During mining, your computer runs a cryptographic hashing function (two rounds of SHA256) on what is called a block header . For each new hash, the mining software will use a different number as the random element of the block header, this number is called the nonce . Depending on the nonce and what else is in the block the hashing function will yield a hash which looks like this:
You can look at this hash as a really long number. (It's a hexadecimal number, meaning the letters A-F are the digits 10-15.) Now to make mining difficult, there is what's called a difficulty target . To create a valid block your miner has to find a hash that is below the difficulty target. So if for example the difficulty target is 1000000000000000000000000000000000000000000000000000000000000000, any number that starts with a zero would be below the target, e.g.:
If we lower the target to 0100000000000000000000000000000000000000000000000000000000000000, we now need two zeros in the beginning to be under it:
Because the target is such an unwieldy number with tons of digits, people generally use a simpler number to express the current target. This number is called the mining difficulty . The mining difficulty expresses how much harder the current block is to generate compared to the first block. So a difficulty of 70000 means to generate the current block you have to do 70000 times more work than Satoshi had to do generating the first block. Though be fair though, back then mining was a lot slower and less optimized.
The difficulty changes every 2016 blocks. The network tries to change it such that 2016 blocks at the current global network processing power take about 14 days. That's why, when the network power rises, the difficulty rises as well.
Bitcoin Mining Hardware
CPU's: In the beginning, mining with a CPU was the only way to mine bitcoins. Mining this way via the original Satoshi client is how the bitcoin network started. This method is no longer viable now that the network difficulty level is so high. You might mine for years and years without earning a single coin.
GPU's: Soon it was discovered that high end graphics cards were much more efficient at bitcoin mining and the landscape changed. CPU bitcoin mining gave way to the GPU (Graphical Processing Unit). The massively parallel nature of some GPUs allowed for a 50x to 100x increase in bitcoin mining power while using far less power per unit of work. While any modern GPU can be used to mine, the AMD line of GPU architecture turned out to be far superior to the nVidia architecture for mining bitcoins and the ATI Radeon HD 5870 turned out to be the most cost effective choice at the time.
FPGA's: As with the CPU to GPU transition, the bitcoin mining world progressed up the technology food chain to the Field Programmable Gate Array. With the successful launch of the Butterfly Labs FPGA ‘Single', the bitcoin mining hardware landscape gave way to specially manufactured hardware dedicated to mining bitcoins. While the FPGAs didn't enjoy a 50x - 100x increase in mining speed as was seen with the transition from CPUs to GPUs, they provided a benefit through power efficiency and ease of use. A typical 600 MH/s graphics card consumed upwards of 400w of power, whereas a typical FPGA mining device would provide a hashrate of 826 MH/s at 80w of power. That 5x improvement allowed the first large bitcoin mining farms to be constructed at an operational profit. The bitcoin mining industry was born.
ASIC's: The bitcoin mining world is now solidly in the Application Specific Integrated Circuit (ASIC) era. An ASIC is a chip designed specifically to do one thing and one thing only. Unlike FPGA's, an ASIC cannot be repurposed to perform other tasks. An ASIC designed to mine bitcoins can only mine bitcoins and will only ever mine bitcoins. The inflexibility of an ASIC is offset by the fact that it offers a 100x increase in hashing power while reducing power consumption compared to all the previous technologies. For example, a good bitcoin miner like the Monarch from Butterfly Labs provides 600 GH/s (1 Gigahash is 1000 Megahash. 1 GH/s = 1000 MH/s) while consuming 350w of power. Compared to the GPU era, this is an increase in hashrate and power savings of nearly 300x. (Calculate the earnings of any bitcoin mining hardware device using this bitcoin mining calculator ).
Unlike all the previous generations of hardware preceding ASIC, ASIC is the "end of the line" when it comes to disruptive technology. CPUs were replaced by GPUs which were in turn replaced by FPGAs which were replaced by ASICs. There is nothing to replace ASICs now or even in the immediate future. There will be stepwise refinement of the ASIC products and increases in efficiency, but nothing will offer the 50x - 100x increase in hashing power or 7x reduction in power usage that moves from previous technologies offered. This makes power consumption on an ASIC device the single most important factor of any ASIC product, as the expected useful lifetime of an ASIC mining device is longer than the entire history of bitcoin mining. It is conceivable that an ASIC device purchased today would still be mining in two years if the device is power efficient enough and the cost of electricity does not exceed it's output. Mining profitability is also dictated by the exchange rate, but under all circumstances the more power effecient the mining device, the more profitable it is.
Software
There are two basic ways to mine: On your own or as part of a pool. Almost all miners choose to mine on a pool because it takes the luck out of the process. Before you join a pool, make sure you have a bitcoin wallet so you have a place to store your bitcoins. Next you need to join a mining pool like Eclipse. Eligius or BTC Guild. With pool mining, the profit from any block a member generates is divided up among the members of the pool. This gives the pool members a more frequent, steady payout (this is called reducing your variance), but your payout(s) will be less unless you use a zero fee pool like Eclipse. Solo mining will give you large, infrequent payouts and pooled mining will give you small, frequent payouts, but both add up to the same amount if you're using a zero fee pool.
Once you have your client set up or you have registered with a pool, the next step is to set up the actual mining software. The most popular GPU/FPGA/ASIC miner at the moment is BFGminer or CGminer. For a full GUI experience, try EasyMiner .
If you want a quick taste of mining without installing any software, try Bitcoin Plus. a browser-based CPU Bitcoin miner. As a CPU miner it's not cost-efficient for serious mining, but it does illustrate the principle of pooled mining very well.
Thanks to:
ThaFresh's ultimate Bitcoin Mining rig, featuring hardware from Butterfly Labs
Blitzboom and the guys from #bitcoin-dev for their help with writing the guide!
Hack A Day - FPGA bitcoin mining
The board requires only 6.8 watts for 100 Mhashes/second, but [li_gangyi]‘s blog says the team expects to hit 150-200 Mhashes with some improvements.
Only four of these boards were built and the supply has already sold out. Deposits are being accepted at Cablesaurus towards pre-orders for the second generation model. The second generation units are priced at $420 (single FGPA) to $620 (dual FPGA) but those prices will likely be lowered before purchase due to volume discounts. The number of boards produced will be determined by how many deposits (paid in either bitcoins or USDs) are made.
