What Is Bitcoin Mining?

Where do Bitcoins come from, and what is Bitcoin "mining"? Peter van Valkenburgh, Director of Research at Coin Center, explains the role of miners in a system of decentralized currency.

As always, the Federalist Society takes no position on particular legal or public policy issues; all expressions of opinion are those of the speaker.

Reach Peter Van Valkenburgh on Twitter: @valkenburgh

Related links:

What is "Blockchain" anyway?

What is Bitcoin Mining?

How Bitcoin Mining Works

Should You Invest In Bitcoin?

Is Bitcoin Mining Profitable in 2017?

Bitcoin Law & Public Policy videos

[WatchWithMeYoutube]

3rd video and I still don't understand it( or don't understand the use of it in now a days world) 😅😑

[ekwehobumfranklin]

How do I start mining bitcoin, tell me the name of the app or site

[maran]

By far the simplest and understand video I watched about Bitcoin and mining...

[ossam]

Thanks for video. I wanna know what program did you use to make that animated video!

[andyx]

You see that? It's smoke coming out of my brain.

[bakedutah]

So, mining is providing part of the machinery by which everyone else exchanges their coins? So what's all the stuff about finding hashes?

[wiredpenha]

"I the miner, pay myself 12.5 bitcoins", seriously wtf and how it came from nowhere?

[sarahmariesarmiento]

How can two miners avoid working on the same block?

[natnael]

I still don’t understand the „public good“ part

[GoldIRA]

Where do bitcoins come from? With paper money, a government decides when to print and distribute money. Bitcoin doesn't have a central government.
With Bitcoin, miners use special software to solve math problems and are issued a certain number of bitcoins in exchange. This provides a smart way to issue the currency and also creates an incentive for more people to mine.

[FleeceJohnsonDaBootyWarrior]

This is why GPUs and RAM are reaching 2009-2010 prices.
Somebody make a mining process unit to alleviate this problem.

[esweigart]

How is announcing blocks and so they can be added to ledgers a "public good"?? Who is this public, not the public at large like most people think of. By the sounds of it "mining" adds nothing to society whatsoever. Computer science and technology is great, but it needs to be used for the greater good (like everyone can benefit). Technology is actually quite dangerous...

[willjohnson]

He didnt explain the second type of reward lol..and out of thin air? come on now...raises more questions then answers

[robbybee]

I"m so confused, moreso now tthen before I watched

[philip]

BTC for $75K by end of this year& Control
of The Currency is already Decentralised And now the China disruption would simply
Decentralise the Mining setup for the better

[Graymenn]

this violates fundamental economic laws and has got to be, on some level at a scam, the only question is who will be holding the hot potato when it all comes down

[berkaydogan]

A company uses your video. Do you know about this?

[CIA_Killed_JFK]

12.5 bitcoins imagine...
That's almost $750, 000 today
Fuck

[texturels]

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[jonathanfowler]

How can a currency like Nano (Raiblocks) get rid of miners? I understand they use DAG, but surely all transactions still need to be validated - even IOTA has each sender validate 2 previous transactions. Is there any validation at all in Nano? If so, who does it and when? TIA.