Concept

What work do bitcoin miners perform?

chapter 5 / Building the Blockchain

"Bitcoin mining is primarily a form of distributed bookkeeping in which computers collect pending transactions and help package them into blocks. Mining also requires substantial computational effort and electricity, and this resource expenditure gives the ledger’s validation process a real cost and helps deter fraudulent behavior. The competition for rewards motivates miners to perform the work needed to keep the blockchain updated."

Related Ideas

What work do bitcoin miners perform? | chapter 5 | Bifalgorithm | Bifalgorithm