This board differs from the modular FPGA hardware project but runs the same open source FGPA miner that was released in May.
FPGA hardware is more expensive for mining Bitcoin than the hashing equivalent when GPU graphics cards are used but power consumption for FPGA mining can be nearly an order of magnitude less. At current exchange rates and difficulty levels. the dual-FGPA board will produce just under 0.12 BTC per day, which is worth about $1.22 USD. Calculated using the typical U.S. residential rate the cost of electricity to run the two FPGAs for a day is under $0.04 USD, or about 3% of revenue. For comparison, when GPU graphics cards are used for mining in regions where electric rates are high the cost of electricity can exceed half the miner’s revenue.
Though mining profitabilty is near all-time lows, these levels are still high enough that FGPAs are not yet price competitive due to the higher hardware costs involved. At the same time, this board just brought FPGA mining one step closer to becoming a significant competitor to GPU mining. Those likely to be the early adopters will be those hitting total power consumption limits, those running out of space and those unable to sufficiently remove the heat produced when mining with GPUs.
Although not a concept embraced by everyone, bitcoins are a payment method that seems to spread rapidly in some corners of the Internet, while it is banned in other parts. Mining is practically the procedure of generating your own bitcoins and it involves solving a puzzle and getting a certain result with random hashes.
In order to become a Bitcoin miner, you need proper hardware and software to carry out the job. GUIMiner is a simple program designed to help you generate bitcoins.
If you have never used Bitcoin before, you have to install the original Bitcoin software, which is used as a server, as well as create an online wallet. Once you have done that, you can start using GUIMiner.
How to mine bitcoins Easy (Tutorial 3 Minutes Setup - Easy Bitcoin Miner)
The program provides you with a user-friendly interface, which makes it suitable for any type of user. At the first run, the application tries to detect the available OpenCL device. If it does not find any, it allows you to mine using your CPU or GPU's capabilities. Moreover, you are able to even create a new customized miner. OpenCL miners are destined for AMD cards and CUDA-enabled nVidia devices.
You can choose the desired mining server from a predefined list. You have the possibility to mine alone, but it usually takes months to gather a 'block', which is worth 50 bitcoins. Thus, it may be much easier to enter one of the preconfigured mining pools. For every server, you have to specify the host, port, as well as your Bitcoin login credentials.
The main window of the application allows you to permanently monitor the mining process status, while the 'Summary' section displays the speed and the number of accepted items for each miner. The console allows you to view a log of the performed actions and their result.
The mining process consumes both time and computer resources, but if you decide to use this cash system, GUIMiner might be a good choice.
Beginners Guide to Mining Bitcoins
One of the biggest problems I ran into when I was looking to start mining Bitcoin for investment and profit was most of the sites were written for the advanced user. I am not a professional coder, I have no experience with Ubuntu, Linux and minimal experience with Mac. So, this is for the individual or group that wants to get started the easy way.
First thing you need to do is get a “Bitcoin Wallet”. Because Bitcoin is an internet based currency, you need a place to keep your Bitcoins. Got to http://www.bitcoin.org and download the Bitcoin client for your Operating System. Install it the client will begin to download the blockchain. Downloading the blockchain can take a long time and will be over 6GB of data. If you have data caps, I would recommend ordering a copy of the blockchain on DVD to keep from going over as it is growing exponentially. Click to order the bitcoin blockchain by mail. Once the client is up to date, click “New” to get your wallet address. It will be a long sequence of letters and numbers. One of most important things you can do is make sure you have a copy of the wallet.dat file on a thumb drive and print a copy out and keep it in a safe location. You can view a tutorial on how to create a secure wallet by clicking the link on the top of the page. The reason is that if you computer crashes and you do not have a copy of your wallet.dat file, you will lose all of your Bitcoins. They won’t go to someone else, they will disappear forever. It is like burning cash.
Now that you have a wallet and the client, you are probably roaring to go, but if you actually want to make Bitcoin (money), you probably need to join a pool. A pool is a group that combines their computing power to make more Bitcoins. The reason you shouldn’t go it alone is that Bitcoins are awarded in blocks, usually 50 at a time, and unless you get extremely lucky, you will not be getting any of those coins. In a pool, you are given smaller and easier algorithms to solve and all of your combined work will make you more likely to solve the bigger algorithm and earn Bitcoins that are spread out throughout the pool based on your contribution. Basically, you will make a more consistent amount of Bitcoins and will be more likely to receive a good return on your investment.
The pool that I’m involved in is called Slush’s Pool so I will be giving instructions on how to join there but feel free to look at other options. Follow the link to go to their site and click the “Sign up here” link at the top of their site and follow their step by step instructions. After you have your account set up, you will need to add a “Worker”. Basically, for every miner that you have running, you will need to have a worker ID so the pool can keep track of your contributions.
If you are mining with an ASIC, please go to our Mining with ASICs page. The following will only pertain to GPU miners.
Most of the mining programs out there are pretty complicated to setup and will frustrate your average user. Recently a great program has come out to get the most basic of users started. The program is called GUIMiner. Click the link and download the program (Be careful, some of the ads are set up to look like the file download). Install and run the program and add in your information from Slush’s Pool. Remember that the user name is actually the worker name. The worker name will be your user name, dot, worker ID (username.worker ID) and the password from that worker ID.
Mac users should look into using Astroid
Now that you are set up, you can start mining. If you feel like you want to make more Bitcoins, you might want to invest in mining hardware.
To see how much your current hardware will earn mining Bitcoins, head over to the Bitcoin Profitability Calculator .
If you found this information helpful, please donate to 1G1ehppEgjiFTUSHFz2xs9KLSQuWLPYF2o
In traditional fiat money systems, governments simply print more money when they need to. But in bitcoin, money isn’t printed at all – it is discovered. Computers around the world “mine” for coins by competing with each other.
So, how does mining happen?
People are sending bitcoins to each other over the bitcoin network all the time, but unless someone keeps a record of all these transactions, no-one would be able to keep track of who had paid what. The bitcoin network deals with this by collecting all of the transactions made during a set period into a list, called a block. It’s the miners’ job to confirm those transactions, and write them into a general ledger.
