Miner

Computer software which is designed to repeatedly calculate hashes with the intention to create a successful block and earn coins from transaction fees and new coins created with the block itself. The term references an analogy of gold miners who dig gold out of the ground and thus “discover new gold” that can be used to create new coins. A similar “discovery” occurs with a successful hash to create new bitcoins. Those who attempt to earn bitcoins by performing useful work for the Bitcoin network. Miners are rewarded for their efforts with blocks of bitcoins if they successfully perform calculations faster than their competitors. Solo mining has become very challenging. Most miners choose to add their resources to a Mining Pool to greatly enhance the chances of finding and solving a valid block to mine bitcoins.

Reference:

Malone, J.A (2015). Glossary of Bitcoin Terms and Definitions. United States: Lulu Press, Inc

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