Post
Topic
Board Beginners & Help
Re: My Questions about Bitcoin investment and Mining.
by
Stalker22
on 07/12/2022, 22:41:54 UTC
The second is about Bitcoin mining; what is the difference between investing in bitcoin and mining bitcoin, or are they interchangeable? If you do not wish to purchase, will you mine your own Bitcoin?

It is important to understand that investing in bitcoin is not the same thing as mining bitcoin. Investing in bitcoin is simply buying some of the coins as they hit the market, while mining is the work of providing the hardware and energy to support the blockchain (the decentralized ledger that keeps track of all bitcoin transactions). Put another way, you could say that investing in bitcoin is more of a speculation, you are putting money into an asset that you hope will appreciate over time. Mining, on the other hand, is all about providing support for transactions happening on the blockchain right now.