Making a hash of it
This general ledger is a long list of blocks, known as the block chain. It can be used to explore any transaction made between any bitcoin addresses, at any point on the network. Whenever a new block of transactions is created, it is added to the block chain, creating an increasingly lengthy list of all the transactions that ever took place on the bitcoin network. A constantly updated copy of the block is given to everyone who participates, so that they know what is going on.
But a general ledger has to be trusted, and all of this is held digitally. How can we be sure that the block chain stays intact, and is never tampered with? This is where the miners come in.
Bitcoin lite coin miner approx 700 hash rate for sale
When a block of transactions is created, miners put it through a process. They take the information in the block, and apply a mathematical formula to it, turning it into something else. That something else is a far shorter, seemingly random sequence of letters and numbers known as a hash. This hash is stored along with the block, at the end of the block chain.
Hashes have some interesting properties. It’s easy to produce a hash from a collection of data like a bitcoin block, but it’s practically impossible to work out what the data was just by looking at the hash. And while it is very easy to produce a hash from a large amount of data, each hash is unique. If you change just one character in a bitcoin block, its hash will change completely.
Miners don’t just use the transactions in a block to generate a hash. Some other pieces of data are used too. One of these pieces of data is the hash of the last block stored in the block chain.
Because each block’s hash is produced using the hash of the block before it, it becomes a digital version of a wax seal. It confirms that this block – and every block after it – is legitimate, because if you tampered with it, everyone would know.
If you tried to fake a transaction by changing a block that had already been stored in the block chain, this would change that block’s hash. If someone checked the block’s authenticity by running the hashing function on it, they’d find that the hash was different from the one already stored along with that block in the block chain. The block would be fake!
Because each block’s hash is used to help produce the hash of the next block in the chain, tampering with a block would also change the next block’s hash. So tampering with a block would make the subsequent block’s hash wrong, too. That would continue all the way down the chain, throwing everything out of whack.
Competing for coins
So, that’s how miners ‘seal off’ a block. They all compete with each other to do this, using software written specifically to mine blocks. Every time someone successfully creates a hash, they get a reward of 25 bitcoins, the block chain is updated, and everyone on the network hears about it. That’s the incentive to keep mining, and keep the transactions working.
The problem is that it’s very easy to produce a hash from a collection of data. Computers are really good at this. The bitcoin network has to make it more difficult, otherwise everyone would be hashing hundreds of transaction blocks each second, and all of the bitcoins would be mined in minutes. The Bitcoin protocol deliberately makes it more difficult, by introducing something called a ‘proof of work’.
The Bitcoin protocol won’t just accept any old hash. It demands that a block’s hash has to look a certain way; it must have a certain number of zeroes at the start. There’s no way of telling what a hash is going to look like before you produce it, and as soon as you include a new piece of data in the mix, the hash will be totally different.
Miners aren’t supposed to meddle with the transaction data in a block, but they must change the data they’re using to create a different hash. They do this using another, random piece of data called a nonce. This is used with the transaction data to create a hash. If the hash doesn’t fit the required format, the nonce is changed, and the whole thing is hashed again. It can take many attempts to find a nonce that works, and all the miners in the network are trying to do it at the same time. That’s how miners earn their bitcoins.
Nothing guaranteed, of course this is only a rough estimate! You can also calculate rented mining by setting “Power consumption” to 0 and “Cost of mining hardware” to the rent per time frame. Default values are for a 50 GH/s Bitcoin Miner .
Estimate Strategy
Extrapolating bitcoin difficulty or price is pure voodoo. It is much easier to predict the relationship of the two parameters in form of the Mining Factor. The Mining Factor 100 is the value in USD of the bitcoins you can generate if you let a 100MHash/s miner run for 24 hours. If the Mining Factor 100 rises above $2 or so everybody buys mining equipment and thus increases difficulty. If it falls people will stop mining eventually. The estimate starts with the current Mining Factor and decreases it exponentially such that the decrease accounts for the factor decline per year. Please note that a profit/loss by holding the coins is not accounted for in this estimate.
Things to consider that might eat into your profit:
The values above are only a snapshot. The network and markets are moving quickly. Check out these diagrams to get a feeling for it.Looks like if your mining operation is not profitable now, it probably will not be in the future.
With rising bitcoin exchange rates it might be more profitable to buy bitcoins than to mine. There are spreadsheets available in this thread or this one (with some FPGA data) for a more custom calculation.Bitcoin exchanges: MtGox. Tradehill. CryptoXchange .
The calculation is based on average block generation time. The closer the average generation time is to the time frame the more the resulting revenue depends on luck.
You will have to pay mining pool fees from close to nothing up to 3% depending on the pool. Unless you want to do pool hopping you should go to a pool with hopping protection. I recommend Arsbitcoin and EclipseMC (with namecoin merged mining). P2Pool is a new completely decentralized alternative.
You will get somewhere from 1% to 3% of “stale shares”. Thread .
When the block count will hit
200000 some time around December 2012 the generation reward will go down to 25BTC. This might partly be compensated by falling difficulty, raising prices, higher transfer fees, etc.
A mining computer generates a lot of heat as a byproduct. This can impact your heating/airconditioning costs depending on outside temperatures. Other byproducts could be noise and an angry wife.
Do you have lots of experience with and like working with computers during lonesome nights? You have to spend quite some time to set up the system (easily several days!) and watch it.
You will not get a 100% uptime.
You will probably not be able to reach the highest values in the Mining Hardware Comparison. Some bragging / measuring error and extensive overclocking of the cards is involved here.
Scaling effects: three cards in one rig do worse than a single card because it gets harder to get out the heat. Results in the list above do not reflect the number of cards.
A disruptive technology like ASIC chips could show up and make GPU mining less profitable.
Politics and legal issues might affect the bitcoin market.
Possible additional benefits:
For suggestions, infos or links on the topic to add, please contact me directly (info [at] bitcoinx.com) or in this thread on the bitcoin forum.
TP's Bitcoin Calculator FAQ
Your ultimate Bitcoin calculator. Never again will you have to look at other mining calculators, profitability calculators, power calculators or generation calculators. See how much your Bitcoin mining rig can earn you today!
What is "Bitcoin"?
