-Bitcoins In Depth- - Haseo™ - Feb 20, 2013
This thread was designed to help inform those who know about Bitcoins slightly to those of you who've already started mining, Since it is a rapidly growing currency I wanted to provide a little bit of information on them that you may or may not have known.
-What is a Bitcoin?
A Bitcoin is a lot like cash for the online universe.
It is a decentralized digital currency based on an open-source, peer-to-peer protocol. Internationally, Bitcoins can be exchanged by personal computer directly through a wallet file or a website without a intermediate financial institution.
-How do I get Bitcoins?
Bitcoins can be obtained through a process called "Mining" However that is not actually what takes place at all. What actually happens is you have (hardware/programs) use your computer to crack generated code by the blocks. Once a block is completely mined you will receive an online digital amount of currency known as a Bitcoin. However it takes 1.00/earnings to equal 1 coin.
Mining takes place in what is called a "Mining pool" where other people with miners go to crack down on some coins. A pool uses the mining power of everybody that is registered or using the pool. The benefit of using an open pool is that you will get a share of profit from the pool as you are mining in a large group with others, (depending on your mining speed your payouts may be larger or lower than others)
There are various mining pools available to use however some of them have fee's or fines you must pay in order to use them. Some pools generate so much hash that only people who also generate large amount of hash are allowed in.
![[Image: YHiDljz.png?1]](https://i.imgur.com/YHiDljz.png?1)
When You get a full coin it goes directly into your bitcoin wallet. Wallets such as Bitcoin-Qt - MultiBit - Armory have encryption and protection that you can setup to keep your coins safe
![[Image: BMbVqwW.png]](https://i.imgur.com/BMbVqwW.png)
-How should I Mine for Bitcoins?
CPU Miner: A CPU Miner is a miner that uses the power of your CPU to mine for Bitcoins. Early Bitcoin client versions allowed users to use their CPUs to mine. The advent of GPU mining made CPU mining financially unwise. The option was therefore removed from the Bitcoin client.
![[Image: 7SZ5rv1.jpg]](https://i.imgur.com/7SZ5rv1.jpg)
GPU Miner:GPU Mining is drastically faster and more efficient than CPU mining. GPU miners use the power of your graphic cards. Multiple cards can be used if your setup allows it.
FPGA Miner:FPGA mining is a very efficient and fast way to mine, comparable to GPU mining and drastically outperforming CPU mining. FPGAs typically consume very small amounts of power with relatively high hash ratings, making them more viable and efficient than GPU mining.
ASIC Miner:An application-specific integrated circuit, or ASIC, is a microchip designed and manufactured for a very specific purpose. ASICs designed for Bitcoin mining were first released in 2013 and are in the hands of a very limited number of miners. For the amount of power they consume, they are expected to be vastly faster than all previous technologies and will likely make GPU mining financially unwise. (If you would like to find out more about these specific miners go HERE)
There are two other methods to obtain miners.
1.setup commands/programs to run on your botnet to make all bots mine
2.Use FUD miners, miner bots to either spread to your current rats or use the same method as a rat with a Miner bot (it will setup a miner in your pool on their computer, silently and executes on boot-up much like a rat.)
-When I get a Bitcoin how can I turn it into spendable cash?
All coins mined will go directly into your Bitcoin wallet,(As explained in -How do I get bitcoins). Nevertheless a very neat tool to help keep track of your coins/cash and the wallet is even able to encrypt itself for the safety of your precious coins.
Many sites accept Bitcoin as payment and for the ones that do not no worries, there is a large selection of sites that will purchase them from you (even in bulk).
Sites such as bitstamp.net and mtgox.com along with many others will buy bitcoins off you like hotcakes.
-How much Is a Bitcoin worth?
A Bitcoin's worth varies all the time it is a constantly switching currency which could be for the better or for the worst (depending your situation).
At the Moment of this threads creation they are worth $29.44/€22.22 (Higest I've seen $108.25)
-Pros and Cons of Bitcon
-Pros
Usable online
Easy way to store money
investments in bitcoins are almost as smart as investing in gold
make currency effortlessly
-Cons
Can't hold the money physically
Bitcoins were made by one man and just showed up out of no where
People have spoke about bitcoin being a fraud (no real evidence to prove this to be true nor false)
The Wallets.Dat files are permanent file blocks that bitcoin saves with information about your bitcoin and wallet. (usally used to make sure transactions are not duplicated or have went through properly)
Wallet hackings are possible but much harder to do with encryption and possible use of TOR or VPN
I hope this thread was sexy on the eyes and informative. Thanks for reading!
* - Dubai - Feb 20, 2013
This tutorial isn't has as bad, it does the job on informing people what bitcoins are. Keep the good work up.
* - Trackers - Feb 20, 2013
This is pretty good, I just learned a lot actually!
* - Haseo™ - Feb 20, 2013
(Feb 20, 2013 03:50 PM)Jeremy™ Wrote: This is pretty good, I just learned a lot actually! (Feb 20, 2013 03:49 PM)Dubai Wrote: This tutorial isn't has as bad, it does the job on informing people what bitcoins are. Keep the good work up.
Thank you very much glad it was helpful to you!
* - Marijuana Crops - Feb 20, 2013
Its not in depth. Add more. Talk about the various pools. The pros and cons. The danger of bitcoin wallet.dat files.
* - Kaylee Allen xo - Feb 20, 2013
If you use BitCoins everyone knows you buy drugs and launder money.
Don't even mention bitcoins
* - Rozyn - Feb 20, 2013
(Feb 20, 2013 04:06 PM)Visionary Wrote: Its not in depth. Add more. Talk about the various pools. The pros and cons. The danger of bitcoin wallet.dat files.
Yeah this isn't much at all honestly. Someone should create a tut about it (I would but I am not experienced and don't want to end up looking like a fool if I am wrong)
* - Cigаr - Feb 20, 2013
INB4: HOW DUZ I GET BITCOINZ WITH PREPAID CREDIT CARD SO I CAN BUY METH ON SILKROAD.
No, seriously, I need bitcoins to buy some Cuban Cigars.
* - Rozyn - Feb 20, 2013
(Feb 20, 2013 04:07 PM)Kaylee Allen xo Wrote: If you use BitCoins everyone knows you buy drugs and launder money.
Don't even mention bitcoins
Not many people accept shit like PP to BTC anymore, it's more PP to RSPG now. (For laundering if you are going to use PP to Launder)
And the silk road is not the only purpose of bitcoins you know.
* - Haseo™ - Feb 20, 2013
Yes I realize that bitcoin is used a lot for the silk road, however there are many other uses for it, I decided to share it with all of you because technically it is another online currency.
* - granty - Feb 20, 2013
Very nice explanation of bit coins, Went in depth and is good for people wanting to get into bit coin mining.
* - Superkawaii - Feb 20, 2013
im a bit confused , how do you keep your bitcoins ? im soo lost lol
* - Haseo™ - Feb 20, 2013
(Feb 20, 2013 05:44 PM)SuperKawaii Wrote: im a bit confused , how do you keep your bitcoins ? im soo lost lol
When you receive bitcoins they go into your bitcoin wallet (its a program that keeps track of your currency)
* - Bong@Hitz - Feb 20, 2013
really good info...now all i need is a decent gpu to get to generating..
* - Viber - Feb 20, 2013
Really nice. High quality and is in depth. Keep up the good work.
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