Capterra Glossary
Bitcoin Mining
Bitcoin mining is facilitated by a global network of computers that ensure bitcoin transactions are valid and correctly added to the blockchain. Bitcoin miners use software applications to solve transaction-related cryptographic algorithms that check the validity of bitcoin transactions. Bitcoin miners are often rewarded a varying number of bitcoin per block mined. This encourages bitcoin miners to continue verifying bitcoin transactions, upholding the overall digital ledger system.
What Small and Midsize Businesses Need to Know About Bitcoin Mining
Investors and investment groups often participate in Bitcoin mining due to its financial benefits. By successfully mining Bitcoin blocks, investors are able to receive Bitcoin without having to actually pay for it. Bitcoin mining is mutually beneficial to both the miner and the system because Bitcoin mining upholds the Bitcoin digital ledger system that allows profits.
Related Terms
- Synchronous
- Software as a Service (SaaS)
- Intranet
- Security Orchestration, Automation and Response (SOAR)
- Identity and Access Management (IAM)
- Managed Service Provider (MSP)
- Haptics
- WAN (Wide-Area Network)
- Service-oriented Architecture (SOA)
- Augmented Reality (AR)
- Chief Information Officer (CIO)
- Security Information and Event Management (SIEM)
- Platform as a Service (PaaS)
- Service-Level Agreement (SLA)
- Scalability
- Data Center
- Authorization
- Multitenancy