Bitcoin is a new form of digital currency unlike any that was ever created. It is to PayPal like gold is to a traditional currency. It relies on mathematics of cryptography and the combined calculating power of many computers to secure your savings against anyone wanting to take it away.
For more on Bitcoins, check out WeUseCoins .
What is "mining"?
Mining is a process of generating new Bitcoins by solving a mathematical problem. By mining you let your computer generate pseudo-random numbers according to certain rules, and if your random number is small enough, you solve a Block, and get to keep a reward associated with it.
How do I start mining?
Best way to get your feet wet with mining, is to do the following:
After you let your computer crunch the numbers for awhile, you should look into either transferring them to your Wallet, or selling them for real money.
-In order to get your own Wallet, download the Bitcoin Client from here - Bitcoin.org .
How much money can I earn?
Well, this is what this whole website is for! In just a few easy steps you can see how much money you can earn:
-Find out what hardware you have, note the Mhash/s value.
-Input that value in our calculator as Hash Rate .
-Click Calculate And there you have it, all the data you need to get started!
How do I earn more?
The answer to that question is both easy and hard - if you want to mine more Bitcoins, you need to get more hardware. which can be a bit daunting at times. But hey, you can make a pretty decent living by making your computers work for you this way!:)
What is a Bitcoin Mining Calculator anyway?
A mining calculator (also known as a generation calculator ) is a simple piece of software that can calculate how much Bitcoins your computer can mine. Based on your Hash Rate and the current Difficulty it can approximate how much Bitcoins you can expect to see being generated.
What is a Bitcoin Power Calculator?
A power calculator (or power calc for short) calculates how much it costs for your computer to generate Bitcoins, based on the price of electricity and the power consumption of your computer.
What is a Bitcoin Profitability Calculator?
A profitability calculator calculates how much actual money your computer can generate (taking a current exchange rate from a Bitcoin exchange).
How does this website fit in all this?
This website is one of the few websites that offers a complex solution to all of the above calculating problems in a neat, readable little package. It is a mining power and profitability calculator all in one. By entering just a few basic pieces of information you can learn all you want to know (and some things you didn't know you wanted to know) from a simple table. You can estimate how much money you can earn with a new mining rig, when your investment will be returned and many more, without having to go back and forth between multiple websites!
The link to Nitrogen Sports has been corrected. Nitrogen Sports recently underwent a huge upgrade and is now better than ever. Not only is the site more user-friendly, including a unique site-wide chat, but their juice has been reduced significantly, bringing them in-line with the best Bitcoin sports books.
12 · 30 · 2013
Bitcoin Video Casino is down while they improve security. More info at this link.
11 · 17 · 2013
You can now play dice at Playtin with only a 0.99% house edge. Our directory has just been updated to reflect the change - enjoy.
11 · 08 · 2013
It's been a while since I've had the pleasure of adding a new sportsbook to the directory, but this one is certainly not to be ignored. Cloudbet offers Bitcoin users the largest selection of sports and games. Not only that, but Cloudbet also offers an impressive line-up of live/in-game options for those of you who like to follow the action and play along. To top it all off, and not to be outdone by other sites, their interface must be seen!
10 · 30 · 2013
Once again, Bitcoin Video Casino has expanded, becoming the first of the established Bitcoin casinos to offer a dice game. In typical Bitcoin Video Casino fashion, the game is fast, smooth, and addictive!
09 · 19 · 2013
Bitcoin Video Casino. in addition to their new look, has added a fantastic progressive slot machine to their line-up. Bet up to 20 lines at 0.01 BTC each for a total of 0.2 BTC per spin!
09 · 03 · 2013
"Bet with Bitcoin" and Strike Sapphire have teamed up to offer the best deposit bonus in Bitcoin gambling: 100% up to $100!
With the slickest software, 3D design, and original, skill-based games, Strike Sapphire is the most entertaining and reliable site for your Bitcoin gambling! Keep it classy with Strike Sapphire!
(Okay I apologize for that. Due to cutbacks we had to fire our marketing guy)
07 · 18 · 2013
BitSpin now features a great blackjack game, with 99.6% RTP, it's tied for the best in the business! Unique to BitSpin. you can track the bankrolls of players playing alongside you by watching the size of their name-tags! More info here .
06 · 16 · 2013
If you're a roulette player, and we know a lot of your are, then go check out the latest addition to the directory, BitSpin. The site is purely roulette, and one of the few that actually allows for multiple players at the same table. The site is clean and simple to use, and we think you'll like it!
05 · 26 · 2013
BitBook. our top-rated sports book, is now offering NFL and Golf odds.
Bitcoin Casino Guide
Are you looking for a reliable, trustworthy place to gamble with your bitcoins or other cryptocurrency? Before blindly depositing your money into a random bitcoin casino, you should read some reviews first.
Visit the website linked below to read some objective reviews:
What factors to consider when choosing a bitcoin casino
Bitcoin has revolutionized the online gaming industry. Betting with bitcoin is legal anywhere, instantaneous and easy.
Just like with real money casinos, you have to do your due diligence before depositing money to a gambling site. Not all sites are created equal, and some are blatant scams.
Bitcoin is a relatively new addition to the world of gambling, and online gaming providers are just starting to accept bitcoin and other cryptocurrency as payment options. A quick Google search brings up many different results – some look amateuristic, some look like traditional online casinos.
Because of the anonymous and instant nature of bitcoin, the casinos in this industry have implemented a ‘provably fair’ system in an attempt to prove the legitimacy of the casino. Since these casinos don’t require a gambling license, it has become necessary to provide provably fair software. When looking for a bitcoin casino, they should ideally have either provably fair software or a gambling license.
Other factor to consider is anonymity. Even though some real money casinos have started to accept bitcoin as payment method, they still require you to fill out all your personal details in order to play on their site. That’s why it preferable to choose a casino that only operates in cryptocurrency. It doesn’t matter whether or not you have anything to hide – the main benefit of bitcoin casinos is the fact that you don’t have to spend ages verifying your identity, but can start playing instantly after creating your account. Deposits and withdraws are instant, which means that you no longer have to send your ID to the customer deprartment any time you happen to win big.
Find the Best Altcoin and Bitcoin Mining Pool, Miner, Exchange, Gambling Site and More
Again, if you want to read some reviews of the best bitcoin casinos, you should visit this website.
