puzzles" that have to be solved?
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39 views

Process for finding nonce

Assume we have a transaction in hex (tx_hex) and we want to find a nonce such that SHA-256(SHA-256(nonce|| tx_hex)) = new_transaction_id ('||' denotes concatenation) first bits consist of 32 zeros. ...

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