02.5.15

What Is Bitcoin Mining? A Simple Explanation

transaction

Of the many terms involved in Bitcoin, Bitcoin mining may be the most important and the least understood by those outside of the Bitcoin community. So, let’s learn how to mine for bitcoins.
To understand how to mine for bitcoins, you first need to understand the difference between Bitcoin and more standard forms of currency. Most national currency, such as the U.S. Dollar, is issued on what’s known as a fiat basis. The U.S. Government prints money as it is needed, and that money then goes into circulation. The money has value and security because it is backed by the promise of the U.S. Government, and most often managed by the banks which are themselves federally insured. Individuals can be confident that their dollars will continue to hold value, because they are backed by the strong central authority of the U.S. Government.
Bitcoin is a little different. It is what is known as a decentralized currency, because it is neither issued nor secured by a centralized authority. Instead, new Bitcoins are created by a system run by the users, and everyone who participates in that system serves as part of the bank. While at first glance this sounds risky and unsecured, the creators of Bitcoin came up with a clever way for the users themselves to run the systems as well as provide security.

This system is Bitcoin mining.

All Bitcoin transactions need to be verified. That is what keeps them secure. With so much trading going on, this adds up to a lot of data. This data is organized by the Bitcoin system into blocks. It is these blocks that are “mined” by Bitcoin miners. The actual process of learning how to mine bitcoins involves using computers to solve complex mathematical problems that serve to do the work of verifying Bitcoin transactions.

So why would anyone actually want to do this work? That’s the clever part. A Bitcoin miner that successfully solves the math and mines a specific block is rewarded in new Bitcoins. This is how new Bitcoins are created. In a sense, new Bitcoins are created as a fee to miners for doing the work of making the entire system function. And since there is no physical commodity involved, this fee doesn’t actually cost anyone anything. No one has to give up Bitcoins for the miners to be given their new Bitcoins. The only cost to the system is that the addition of new currency can drive down the price of existing Bitcoins, causing inflation.
To keep the Bitcoin market from being flooded, the system has built in safeguards. First of all, the math problems become more difficult the more blocks are mined. This means that it takes longer bitcoin minerand requires more processing power the more mining is being done. And the reward in Bitcoins for mining a block goes down whenever 210,000 blocks are mined. When Bitcoin started in 2009 the block reward was 50 Bitcoins per block; in 2014 that number has halved to 25. Once 21 million coins have been mined the system is set to stop producing new coins.
At the beginning, individuals were able to successfully learn how to mine for bitcoins using only their home computers. As Bitcoin’s popularity has grown, mining has become more competitive, and so more and more processing power is required. Much of the current mining is done by powerful machines built by companies with the express purpose of mining Bitcoins.
However, it is still highly possible for an individual to learn how to mine for bitcoins by entering a mining pool. A mining pool is a group of users who all devote the processing power of their computers to solving blocks together. When the blocks are solved, everyone in the pool splits the reward. The only think it costs in the individual miners is electricity, time, and Internet use.

Bitcoin has come a long way in its short and complicated history, and mining is at the heart of it all. How to mine for bitcoins gets more competitive by the day, and those interested in learning how to mine bitcoin may feel intimidated to begin. But Bitcoin as a currency is still in its early days, and it was designed for the long term. The barriers for entry are still low, and the support structure for getting started is strong enough that there’s no reason not to start mining Bitcoins today.

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02.4.15

How To Get Financing For Your First Home Purchase

house of moneyIf you have made the decision to purchase a home, you must now consider how you will get the financing to do the purchase. There are several ways you can get the financing, but is it good to note that there are terms and conditions that apply. So, before you decide that you want a certain form of financing, you need to understand all what is involved in that option. As a first time buyer, it can be a daunting task to get the best financing option. However, you do not have to worry because this article offers you some great ways on how to get financing for first home purchase.   The following advice was given to us by Edmonton Real Estate Pro Sam Ireland.

 Saving for a deposit and other costs involved in the home purchase

Before you begin to look for a home, you need to start saving. It is advisable that you try to save at least 5 percent to twenty percent on the entire cost of the home that you want to purchase. However, saving more than 5 percent will make the process easier because you will be able to apply for the wide range of cost effective mortgages offered to first time property buyers.

