Random Blog on Crypto (Part 17) : What is the role of mining in cryptocurrencies?

Mining is very important in the cryptocurrency world. Many of us are familiar with the term cryptocurrency mining. Whenever we think about crypto mining we would like to think about the use of computer power to compete with others for gaining some reward like Bitcoin. Many people who don't have a better idea about mining just think in that way. But mining has a lot of impact in the cryptocurrency world. Mining is not just like using computer resources to gain some money.

Mining is a system or process of blockchain which is run with any of the conscious mechanisms. Most of the leading conscious mechanism is the proof of work mechanism because the Bitcoin is based on this system. This work of mining is not to gain some money but this is a part of the system because data validation and the security of the system is ensured in that way. In this point of view, mining plays a very crucial role in the operation and security of the cryptocurrency. It is not just burning of physical resources that we think most of the time those who are ignorant of the system.

Transaction validation, block creation, chain extension, conscious mechanism, security, anti-spam measures, stopping of double spending, issuance of new coin, decentralization, trustlessness, economic and environmental considerations are the main key factors working on the mining system. If I discuss all these things, it will be a big article. I only try to ensure that the mining is not just a work of getting some crypto from the newly generated coins but the above mentioned activities are basically performed with the help of a mining system in the crypto space. What about the mechanism used by the system? It is basically helping to mine the new token but during this time the activities that I mentioned in this first line of the paragraphs is performed with the mining. I hope you got it and thank you very much for stopping by.

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