Dogecoin Casinos
God Bless the internet.
Wow, such bet. Dogecoin is quickly becoming the #1 currency for online gaming. Many casinos are noticing this and have added dogecoin to their list of accepeted coins.
Sites that use multiple currency often convert them into special ‘casino credits’ according to current exchange rates. That makes it easier to process the amounts. Once you wish to withdraw, the credits are converted back to whatever currency you wish to withdraw. To Read more about Dogecoin casinos, check out our dogecoin -dedicated page;
Bitcoin Sportsbooks
Bitcoin sportsbooks share the same benefit of casinos – quick deposits, anonymity, and legal anywhere, since bitcoin isn’t official money.
Many sites have added a sportsbook in addition to their casino. Check reviews for more.
BitcoinCasinoPro Exposed Scam?
Bitcoin Casino Pro is another website that reviews and rates online Bitcoin betting services. Unfortunately, the site’s administrator, known as aksplace on the bitcointalk.org forums, has been accused of extorting multiple casinos. Several people have come forward claiming that he…
Bitcoin Casino Scams And How to Avoid Them – Guest Blog
With Bitcoin being a pseudonymous virtual currency, it is easy for anybody to steal your money without being tracked down. Follow the tips in this article to stay safe when selecting a Bitcoin casino. Pick a Trustworthy Site Reputation means…
January 5, 2014
General Overview of Bitcoin Casino & Scams
Bitcoin Casino Scams Bitcoin is a type of digital currency that has been in the virtual realm for several years now. A lot of people are very curious with this type of currency especially since it’s not regulated by the…
Satoshi Dice Review
PrimeDice Review
Primedice is the most modern Bitcoin dice website there is, sporting a very sleek UI and a great overall feel. It has a somewhat small amount of players on it, but for the most part the site’s bankroll helps mitigate…
Top 3 Best Bitcoin Gambling Sites
There are many different Bitcoin gambling sites on the Internet, but they are each different in their own little ways. It could be as simple as their withdrawing speeds or more in-depth like their lack of a provably fair system. In any case, when you are gambling online you want to go for the top sites. Let's take a look at the top three, and what makes them great.
· Casino and Sportsbetting – Casinobitco.in
· Lotteries - Peerbet
· Dice – Primedice
Casinobitco.in has the benefit of being a sort of hybrid gaming site. It offers up casino games, as its name would suggest, but it also includes a nice sports book. To make things even better, it offers a suicide league for sports, letting you test your skills from one week to the next, competing directly against other players to win a nice pot. With both free and paid games available, it's hard to go wrong.
Peerbet is the top lottery site, allowing people to create their own lotteries. They can be set up for any number of entry tickets, as well as any price. On top of this, the site does not take any cut from the pots, meaning that it gives out a 100% payout. This means you are not playing the house at all, but rather against the other players.
Primedice is the ultimate BTC dice site, giving what players want the most: a way to play for free (with the added potential of earning money) and the ability to run custom margingale scripts. All of this is actually built in to the site, so there are no third party requirements to get up and going. Want to test out a theory you came up with on how a margingale script can't possibly fail? Easy enough; simply use the faucet to get some free money to play with and use the built-in script. It couldn't be any simpler. On top of this, it even offers a very nice bankroll, so whether you are playing for micro or large stakes, the site can handle your wishes.
So what do all of these sites have in common?
· They all allow quick and easy deposits and withdrawals so you can get up and running fast.
· All of these are provably fair so you can ensure that your results are completely accurate and that the sites are not attempting to game you
· They are all professional in both their looks and support, and all of them have active developers that help ensure the sites keep moving forward with new features and bug fixes.
· They all allow very easy registration, letting you create your account with a minimal amount of identifable information. This helps ensure that you can keep your anonymity if you wish.
While each of these sites are in different gambling areas, they all compliment each other very well. By utilizing all of them, you cover the very broad spectrum of gambling and can ensure that you always have the games available that you're looking for!
Wondering why there is no coverage of poker sites? Our sister site has Bitcoin Poker reviewed to the max. Check them out!
Disclaimer: We are a professional review site that receives no compensation from the companies who services we review. We review each service thoroughly and provide honest reviews. We are independently owned and the opinions expressed here are our own.
Bitcoin: Making Online Gambling Legal in the U.S.?
Illustration by Mitch Blunt
Michael Hajduk had sunk one year and about $20,000 into developing his online poker site, Infiniti Poker, when the U.S. online gambling market imploded. On April 15, 2011, a day now known in the industry as Black Friday, the U.S. Department of Justice shut down the three biggest poker sites accessible to players in the U.S. indicting 11 people on charges of bank fraud, money laundering, and illegal gambling. Player accounts were frozen, leaving thousands of Americans without access to their funds. “It was like a bomb went off,” Hajduk says. To continue gambling, “U.S. players were uprooting their families and moving to Malta. Crazy stuff was happening.”
Hajduk, though, was barely fazed. Calgary-based Infiniti Poker, like several other new online gambling sites, plans to accept Bitcoin when it launches later this month. The online currency may allow American gamblers to avoid running afoul of complex U.S. laws that prevent businesses from knowingly accepting money transfers for Internet gambling purposes. “Because we’re using Bitcoin, we’re not using U.S. banks—it’s all peer-to-peer,” Hajduk says. “I don’t believe we’ll be doing anything wrong.”
Developed in 2009 by a mysterious programmer known as Satoshi Nakamoto, Bitcoins behave much like any currency. Their value—currently about $13 per Bitcoin—is determined by demand. Transactions are handled through a decentralized peer-to-peer network similar to BitTorrent, the protocol for sharing films and music over the Internet. An assortment of merchants around the globe accept Bitcoin; it’s also the currency used on online black markets such as Silk Road, which processes an estimated $1.2 million a month in sales of illegal drugs, according to Nicolas Christin, the associate director of Carnegie Mellon’s Information Networking Institute.
Individuals can buy and sell Bitcoins using global currencies through such online exchanges as Mt. Gox. There’s even a service facilitated by BitInstant, a payment-processing company, that allows you to purchase the virtual currency for cash at 700,000 U.S. locations, including participating Wal-Mart (WMT ). Duane Reade, and 7-Eleven stores. Once users have Bitcoins, they store them on their computers or mobile devices in files known as Bitcoin wallets or in cloud-based “e-wallets.”
