When it comes to Bitcoin, there is a lot of confusion about how the virtual currency is actually created. So, how is Bitcoin made?
The process of creating Bitcoin is actually quite complex and involves a lot of math and computer science. The basic idea is that people who contribute their computing power to the network are rewarded with Bitcoin.
The process of creating Bitcoin is called “mining.” Miners use special software to solve math problems and are rewarded with Bitcoin.
The more computing power a miner has, the more likely they are to solve a problem and earn Bitcoin.
Once a miner solves a problem, they get to add a “block” of transactions to the “blockchain.” The blockchain is a public ledger of all Bitcoin transactions.
This helps to ensure that everyone knows which Bitcoins belong to whom.
It’s important to note that there is a limited number of Bitcoins that can be created. So, as more people start mining, the rewards become smaller.
This is why it’s said that Bitcoin mining gets harder over time.
The bottom line is that creating Bitcoin is a complex process that requires a lot of computing power. However, the rewards can be quite lucrative for those who are able to contribute their computing resources to the network.