What Is Bitcoin, and How Does It Work?

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Khadija Khartit is a strategy, investment and funding expert, and an educator of fintech and strategic finance in top universities. Article Reviewed on August 31, Khadija Khartit Updated August 31, When Bitcoin was first invented in as a potential alternative to government-run currency, very few people thought it would last.

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There are a couple of ways you can profit from Bitcoin. You can either trade cryptocurrencies or you can mine them. While most people are familiar pick up bitcoin the concept of buying, selling, and trading investments and currencies like stocks and foreign exchangesthey may not be aware that one can actually create one's own bitcoin.

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You need to be well-informed, and aware of the risk. This is true whether you are trading or mining Bitcoin.

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Today we're going to go into Bitcoin Mining softwarehow it works, and what types of software are on the market. You Need Bitcoin Wallet Software This is where you keep the Bitcoin you mine for security and so that you can easily sell them for legal tender or use them where Bitcoins are accepted.

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There are two types of wallets——ones that are hosted and ones pick up bitcoin you hold the private keys to your own wallet. We recommend the second type. Co-pay, Amory, and Breadwallet are all easy-to-use Bitcoin wallets. These work in combination with the wallets so that you can get cash value out of your mining activities.

Now that you have these two things, Bitcoin Mining software will be useful to you. Before you buy a mining software, make sure to do your research so that you know what kind of rig you want the physical hardware and can make the right choice in mining software. The software includes things like remote interface capabilities, multi-GPU support, self-detection of new blocks, fan speed control, and CPU mining support.

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