Hajduk says Infiniti Poker will accept credit cards, wire transfers, and other payment options, but players in the U.S. will be able to play only using Bitcoins. He originally included the currency not to get around U.S. law but to reduce the time it takes to cash players out. Bank transactions can take up to 12 weeks; players who use Bitcoin can get a payout in a matter of hours, he says.
GamblingCompliance, which tracks the global gaming industry, says most estimates value the U.S. online gambling market at $4 billion to $6 billion. On Black Friday, gamblers in the U.S. had more than $100 million in online accounts frozen. Nearly two years later, the U.S. government is still working to reimburse the players, who were not targeted in the crackdown.
Hajduk says the ability to store Bitcoins on players’ computers is appealing. “At the end of the day, [the government] cannot freeze your account because they cannot kick down the door to Bitcoin,” he says.
It’s unclear whether the government will go after Bitcoin gambling sites. “Bitcoin poses some new legal challenges for financial authorities,” says Martin Williams, the Asia editor of GamblingCompliance. “I suspect that much of it will involve playing catch-up, as with so many other things relating to the Internet.” The Justice Department declined to comment.
There are other risks as well. In recent months hackers have pulled off several Bitcoin heists, and this summer Bitcoin Savings & Trust, billed as a “Bitcoin hedge fund,” made off with more than $5 million entrusted to the site by investors, in what appears to be a Ponzi scheme. Also, Bitcoin wallets can vanish as a result of hard-drive crashes or other computer problems. That’s how at least one user lost 50,000 Bitcoins, according to Peter Vessenes, chairman of Bitcoin Foundation, an organization that helps develop and promote the virtual currency.
“It’s still a pretty raw technology,” says Gavin Andresen, chief scientist at Bitcoin Foundation. “It’s pretty obvious that it’s been designed by geeks for geeks. It’s not easy to use yet, but it’s getting easier to use all the time.”
Bitcoin gaming sites keep popping up. Erik Voorhees, director of marketing and communications at BitInstant, helped design SatoshiDice, a gambling site hosted in Ireland and owned by an anonymous investor. Since launching in April, the site has taken in about $15 million in bets, Voorhees says. SatoshiDice is careful to keep everything in Bitcoin; until it’s clear how the site will be treated legally, “it’s better to keep it completely separate from real life,” he says.
When it comes to letting Americans gamble with Bitcoins, not everyone is as bold as Hajduk and SatoshiDice. Josh Strike, who in 2011 launched the Costa Rica-based Bitcoin casino site Strike Sapphire, says he makes sure Americans can’t access his games. “I’m an American, and the guys who help me with this—lawyers, part-owners, guys I’ve known since high school—they’re American,” he says. “I don’t want to get anyone in trouble.”
Bitcoin Casinos Release 2012 Earnings
It is earnings season on Wall Street and it is reporting season for some of the leading bitcoin casino operators. Three significant Bitcoin-related gambling sites have reported their earnings and statistics for calendar year 2012. Some of the data is fairly revealing giving us a fascinating glimpse into the worldwide growth of bitcoin and gambling.
First up is the venerable SatoshiDice. which is the leading bitcoin gambling site in terms of amount wagered. Responsible for more than 50% of daily network volume on the Bitcoin blockchain, SatoshiDice reported first year earnings from wagering at an impressive ฿33,310. During the year, players bet a total of ฿1,787,470 in 2,349,882 individual bets at an average monthly growth rate of 78%. Earnings were calculated from eight months of data covering May to December, 2012.
With servers based in Ireland and promoted by Erik Voorhees, SatoshiDice is considered a blockchain-based betting game and it is self-described as the “most popular Bitcoin game in the world.” Similar to random number generation, the site uses a method to produce a number between 0 and 65,535 which is then wagered on by making a bitcoin transaction to one of the static addresses representing different payouts. The odds are calculated to give the house an edge of 1.90% with full transparency because all dice rolls and earnings statistics are verifiable using the blockchain.
Operating expenses were minimal in 2012 and the company also paid monthly bitcoin dividends to ‘public’ shareholders which represent 10% of the total 100,000,000 outstanding shares. To invest in the operator and bet on the house, SatoshiDice shares are traded on the MPEx bitcoin stock exchange under ticker symbol S.DICE (see August 19th, 2012 Prospectus ). At the current exchange rate of $17.00 per BTC, SatoshiDice is a company valued at $8.9 million.
Voorhees emphasizes that until the site’s legal status is clear, all balances and accounting will be maintained in play-money bitcoin, because “it’s better to keep it completely separate from real life.” For all of the venture capitalists out there, here is how SatoshiDice started. Where is the next big one?
Provably-fair bitZino. covered previously in this column, offers blackjack, video poker, roulette, and craps in a bitcoin-only environment. When roulette was launched it quickly rose to become the top bitZino game, leveling off now to become equal with blackjack in terms of hands played. In an email to Forbes . BitZino reported first year earnings from wagering of ฿10,137. During the year, players bet a total of ฿664,192 in 3.2 million individual bets. Earnings were calculated from seven months of data covering June to December, 2012.
Since inception, unique user count went from 3,086 in June to 8,737 in December, which represents a period growth rate of 183% or average monthly growth rate of 30.5%. Earnings during that same time went from ฿326 in June to ฿3,240 in December, which represents a period growth rate of 894% or average monthly growth rate of 149%. Owner Larry Taad expects a 500% increase in these user count and earnings numbers for 2013.
Interesting trends noticed by bitZino include near daily cash-outs from players on the site which simply would not be possible with other payment methods and an astounding payment processing fee of just 0.0031%.
Seals With Clubs is an innovative and friendly bitcoin poker site launched in August 2011 by a small team of former online poker players. Choosing to remain anonymous, they happily accept players worldwide and all cash-ins and cash-outs are denominated in bitcoin so no bank accounts are required and even your email address is optional. Poker Mavens by Briggs Softworks provides the gaming software for the site. Seals affiliate manager and site pro is the enthusiastic Bryan Micon. who said “with the upcoming release of our Android app we hope to explode the BTC poker space in 2013.”
