I also like bitcoins, a respected computer cryptocurrency. In this tutorial, we will cover everything you need to know about bitcoins. The tutorial starts off with the basics of installing the computer software to make bitcoins work, but moves into the more ati graphics card bitcoin mining parts very quickly. After reading this Instructable, you will have learned all the basics for starting your work with bitcoins.
Whether you know what bitcoins are, or if you’re just here to start making free money by doing almost nothing, you’ve come to the right place. Read on to learn what bitcoins are, and how they can be used in a everyday computer-person life. After reading many, many different articles all over the internet, I still didn’t have a good idea of what bitcoins were, how they could be made, and if it was possible for the average person to use them. The first few things I read, they were made out to sound like you had to have a computer science degree to get them.
There is no government that regulates the currency, like almost every other single currency in the world. The bitcoins that you own are stored on your computer. You can sell these bitcoins for real US or Canadian dollars. While good for visual learners, some like to read to learn. The currency is stored locally between peers. When first learning about bitcoins, you learn that bitcoins are stored directly on your computer. So, does that mean that by doing a bit of computer hacking you can give yourself thousands of dollars worth of bitcoins?
The answer to this is NO! The system is worked out so well that hackers cannot do this. The reason is because for bitcoins to be transferred from computer to computer, the transaction has to be verified. This verification is done by “mining. The next question that often comes up is: Why would anyone want to just give up their computer to help decode these encryption things? Well, the answer is that you get paid to do it.
Well, you don’t get paid, but you get free bitcoins for letting your computer work for you. This is almost the same as being paid, as you will learn in later steps. This is the ONLY way that new bitcoins are created. They can’t just come from nowhere, making the system hacker-proof. Mining can be very simple, but it can also be very complicated. By following this Instructable, you will learn one of the easiest ways to mine bitcoins and gain money.
For more information, check out the Wikipedia Article, as well as the Official Bitcoin Website. This step walks you through the process of installing the “Wallet” software. This software functions as a real wallet: it stores all of your currency, which in this case are bitcoins. The first part of this step is to download the software. Go to the Official Bitcoin Website. In a box at the top of the page, click the software version that applies to your given OS.
The steps are the same for both Mac and Windows users, other than installing different software. Open the file and follow onscreen instructions. When it is done, open up the software from the Start Menu. It will take a few hours to download all blocks to your computer. Receive coins” tab up at the top.
Right-click on the one existing list item, and click “Edit”. Give it the label “Main” and hit OK. Right-click on it again and click “Copy Address”. This is the unique address that your wallet was given.
It is where you receive coins in later steps. The next step tests out your bitcoin wallet and shows you what a transaction looks like. This step is for testing purposes only. Near the middle of the page, paste your bitcoin address that you copied earlier. Uncheck the “Delay payment to minimize transaction fees” check box. It will tell you that it was successful. If it didn’t, reenter the captcha properly.
Wait ten minutes and then open up the Bitcoin Wallet software again. Go to the “Transactions” tab up at the top. In the list, it should have a single transaction of 0. You now have gained a small amount of bitcoins. You just made one tenth of a cent! This is a valid way to gain money. However, you can only get coins sent once every hour, so it is very slow.
You won’t make any money fast with this method. Now that we understand what bitcoins are, have a wallet set up to store them, and have made a small amount of bitcoins to test our wallet, we’re set to start making some real amounts of bitcoins. The way we do this is by mining for them. There are two main types of mining: solo and pool.