 Cost effective property buyer schemes 

There are several schemes available for home buyers that help get them on the property ladder. There are government backed schemes that aims to provide first home buyers the financial support that they need in order to acquire homes. Some of the schemes available include affordable housing schemes, help to buy scheme and shared ownership schemes.

 Finding a mortgage 

There are several mortgage deals that you can pick from when you want to make your first home purchase. With the different types of mortgages available, it can be a bit tricky to know the one that is right for you. Thus, it is important that you perform research and seek advice from real estate advisors or brokers on the one that is perfect for you according to your situation. To ensure that you take the right mortgage you need to:

  • Understand the different mortgage types effectively.
  • Get the right mortgage advice.
  • Understand how to use the different mortgage calculators in order to help you get the one that is appropriate for you. 

 Leasehold and freehold 

If you are looking to buy a house, chances are high that you will be buying the freehold. This means that you own the house and the land it sits on. On the other hand, if you are buying a flat, you may be purchasing leasehold, or you are purchasing into a share of the freehold. It is important that you understand the differences and financial implications involved.

The application process

Whichever mortgage that you want to apply, it is good to know that your lender will need to know that you have the ability to make the payments in case the interest rates go high or there is change in your financial status. If you are struggling to get a mortgage, you can also consider a guarantor mortgage. The guarantor will be responsible for the payments if you are unable to pay them.

Useful Links:
www.crea.ca

09.1.14

Android Phone Advantages and Disadvantages

Today, the Android phone has gotten to be a requirement rather than the luxury it was and its reputation continues to rapidly increase among the class of smart phones. The development of Android phone Apps has now become a vital tool for developing applications for mobiles. There are many OS which are available today though among them all android is the top one because it is easily handled and it is also very simple in implementation due to its very open source nature. Its mobile platform is made up of an OS, the middle ware, the key applications, and the SDK. It is the work of the SDK to facilitate the apps developers with tools and APIs required for Development. The Android distribution platform nature is open which permits the developers to be able to develop applications and then freely have them distributed over the internet.

android and windowsAdvantages of Android

Multitasking: Android phones are able to run numerous applications at the same time meaning you may Facebook and also browse while you listen to some music.

Ease of Notification: For any Email, SMS or even the arrival of latest RSS Reader articles, you will always receive a notification via your Android phone Home Screen through a blinking LED indicator so that you do not miss any of them or even a Miscall.

Thousands of Apps: You will have trouble-free access to apps in their thousands via the Android App Google Market most of them for free downloading. You also have very many games to choose from.

Diverse Phone Options: Unlike other Operating Systems offered by other makers, Talk Android phone will definitely feel ‘different’. Each phone mobile handset manufacturer has also produced an Android in different style and you are free to select the style that best suits you and your needs. Each style comes with unique phone options.

Widget: Yes, with the available homescreen widgets, it becomes absolutely possible to access your various functions, settings, applications on the screen without having to access the main Menu of your Android phone. This is easy and saves you lots of time.

Possible to install modified ROM: You are not entirely happy with the standard Android view, you need not worry for there are various custom ROM which could be used in the mobile phones Android.

Google Maniac: For the loyal Google user of their services that range from Google Reader to Gmail, the Android phone has incorporated all of them with Google services such that you are able to quickly check on your e-mail via Gmail.

Disadvantages of Android

Advertising: Indeed, Android phone applications are easily obtained easily for free, however the consequences linked with each of these free applications is that they will always come with endless ads on your display.

Backups:  It seems that the filing system in the Android OS is quite similiar to windows, but that makes it quite a difficult phone to perform backups on.  For instance transferring your android files becomes quite diffucult due to the lack of an easy UI.

Internet connection: Most of the Android phones always require Internet connection to be continuously active.

08.13.14

Welcome to TaxGaga.com

Hello and welcome to my blog!  I will soon fill this site with tons of great information about business, taxes and life in general.  Check back soon…unless you wanna buy it.  Then contact me here.