How long does it take to mine a bitcoin

Understand Bitcoin and its symbols

The Bitcoin symbol, represented by ₿, is the official symbol of Bitcoin, which is a decentralized digital currency without a central bank or a single manager. Bitcoin transactions are verified through cryptography and recorded in a public ledger called blockchain.

Bitcoin was introduced in 2008 by an unknown entity using the pseudonym Satoshi Nakamoto, to create a decentralized currency independent of the traditional banking system. Over the years, the adoption and value of Bitcoin have surged, becoming an important focus of attention for investors and regulatory agencies.

The value of Bitcoin may fluctuate, mainly depending on the supply and demand dynamics of various cryptocurrency exchanges around the world. The acceptance of Bitcoin is increasing, with more and more merchants and businesses recognizing it globally. Nowadays, Bitcoin is used for online transactions and offline purchases in multiple industries such as technology, tourism, and catering.

Reference source: https://en.wikipedia.org/wiki/Bitcoin

Symbol placement: Standard format: ₿ 100.

This format of using currency symbols before the amount is widely accepted in the cryptocurrency community.

Decimal delimiter: Standard format: decimal point as decimal delimiter (₿ 1.99)

Official abbreviation: Bitcoin is usually abbreviated as “BTC”.

Display on online platforms: As Bitcoin is a digital currency, it is crucial to ensure that any platform used for trading Bitcoin supports its symbols and correct format.

Similar symbols: Do not confuse the Bitcoin symbol (₿) with the Thai baht symbol (฿). Although they may look similar, they represent different currencies, and confusing them can lead to misunderstandings.

The origin and development of Bitcoin

In 2008, the international financial crisis broke out. On November 1st of the same year, based on the theoretical and practical foundations of predecessors, a “mysterious person” named Satoshi Nakamoto published a paper titled “A Peer to Peer Cash Payment System”, elaborating on his new ideas for electronic currency.

On January 3, 2009, Satoshi Nakamoto mined the first block of Bitcoin, the Genesis Block, on a small server located in Helsinki, Finland, and received a “first mine” reward of 50 bitcoins. In the Genesis block, Satoshi Nakamoto wrote the following sentence: The Times 03/Jan/2009 Chancellor on the bridge of second bailouts for banks The Chancellor of the Exchequer is on the brink of a second bailout of banks. This sentence is the headline of the front page article of The Times in the UK that day.

Simply put, Bitcoin is an electronic data generated by open-source P2P (peer-to-peer) software. The initial source of Bitcoin was the reward given by the Bitcoin system designed by Satoshi Nakamoto. Transactions between Bitcoin accounts are very similar to sending emails to individuals. First, you need to install a Bitcoin client, where the account is like a personal email address and the password is like a personal private key for Bitcoin transactions.

Reference source: https://en.wikipedia.org/wiki/History_of_bitcoin

In the Bitcoin network, each node with installed clients has a distributed database to manage Bitcoin production and transactions, query account balance records, and update and record the latest changes in the Bitcoin system. When sending 1 Bitcoin to a friend, you need to enter your personal Bitcoin account and use your private key to send the transfer information. The surrounding nodes will check if your account has 1 Bitcoin. If so, they will agree to this transaction and broadcast this information to nearby nodes. The information will be transmitted from one node to another, and soon the entire network will confirm the transaction information and write it into the block. My friend will receive this Bitcoin, and the transaction will be considered completed.

Blockchain is the underlying technology of Bitcoin. To ensure the accuracy, fairness, and traceability of Bitcoin transactions, the entire transaction process needs to be recorded and confirmed through blockchain technology, just like the banking system accurately records the remittance amount, payment time, and transaction object of each fund. The Bitcoin trading system packages all transaction data from the entire network every 10 minutes, stores them in specific block files, and sends them to each node. These block files are arranged in chronological order, forming the blockchain.

Due to the many computer nodes in the Bitcoin network, which are like “bookkeepers”, how can we find a fast and accurate “bookkeeper” to generate a unique block that is recognized by the system？ Satoshi Nakamoto created the reward mechanism for Bitcoin, where the “bookkeeper” can collect the most complete transaction data from the entire network within the first 10 minutes, guess the solution to a specific complex equation the fastest, and send it to the network for everyone to confirm, becomes the bookkeeper of this block. The reward starts with 50 bitcoins and then halves every 4 years until all 21 million bitcoins are issued in 2140.

The reward mechanism designed by Satoshi Nakamoto encourages all Bitcoin nodes to work hard, ensuring the normal operation of the Bitcoin blockchain and continuously generating new blockchains to ensure the issuance and circulation of Bitcoin.

