Cryptocurrency Mining

Cryptocurrency is the term given to currency such as bitcoin, ether, or any of the other digital currencies out there. So how does this work?

Cryptocurrency runs on what is called a blockchain, a ledger or document that is duplicated over networks of computers. As this is updated, it is made available to the holder of cryptocurrency. Every transaction is recorded of every cryptocurrency. The blockchain is run by miners. Their computers tally up the transactions. They update the transactions and also make sure of the authenticity of the information received. In payment, miners are paid fees for each transaction. The buyers and sellers agree on the value of the cryptocurrency as it fluctuates.

The transactions are made peer-to-peer without a mediator like a bank. The buyer and seller do not know who the other is, but everyone in the blockchain knows about the transaction as they are made public.

If I wanted to buy something that costs $10,000, and find a seller that accepts cryptocurrency, I would try to find out the current exchange rate get the public cryptocurrency address, say bitcoin, and we would stay anonymous to each other. I would then have my Bitcoin installed to his computer, say 10 bitcoins rated at $1000 each. My bitcoin client would sign the transaction with his private key. The transaction would be verified and transferred and recorded.

Cryptocurrency mining includes adding transaction to the blockchain and releasing new currency. They use special computers, hardware and software, to do this. Lately they’ve taken to using browsers and apps for cryptomining. There is a javascript that they can add to your website. Sometimes they will let you know they are using this, sometimes not. When it was first used it didn’t generate that much money for the miners but now that bitcoin rates have increased, it seems there has been another surge with it.

Coinhive is an alternative to browser ad revenue. They have a javascript for people to put on their website. They are using your computer to mine the bitcoin. Mining takes a lot of power so they look for other ways to use it. A good ad blocker can prevent you from using some of these types of sites. I just got the message from my adblocker when trying to get to coinhive.com. It is used to mine a cryptocurrency called Monero. The owners of the site get 70% of the currency and Coinhive gets the rest. You may never even know it is taking place if you visit a site using this, except maybe your computer runs a little slower. Users with WordPress can even get a plugin for using Coinhive.

One month last year, Malwarebytes blocked 248 million attempts to borrow resources from the Coinhive script. Many of the sites using Coinhive are porn sites or heavily covered with ads anyway. A good antivirus or ad blockers can help. You can also turn off javascript from your browser. Download and use Opera which will block cryptocurrencies.

Coinhive cryptomining scripts were found recently in 19 apps in the Google Playstore. One of the apps had over 100,000 users. They have since been removed from the store.

Here are some of our source articles to find out more:
https://www.benzinga.com/
https://www.symantec.com/
https://www.pcmag.com/
https://www.bleepingcomputer.com/
https://thenextweb.com/

Let’s find out about bitcoins.

By now you have heard the term “bitcoin.” But what is a bitcoin? Let’s explore what they are.

What a bitcoin is. Bitcoin is a “new kind of money.” It is digital money that can be tranferred over the internet. They are transferred directly from person to person without a middle man or bank. This means no transaction fees.

How does it work? You have a digital wallet on your computer or mobile device or in the cloud and can send bitcoins as easy as sending an email. You can purchase anything with bitcoins. The networks are secured by “miners” who make a record in a public ledger. It uses military-grade encryption. Nobody owns it. Using the bitcoin network is free. (You can choose to speed up a transaction for a fee.)

The downside: bitcoin wallets are not insured by the FDIC. You can accidentally delete them, a computer virus can wipe it out. In the cloud, servers can be hacked and bitcoins stolen.

For more information:
Bitcoin.com
WeUseBitcoin.com

~ Jody Victor