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Mining

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Mining , also mining (from the English mining - mining ) is the activity of creating new structures (usually we are talking about new blocks in the blockchain ) to ensure the functioning of cryptocurrency platforms. For the creation of another structural unit, a reward is usually provided through new (issued) units of cryptocurrency and/or commission fees . Typically, mining comes down to a series of calculations with enumerating parameters to find a hashwith specified properties. Different cryptocurrencies use different computational models, but they are always long enough to find an acceptable solution and fast enough to verify the solution found (see Proof of Work ). Such calculations are used by cryptocurrency algorithms to provide protection against spending the same units over and over again, and the rewards incentivize people to spend their computing power and keep networks running.

Rack with Ares256 mining blocks in the data center of HashCoins OÜ

Mining is not the only technology for creating new blocks and ensuring emission. Alternatives are forging (minting) and ICO . Usually only one technology is used, but some cryptocurrencies use combinations of them.

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