In the beginning, Bitcoin was just a practical activity of blockchain technology, and its prospects were hard to predict. The participants were also some computer network and cryptography enthusiasts. Bitcoin is not very popular either. One dollar can buy a lot, and few people accept it. A programmer in the United States once spent 10000 bitcoins to buy two pizzas worth a total of $25. Now, these two pizzas may become the most expensive pizzas in history.

The skyrocketing price of Bitcoin still depends on the exchange. With the increase in the total amount of Bitcoin and the growing demand for transactions between Bitcoin and fiat currency, Bitcoin exchanges have emerged. The emergence of Bitcoin exchanges has also allowed Bitcoin to absorb a large amount of speculative funds, causing its price to skyrocket. In 2010, the world's first Bitcoin exchange, Bitcoin Market, was born, but the good times did not last long and due to technical reasons, it quickly ceased to exist. One of the more famous is MtGox (Mentougou), which was founded in Tokyo, Japan in July 2010. During peak trading hours, the exchange handled 70% of all Bitcoin transactions, but it was also unlucky as it closed down in 2014 after losing 850000 users' Bitcoin. Since then, more than 100 exchanges have emerged globally.

The Bitcoin exchange greatly facilitates Bitcoin speculation and monetization through online matchmaking transactions. After all, trading Bitcoin on an exchange is only recorded on the Bitcoin blockchain during deposits and withdrawals, while buying and selling transactions between users are recorded on the exchange's server and are not limited by system time.

YouTube Link: https://www.youtube.com/watch？v=N8vQYUeXtK4

Undoubtedly, a reliable cryptocurrency payment gateway solution is not only an alternative option for customers to use digital currency to pay for goods and services but also an important tool for users to use various useful features to facilitate and accelerate the payment process.

Cryptocurrency payments

Nowadays, there are companies everywhere in the market that provide reliable and modern methods for using digital assets for payments. The following is a list of the best cryptocurrency payment gateways that stand out in the field of cryptocurrency processing software development, including cryptocurrency gateways used for cryptocurrency trading.

B2BinPay

B2BinPay is the most effective cryptocurrency processing solution for businesses and companies. This platform provides fast, secure, and reliable digital currency storage, transmission, reception, and acceptance through a global network. Compared to traditional gateways, it only charges a small fee to enable cross-border transactions, without hidden or ongoing fees.

B2BinPay provides users with real-time balance reports, transaction history, and activity. It supports over 800 tokens, automatic withdrawals, and secure customer checkout, making it one of the leading enterprise payment solutions.

DePuy

DePuy is a digital service that utilizes the power of DeFi and Web3 technologies to provide payment infrastructure tools and enable blockchain-based payments. As part of the payment transaction, DePay automatically converts tokens, making it easier for merchants to use. After using DePay, the received funds can be used immediately and in real time, which improves the cash flow for merchants and developers. DePuy utilizes DeFi to significantly increase the number of acceptable tokens, allowing merchants to accept various digital assets.

Plisio

Plisio is a payment gateway that allows businesses to accept customers' cryptocurrency payments. It supports various currencies, including Bitcoin, Ethereum, Litecoin, and many others, and provides a simple and secure way to process transactions.

Plisio provides tools and features to help businesses manage cryptocurrency payments, including donation pages, shopping cart plugins, and invoice solutions. It also offers various integration options with popular e-commerce platforms such as Shopify, WooCommerce, Magento, etc.

Stripe

Stripe is a multifunctional international payment SaaS platform created by Irish Americans, providing fast and secure services for processing payments from global financial companies. It is known for its anti-fraud processes that are consistent with the overall commitment requirements of AML regulations

Stripe is an excellent e-commerce solution that offers over 450 integration options for accounting software, CRM platforms, POS, and CMS systems. With Stripe, the processing of international payments is greatly simplified, allowing you to quickly and efficiently expand your business as needed.

SpicePay

SpicePay has developed a payment platform based on blockchain technology, enabling merchants to accept cryptocurrency payments in a user-friendly and cost-effective manner. SpicePay is mainly targeted at the South American, Eastern European, and South Asian markets, but its wire transfer gateway can be used globally. With its mobile-friendly, fast, affordable, and secure performance, SpicePay simplifies the execution of cryptocurrencies.

GoCoin

GoCoin is an international payment processing service that provides a payment gateway composed of customer APIs, open for integration by businesses, retailers, and online merchants so that they can accept Bitcoin, Litecoin, and Dogecoin as payment methods.