Seals confirmed that the company has paid out ฿110,587 over 7,972 transactions in the 16 months since their opening. They have over 10,600 player accounts with 5,697 of those logging in since October 1st, 2012. Typically, their busiest game time is 7-11pm EST and 972 types of Sit’N Go tournaments are also available. Players can open custom ring games and December brought in 1,000 unique players to at least one raked hand.
With game servers based in Iceland, Seals With Clubs is dealing about 10,000 hands of poker per day and raking only about 4,000 of them. If it is a tournament hand, no flop dealt, or below ฿0.04, then there is no rake. The current rake is 2.5% with a cap of ฿0.10 per hand which is slightly less than half of what other poker sites would charge.
Conservatively assuming that only 5% of the raked hands get to the maximum rake, then Seals With Clubs would be earning at least ฿20 per day on 4,000 raked hands dealt (or ฿600 per month on average). The operator does not make details available down to that level so we have no way of knowing with certainty. However, they do give a generous share of their rake back to high volume players and to others indirectly via freerolls and other promotions.
With privacy, efficiency, growth, payment irreversibility, and cost savings as demonstrated by the above, it’s only a matter of time before the mainstream casino operators of Gibraltar and Malta realize the benefits of a gaming economy that leverages the ideal digital casino chip.
Last Updated: 2012-01-25. For the latest product information, please check the forum.
Bitcoin in a Nutshell
Bitcoin is a peer-to-peer currency based on public key signatures and an ingenious double-spend-prevention mechanism based on a cryptographic hash function (SHA256). Nodes in the Bitcoin network are rewarded for finding x, such that SHA256(SHA256(x)) is below a certain target (this is called mining). The first node to find a solution earns Bitcoins.
The Bitcoin network adjusts this target so that on average, a solution is found every 10 minutes, based on the total computational rate (MH/s) of the network.
A node's chance of winning is roughly equal to the fraction of total MH/s that it contributes to the network.
Mining requires the latest technology and/or low electricity costs to remain profitable over time. Only the most power-efficient survive.
In mid-2011, GPU mining was highly profitable, with many ATI GPUs paying for themselves in 6-9 months, counting power (but not cooling, maintenance, configuration, or other) costs. However, as an increasing number of GPU miners chased those returns, the difficulty adjusted and large-scale GPU mining inevitably became unprofitable.
BitCoin Mining FPGA Card
Field Programmable Gate Array miners are under active development and use around 1/10th the power of a GPU, at the same performance level (MH/s). The upfront capital investment is higher than for GPUs; however, once made, the lower operational costs should enable FPGA miners to earn a significant monthly profit, even at price and difficulty levels where GPUs cannot. FPGAs are more power-efficient for mining, and over time are likely to make GPU mining unprofitable. Once the electricity to run a GPU costs more than the bitcoins it can produce, most miners will turn them off, and either sell their GPUs, or repurpose them.
A GPU process shrink does not change this situation; a 45nm FPGA still uses less electricity per MH than a 28nm GPU. And of course - 28nm FPGAs will arrive around the same time as 28nm GPUs, keeping FPGAs firmly ahead throughout 2012.
Now is the best time to switch to FPGA-based mining, to enjoy a major technological advantage over most other miners.
The FPGA End-Game
Large-scale miners who are willing to make the initial investment in FPGA mining should be able to mine a substantial portion of the remaining coins, with no operational threat from GPUs for at least the next 2 years. It looks likely that miners using GPUs will need to migrate to FPGAs to remain profitable during 2012.
Why not build an ASIC?
It's extremely expensive to build an ASIC that can outperform high-volume 40nm/28nm FPGAs. A 40nm mask set costs around $4M. Older technologies are less expensive, but above 130nm, probably cannot outperform a 28nm FPGA. At the current price and liquidity of Bitcoin, an ASIC would be an extremely risky investment. Most likely, the mining community will switch to FPGAs first and move to ASICs if/only if the Bitcoin ecosystem matures and expands considerably.
To Learn More..
Join #bitcoin-fpga on freenode. There's a small community of talented folks working on a variety of designs.
Hack A Day - FPGA bitcoin mining
The board requires only 6.8 watts for 100 Mhashes/second, but [li_gangyi]‘s blog says the team expects to hit 150-200 Mhashes with some improvements.
Only four of these boards were built and the supply has already sold out. Deposits are being accepted at Cablesaurus towards pre-orders for the second generation model. The second generation units are priced at $420 (single FGPA) to $620 (dual FPGA) but those prices will likely be lowered before purchase due to volume discounts. The number of boards produced will be determined by how many deposits (paid in either bitcoins or USDs) are made.
This board differs from the modular FPGA hardware project but runs the same open source FGPA miner that was released in May.
FPGA hardware is more expensive for mining Bitcoin than the hashing equivalent when GPU graphics cards are used but power consumption for FPGA mining can be nearly an order of magnitude less. At current exchange rates and difficulty levels. the dual-FGPA board will produce just under 0.12 BTC per day, which is worth about $1.22 USD. Calculated using the typical U.S. residential rate the cost of electricity to run the two FPGAs for a day is under $0.04 USD, or about 3% of revenue. For comparison, when GPU graphics cards are used for mining in regions where electric rates are high the cost of electricity can exceed half the miner’s revenue.
Though mining profitabilty is near all-time lows, these levels are still high enough that FGPAs are not yet price competitive due to the higher hardware costs involved. At the same time, this board just brought FPGA mining one step closer to becoming a significant competitor to GPU mining. Those likely to be the early adopters will be those hitting total power consumption limits, those running out of space and those unable to sufficiently remove the heat produced when mining with GPUs.
Just released was the Open Source FPGA Bitcoin Miner software. This miner allows bitcoins to be mined using a commercially available FPGA board.
FPGA boards consume much less electricity compared to GPUs for the hashing work performed when mining bitcoins.
FGPAs might have a MHash/J performance level around 20 or more whereas the most efficient GPUs are closer to about 2 MHash/J.
There are fears that FPGA mining will force miners using GPUs today to either pivot and switch to FPGA mining for their operations or to abandon mining completely when the efficiency disparity makes GPU mining uncompetitive.
