Ideas in this flowchart

• Bitcoin mining
• Mining functions as distributed bookkeeping.
• Computers collect pending transactions.
• Pending transactions are gathered as input.
• Computers package transactions into blocks.
• Mining requires substantial computational effort.
• Mining also requires substantial electricity.
• The computational and electrical resources are expended.
• Resource expenditure gives ledger validation a real cost.
• The ledger validation process is thereby supported.
• The real cost helps deter fraudulent behavior.
• Fraudulent behavior is treated as a risk to the ledger.
• Miners compete for rewards.
• Rewards motivate miners to perform the required work.
• Miners perform the work needed to maintain the blockchain.
• The blockchain is kept updated.