Blockchain Technologies

Blockchain Mining Consensus

Blockchain Mining
Blockchain Mining Achieves Consensus

Mining refers to the distributed computational review process performed on each "block" of data in a "block-chain". This allows for achievement of consensus in an environment where neither party knows or trusts eachother.

Bitcoin Blockchain Mining
How Bitcoin Mining Works

The Bitcoin Mining process is the underlying answer to what makes Bitcoin virtually unhackable. The mining process takes an ingenious approach to a successfuly achieve a previously unnachieved feat: Distributed Trust. Bitcoin mining controls the security and validity of the Bitcoin network, release of new coins into circulation, and releases reliance on centralized networks.

Blockchain Mining

Bitcoin Mining Definition

The process of adding and verifying new transaction records to the bitcoin blockchain (distributed public ledger), which includes all past transactions. During this process, new bitcoins are released from the remaining unmined pool of 21 million total bitcoins.

Bitcoin Mining Explained

Blockchain Mining
Blockchain Mining
Blockchain Mining

Alternative Blockchains
Consensus Alternatives to Proof-of-Work Mining

Alternative blockchains (sepearate from the bitcoin blockchain) are often labeled Consensus Protocols or Consensus Platforms. While none have yet to achieve the same scale as the Bitcoin blockchain, they do offer other benefits, such as increased speed, larger data capacities, different consensus methods or more advanced functionality. The end results remain the same - Secure and Efficient Distributed Trust. Each alternative has a varying degree of speed, cost, scalability, privacy, and network security, among other things.

Consensus Algorithms

Blockchain Alternatives

Several of the better known bitcoin blockchain alternatives are listed below:

Ethereum allows a network of peers to administer their own ‘smart contracts’ – short computer programmes that execute their instructions once certain criteria have been met.

Ripple’s distributed ledger are validated by consensus rather than using a proof-of-work approach like Bitcoin because a level of trust is assumed between the parties to a transaction.

Hyperledger,   NXT,   Open-Transactions,   Stellar

Blockchain Technology may likely be the biggest thing in technology since the advent of the internet.

Blockchain Mining Hardware

Behind every peice of software, is a correlating peice of hardware. As the blockchain mining process is simply software, blockchain mining hardware is the supporting peice to this puzzle. Mining hardware has drastically adapted to the ever-changing changing protocols. In the early days of bitcoin mining, anyone could "mine" with a personal computer (PCs) at home. Since then, mining hardware has progressed to specialized ASIC (Application-Specific Integrated Circuit) mining chips.

Blockchain Embedded Mining

Embedded mining is a relatively new concept where mining chips are embedded into internet connected devices. In comparison to industrial grade mining hardware (e.g. servers in a data center), embedded mining chips can operate inside everyday devices such as a cellphone. Embedded mining is speculated to be a solution to previously uneconomical efforts, such as micropayments and monetizing the internet-of-things.

Blockchain Transaction Processing

Several blockchain "mining" companies have rebranded themselves as "Blockchain Transaction Processing" providers. This move comes as blockchain mining providers are scaling up into new service industries beyond just financial services, such as Internet-of-Things. This level of service provider requires datacenters and provides a greater business "commodity-provider" approach, as opposed to the high-risk opportunistic bitcoin mining business model.

Blockchain Transaction Processing