GoCoin only charges a 1% transaction fee. In addition, GoCoin is a Go language (golang) solution for Bitcoin, including an online client, always-running server software, offline wallet application, and other tools.

Corda

Corda is a restricted cryptocurrency payment gateway and platform based on the Ethereum blockchain, using JVM smart contracts, designed specifically for financial institutions to use for cryptocurrency transactions. The behavior of a distributed ledger is like a distributed database, with decentralization like blockchain. Data is stored on different nodes and hosts in the network.

CoinsBank

CoinsBank combines a uniform system in its services, supporting Bitcoin and a large number of other altcoins, as well as a platform for exchanging cryptocurrencies. The trading terminal has a simple and intuitive interface, which can provide real-time trading management and monitoring of market quotation changes.

A unique feature of the CoinsBank payment gateway is the issuance of its issued debit cards, which are connected to the wallet in the system. Due to its ability to convert, users can use this card to purchase cryptocurrency and fiat currency.

Whalestack

Whalestack is a payment processor that allows online merchants and e-commerce stores to receive digital currency and make payments in their preferred national currency. This platform supports Bitcoin, Ethereum, and other cryptocurrencies and automatically transfers them to the merchant's bank account or cryptocurrency wallet.

With Whalestack, regardless of the cryptocurrency used by customers, merchants can use their chosen national currency for pricing and settlement, without considering the cryptocurrency used by customers.

Paystand

Paystand's main product is an enterprise-centric real-time payment system called Paystand Bank Network.

Paystand fully automates the payment process for specific industries. For example, the company allows insurance companies to receive premiums and send claims forms digitally. The manufacturing, transportation, and pharmaceutical industries also benefit from digital capital circulation.

Paystand does not charge any payment processing fees. This company collaborates with customers through a subscription model, charging them a fixed fee in exchange for software usage rights.

Blockonomics

Blockonomics is the only Bitcoin payment gateway in the e-commerce industry that provides complete decentralization while ensuring complete anonymity and security of payments.

Blockonomics' decentralized payment system provides all the tools required for Bitcoin trading. It can be used to conveniently pay for shopping at thousands of partner stores worldwide. This system can also allow online stores to accept Bitcoin payments, thereby expanding e-commerce opportunities.

GoURL

GoURL provides cryptocurrency services such as Bitcoin plugins that can be seamlessly embedded with WordPress websites. Through its Monetizer Online service, users can obtain cryptocurrency without creating a website. It provides a free registration process. Although this service is free, it will incur additional fees, such as a 3.5% commission. In addition to remuneration, GoURL also charges a commission of 1.5%. Despite its popularity, it does not support watching anonymous users make bank transfers.

BTCPayServer

BTCPayServer is a free and open-source payment server that allows you to receive Bitcoin and other virtual currencies without any fees or intermediaries. It can seamlessly integrate into various platforms such as e-commerce stores, physical stores, charities, and content creators, enabling them to accept virtual assets as a form of payment.

Strike Payments

Strike Payments is one of the world's leading digital wallets built on the Bitcoin Lightning Network, with its own Strike API platform providing services for trading platforms and merchants. This allows you to easily customize and manage different stores, cash flow information, and more.

Veem

Veem is an online global payment platform based in San Francisco, founded by Marwan Forzley in 2014. It was previously called Align Commerce and was renamed Veem on March 8, 2017. The company serves 100 countries and processes 70 currencies, including US dollars, Canadian dollars, British pounds, euros, Hong Kong dollars, Chinese yuan, and Australian dollars. Customers from 100 countries can receive payments, and users from 25 countries can send payments.

Reference source: https://b2broker.com/news/choosing-the-best-crypto-payment-gateways/#/

What is Bitcoin mining？

Bitcoin mining is a method of verifying online transactions. This process is also the process of adding new Bitcoin to the existing supply.

Currently, there are approximately 19.5 million bitcoins in circulation, and the total supply of this cryptocurrency is expected to be 21 million. The last 1.5 million or so have been locked and are waiting for users with powerful computers to release them through Bitcoin mining.

Bitcoin mining is like a digital treasure hunt. Miners are equipped with powerful computer hardware to search for 64-bit hexadecimal code that can verify transaction blocks. This code (also known as hash) is found through a process called hashing.

Hashing requires computer hardware to filter trillions of hashes to find a hash that matches the difficulty of the block (also known as the target hash). Once miners find the target hash value of a block, they can verify the authenticity of their transaction and issue a block confirmation. Then the network releases more Bitcoin (BTC).

