Bitcoin Audible

2Sats - Why is Bitcoin Mining Even a Thing?

7 snips
Sep 23, 2025
Bitcoin mining is often misunderstood, yet it stands as one of the most fascinating aspects of Bitcoin. The concept of proof-of-work acts as a digital stamp, ensuring security and preventing attacks through a costly verification system. Surprisingly, this mechanism creates a formidable barrier against potential threats, securing the entire network. The discussion also touches on the profound implications of mining and its importance in the broader crypto landscape.
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INSIGHT

Proof Of Work As A Costly Stamp

  • Proof of work attaches an unforgeable, small computational cost to actions on open networks to deter spam and abuse.
  • It is cheap for honest users but becomes prohibitively expensive for mass attackers, changing the economics of abuse.
INSIGHT

Mining Is Electronic Dice Rolling

  • Bitcoin uses proof of work like massive repeated dice rolls to secure the ledger and grant block rewards to finders.
  • The network automatically increases difficulty as more participants join to maintain a stable pace.
INSIGHT

Energy Wall Protects The Ledger

  • To change past pages an attacker must redo all prior proof of work and outpace the honest network, making attacks exponentially costly.
  • Each additional page strengthens the energy barrier protecting transaction history.
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