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Bitcoin Essentials
Table of Contents
Bitcoin Essentials
Credits
About the Author
About the Reviewer
www.PacktPub.com
eBooks, discount offers, and more
Why subscribe?
Preface
What this book covers
What you need for this book
Who this book is for
Conventions
Reader feedback
Customer support
Downloading the color images of this book
Errata
Piracy
Questions
1. Bitcoin Wallets and Mining Software
Bitcoin wallets
What is a Bitcoin wallet?
Why do we need Bitcoin wallets?
Types of wallets
Software wallets
Hardware wallets
Full wallet versus thin client
Hosted wallets
Wallet security
Mining software
The need for mining software
What does mining software do?
Which mining software to choose?
Summary
2. CPU Mining
Mining with Bitcoin Core
Mining software
Let's start mining
Pros and cons of mining
Pros of mining
Cons of mining
Best practices when mining with CPUs
Profitability of mining
Summary
3. GPU Mining
Setting up a GPU for mining
Drivers
Mining software
Windows installation instructions
Linux installation instructions
Let's start mining
Multiple GPU setup
Mining on a GPU
Pros and cons of GPU mining
Pros of GPU mining
Cons of GPU mining
Best practices when mining with GPUs
Benchmarks of mining speeds with different GPUs
GPU versus CPU mining
Profitability of GPU mining
Summary
4. FPGA Mining
Setup and installation of the required software
Mining software
Linux installation instructions
Windows installation instructions
Let's start mining
What happens when mining on a FPGA
Pros and cons of FPGA mining
Pros of FPGA mining
Cons of FPGA mining
Best practices when mining with FPGAs
Benchmarks of mining speeds with different FPGAs
FPGA versus GPU and CPU mining
Profitability of FPGA mining
Summary
5. ASIC Mining
Setting up mining software
Drivers
Mining software
Installing cgminer on Linux
Installing cgminer on Windows
Let's start mining
What happens when mining on a ASIC
Pros and cons of ASIC mining
Pros of ASIC mining
Cons of ASIC mining
Best practices when mining with ASICs
Benchmarks of mining speeds with different ASICs
ASIC versus FPGA, GPU, and CPU mining
Profitability of ASIC mining
Summary
6. Solo Versus Pool Mining
Solo mining
Setting up a wallet for solo mining
Setting up mining software for solo mining
Setting up mining software for pool mining
Pool mining discussion
Mining pools
Choosing a pool
Solo versus pool mining
Profitability
Majority attack on Bitcoin
51% attack
Summary
7. Large Scale Mining
Large Scale Mining overview
Large Scale Mining challenges
Inexpensive and reliable electricity
Good network connectivity
Access to latest hardware
Stable political climate
Bitcoin exchange rate
Cooling of mining hardware
Large Scale Mining operations
BitFury
KnC Miner
21 INC
Mega Big Power
Genesis Mining
Other mine operators
Summary
8. The Future of Bitcoin Mining
Overview of the current state of mining
Further centralization of mining
Hardware arms race
Halving of the reward
Consolidation, mergers, and acquisitions
Bitcoin exchange rate
Quantum computing and mining
Cracking the security of SHA-256
Centralization by region
Governments adopting cryptocurrencies
Decentralization of mining
Mining chips everywhere
21 INC and the Bitcoin Computer
Mining devices as a source of heat
The end of the ASIC arms race is near
Decentralized mining is key
Elimination of PoW
Inefficiency of PoW
Replacement of PoW
Can we do without mining?
Replacing or eliminating mining
Efficiency of mining
Possible ways in which mining may change
Summary
Index
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