Finding the target hash may take miners a long time. The length of time depends on many factors, such as the current mining difficulty of the Bitcoin network. Every 2016 block will undergo a difficulty adjustment, which will be increased or decreased based on the number of miners contributing. The more miners there are, the higher the difficulty, and the fewer miners there are, the lower the difficulty.

The mining equipment complies with the Bitcoin mining algorithm SHA-256. SHA-256 is an encrypted hash function used for applications such as password hashing and digital signature verification. As for Bitcoin, it is used for hashing.

Every 10 minutes, a new block is mined, and the network releases a fixed amount of Bitcoin and distributes it to miners. The Bitcoin issued this time is called Block Reward. Before the Bitcoin halving in April 2024, the block reward is 6.25 per block. The Bitcoin halving event will reduce the reward to 3.125 Bitcoin, approximately halving every four years. This halving process was programmed by the creator of Bitcoin to create digital scarcity and maintain the value of Bitcoin, which greatly affects the profitability of the mining industry.

Reference source: https://www.fidelity.com/learning-center/trading-investing/crypto/what-is-mining

The creator of Bitcoin programmed the network to halve every 210000 blocks (approximately every four years) to create digital scarcity. At this rate, Bitcoin will not reach its limit of 21 million coins until 2140.

At that time, miners will still receive rewards through transaction fees, but will no longer release new bitcoins to the network.

How long does it take on average to mine a Bitcoin？

The time required to mine one Bitcoin may vary.

Each promised Bitcoin block will release 3.125 bitcoins. To answer this core question, it takes an average of 10 minutes to mine 1 Bitcoin, but 3 Bitcoin - and this speed will fluctuate over time. However, due to the large amount of computing power (also known as block time) required to mine a single block, it is almost impossible for a miner to receive all 3.125 rewards.

How long does it take for a person to mine 1 Bitcoin？ Due to the different hardware of miners, the range of this number will be very large. For example, some miners have dozens (if not hundreds) of mining hardware in an attempt to increase their hash rate. In this case, they may earn more Bitcoin per block than other miners with lower hash rates. Many miners join mining pools and contribute to Bitcoin mining in meaningful ways.

A mining pool is a group of miners who contribute their hash rate as an entity, hoping to find the target hash. During this process, miners receive rewards based on their contribution to the hash rate.

The reward is allocated by the mining pool operator, who usually charges mining pool fees.

However, miners can contribute to different types of mining pools.

Proportionally

The proportional mining pool distributes rewards based on the contribution of miners' computing power. They can also receive additional rewards through transaction fees.

Pay according to the last N groups

Allocate miners to shifts according to the last N groups of paid mining pools, and pay them fees based on their “shift” time. Shift work refers to a fixed period during which miners contribute to the mining pool.

Per share payment

A pay-per-share mining pool provides miners with a fixed income, expecting them to contribute a certain amount of computing power every day. Although this is a stable method of Bitcoin mining, it eliminates the ability of miners to earn transaction fees.

How difficult is it to mine Bitcoin alone？

Mining Bitcoin alone requires one miner to compete with all other miners worldwide.

The Proof of Work (PoW) consensus protocol of Bitcoin makes mining a natural competition. The chance of a single miner defeating block target hashes from other parts of the world is almost zero - regardless of the power of their mining equipment.

In the early days of Bitcoin, mining difficulty was relatively low due to a lack of miners. The block rewards are also much higher, with miners earning tens of bitcoins per block. However, at that time, the value of Bitcoin was less than $1, so the reward was still quite appropriate.

Currently, independent miners joining cryptocurrency mining pools have the opportunity to receive rewards from Bitcoin mining. Potential miners without powerful mining machines can also join cloud mining services to save initial investment costs.

Cloud mining services involve miners renting computing power through the cloud and requiring users to pay a portion of the fees. Therefore, miners transfer some of their energy consumption costs to paying users. In return, paying users receive block rewards based on their share of computing power.

How to earn 1 Bitcoin per day without investing？

We need money to make money. It is almost impossible to earn Bitcoin without investing, but there are some cheap ways to participate.

It is almost impossible to earn 1 Bitcoin per day without investing. Bitcoin mining requires energy consumption, and miners pay for it through electricity bills. In addition, over time, Bitcoin mining will become increasingly difficult. It requires a large amount of electricity and specialized, expensive hardware.

