bitcoin

How does a paper wallet work bitcoin mining

24.06.2018

67ハッシュ and Russian: Майним Bitcoin с помощью бумаги и ручки. I decided to see how practical how does a paper wallet work bitcoin mining would be to mine Bitcoin with pencil and paper. It turns out that the SHA-256 algorithm used for mining is pretty simple and can in fact be done by hand.

Not surprisingly, the process is extremely slow compared to hardware mining and is entirely impractical. But performing the algorithm manually is a good way to understand exactly how it works. The mining process Bitcoin mining is a key part of the security of the Bitcoin system. The idea is that Bitcoin miners group a bunch of Bitcoin transactions into a block, then repeatedly perform a cryptographic operation called hashing zillions of times until someone finds a special extremely rare hash value. At this point, the block has been mined and becomes part of the Bitcoin block chain. The SHA-256 algorithm consists of a relatively simple round repeated 64 times. The diagram below shows one round, which takes eight 4-byte inputs, A through H, performs a few operations, and generates new values of A through H.

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