For individuals, even with huge expenses, mining one Bitcoin per day is almost difficult. Anyone who wants to mine Bitcoin must compete with powerful mining companies, whose economies of scale give them a significant competitive advantage over individual miners.

As of May 6, 2024, one Bitcoin is worth 64116 US dollars. Earning so much income every day without investment will seriously disrupt the stability of the cryptocurrency market. Therefore, please beware of websites or programs that claim to help you earn 1 Bitcoin for free every day. These are usually scams aimed at exploiting those seeking quick returns.

Those who want to invest in cryptocurrency mining should first understand cryptocurrency trading, blockchain technology, and the cryptocurrency market. Over time, they may be able to use the right information and methods to convert small investments into large sums of money.

What is Bitcoin halving？

Whenever the Bitcoin blockchain generates 210000 blocks, the Bitcoin block reward is halved. This halving occurs approximately every four years, and the fourth halving of Bitcoin is expected to occur on April 23, 2024, with a block height of 840000.

After each halving of Bitcoin, the block reward decreases. Starting from an initial reward of 50 BTC per block, the current block reward is 6.25 BTC, which will drop to 3.125 BTC in the 2024 halving event.

Because each halving reduces the production rate of Bitcoin according to the program, the issuance speed of Bitcoin slows down, which has a huge impact on the price of Bitcoin. Every halving of Bitcoin in history has been closely related to the bull market cycle of the entire cryptocurrency market.

Reference source: https://www.investopedia.com/bitcoin-halving-4843769

Bitcoin halving cycle and market trend

So far, Bitcoin has undergone three halving cycles, known as halving cycles in the industry.

The first halving cycle: November 28, 2012, to July 10, 2016. This halving cycle led to two bull markets in April and November 2013, respectively. The first bull market saw the price of Bitcoin rise from $12 to $288, with a price increase of 2300%; The second bull market saw the price of Bitcoin rise from $66 to $1242, with a price increase of 1782%.

The second halving cycle: July 10th, 2016 to May 12th, 2020. This halving cycle led to a bull market in December 2017, where the price of Bitcoin rose from $648 to $19800, with a price increase of 4158%.

Third halving cycle: May 12, 2020-？ The halving cycle resulted in two bull markets in April and November 2021. The first bull market saw the price of Bitcoin rise from $8181 to $64895, with a price increase of 693%; The second bull market saw the price of Bitcoin rise from $29296 to $69000, with a price increase of 135%.

Bitcoin halving block rewards and Bitcoin production data

The Bitcoin halving rule originated from Satoshi Nakamoto's provision in the Bitcoin white paper “A Peer to Peer Electronic Cash System”.

According to Satoshi Nakamoto's regulation, the reward for every 210000 blocks generated in Bitcoin will be halved until the block reward reaches zero in 2140. After all bitcoins are issued, the final total issuance will remain constant at 21 million.

Therefore, when the block height of Bitcoin reaches 210000, 420000, and 630000, a halving occurs. Currently, the block height of Bitcoin is 818670. When the block height reaches 840000, Bitcoin will undergo a fourth halving, and the block reward after halving will decrease from the current 6.25 BTC to 3.125 BTC.

The Bitcoin halving event is closely related to the bull market cycle of the entire cryptocurrency market. In history, after each halving, the price of Bitcoin rapidly rose within 6 to 18 months and reached a historic high. Therefore, the impact of Bitcoin halving on the market has received great attention within the industry.

FAQs

• How long does it take to mine a Bitcoin？

The time to mine a Bitcoin depends on multiple factors, including the miner's computing power, the difficulty of the Bitcoin network, and the operation of the mining pool. On average, mining a block takes about 10 minutes.

• What is the difficulty of the Bitcoin network？

The difficulty of the Bitcoin network refers to the complexity of mining new blocks. It will adjust every two weeks based on the computing power of the entire network to ensure that the generation time of new blocks remains at around 10 minutes.

• How does the computing power of miners affect mining time？

The higher the computing power of miners (usually represented by hash rate), the faster they can mine new blocks. Therefore, miners with higher computing power can mine Bitcoin in a shorter amount of time.

• What impact does joining the mining pool have on mining time？

Joining the mining pool can increase the frequency of miners receiving Bitcoin rewards. A mining pool aggregates the computing power of multiple miners to solve blocks more frequently, thereby obtaining Bitcoin rewards more stably.

• How much electricity is needed to mine one Bitcoin？

Mining Bitcoin is a high-energy process. The specific power consumption depends on the hardware equipment used and the cost of electricity. Generally speaking, the power consumption of professional mining machines is very high.