Those fears are likely unwarranted just yet though. The cost of the equipment and not the cost of electricity continues to be the primary concern affecting miner’s decision on whether or not to add capacity.
Using commercially available FPGA boards to attain a certain level of hashing can require investment several times that required for a GPU-based equivalent.
Though a less costly FPGA board designed specifically for bitcoin could be built, there are no sources for such a product yet — at least not commercially.
GPU Mining Still Profitable And Still Growing
It will likely be many months yet before the FPGA would even start to displace the GPU as the technology responsible for significant increases to the mining difficulty measure.
GPU miners have been able to reach the breakeven point, on a per-dollar invested basis, within a couple months after bringing new capacity online. Thereafter a decent profit continues to be returned though the profitability level can decline steadily with each subsequent increase in difficulty when there is no matching increase in the bitcoin exchange rate as well.
The Bitcoin network has continued to see capacity come online at an unprecedented and torrid pace — over 30 GHash/s of capacity was added each day during the most recent difficulty adjustment period, for example.
Because of the recent run-up in the bitcoin exchange rate mining is generally considered to be very profitable at the present time. It will remain highly profitable until either the exchange rate drops or the difficulty level increases significantly as the result of additional mining capacity being procured and brought online by miners seeking those profits.
With so many miners active now, the global supply of GPU hardware has become constrained. Even used GPUs found on eBay, for example, are becoming difficult to find. If the now-discontinued ATI HD 5870s and HD 5970s were still sold, or AMD were able to keep up with demand for the AMD HD 6990s, the difficulty increases would likely be even greater than what is being seen now.
FPGA’s Edge
Even though the FGPA solution is extremely expensive relative to its GPU equivalent, FPGAs are widely available commercially. If the bitcoin exchange rate were to spike further, FPGA mining may be about the only option for being able to add any significant amount of mining capacity.
The higher power efficiency that an FPGA provides is not just a factor for comparing the cost of electricity to mine but also when other factors are considered.
The total amount of electricity consumed by a miner with a GPU mining rig or two will add up quickly. Individual miners are already popping breakers after exceeding limits on the amount of current available from household circuits used when mining with multiple GPUs in a single rig even. Those with multiple rigs are finding limits to the amount of electricity fed to the property as well.
When power consumption limits are a constraint, then the FPGA with its significantly higher power efficiency might be the only method to increase mining hashing capacity.
Residential electric rates are often tiered to encourage conservation. As a result the incremental rate for mining starts at the most expensive tier for the household. Individuals mining from their homes should be the biggest beneficiaries from having an efficient FPGA alternative but the equipment’s high cost will remain a major limiting factor, as will the technical skill level necessary for FPGA mining.
Further out, if the exchange value of bitcoin rises much further the numbers begin to approach the level where building and producing an ASIC design might become feasible.
If or when that happens, then the clock counting the days left for GPU mining can start ticking.
FPGA LOGi Family Bitcoin Mining Application
FPGA LOGi Bitcoin Mining Application
Foreword: This project allows users to easily experiment with and discover the inner workings of mining on a low cost multi-purpose platform. Note that there are currently much faster and more powerful options available for bitcoin mining including FPGA arrays and ASICS. The purpose of the article and project is simply to introduce to the processes and algorithms used for bitcoin mining, not to make money. The knowlege, algorithms and processes can be taken to larger scale platforms if the user wishes to seriously pursue bitcoin mining
logi-mark1-bone-beaglebone-pi-arduino
Bitcoin
So what is bitcoin? Bitcoin is an experimental, decentralized digital currency that enables instant payments to anyone, anywhere in the world. Bitcoin uses peer-to-peer technology to operate with no central authority: managing transactions and issuing money are carried out collectively by the network. Bitcoin is designed around the idea of using cryptography to control the creation and transfer of money, rather than relying on central authorities [1]. The more interesting aspects of bitcoin mining are in the details of the intricate protocols and algorithms being used that make up what is quickly being adopted as a new digital currency. Part of the beauty of the bitcoin protocol is that it uses technologies including encryption, hashing, client to client communication, all of which scream out for an FPGA implementation.
Mining
Most of the work involved in bitcoin transactions is in the mining. The key part of the transaction is in the verification process that authenticates the bitcoin transaction. The verification process awards effective bitcoin nodes (or "bitcoin miners") with a limited release of bitcoins and the transaction fees (if any). This process requires intense computing power, electricity, and significant investment as it solves hashes through brute-force to verify transactions and add them to the network's transaction log [1]. So part of the fun of mining is getting a reward equivalent to hard cash money! You might have noticed the words brute force and solving hashes. These are two more keywords that are just asking for an FPGA.
Algorithm
The process of bitcoin mining is no minor feat and this is why FPGA’s have been widely adopted for the task. T he mining process, or proof-of-work process, involves scanning for a value that when hashed, such as with SHA-256, the hash begins with a number of zero bits. Once this hash has been found, the block can be considered as being solved and the transaction can be verified. The average work required is exponential in the number o f zero bits required and can be verified by executing a single hash [2]. You can go through the links below to see more details about the processing, but the bottom line is that you are looking for a diamond in the rough. So, get to that number crunching, as the faster you crunch the numbers the sooner you will have a chance to wield that bitcoin cash earned by the work of that handy dandy FPGA.
The reality of solving a “block” or successfully mining the correct hash is becoming harder and harder with the advent of bigger and better processing work horses. The trend has gone from crunching the numbers on high end FPGA’s to now being able buy a custom ASIC which is designed to increase the total number of hashes/sec calculated while reducing the power requirement from that of running PC’s, GPU’s or FPGA’s. But this should not discourage you from getting started with an FPGA, as there are now pools of miner’s which all work together to solve the “block” and then share the loot with all who were working on it. So, even the humble 2.5 Mega hash/sec, as found in this project, can get you in the game. You will have bragging rights of be saying you did it, but it probably won’t ever get you rich.
The bigger motivational factor should be to do it because you can. There is only one place to start in learning to work with FPGA’s and create cool and interesting projects. My vote is to start off with the basics, learn to work with a basic FPGA, learn the algorithms involved that have the potential of making you some digital cash, and most importantly have fun while you’re doing it!
LOGi Family Bitcoin mining Application
The FPGA LOGi family has support for a bitcoin mining application that will get you up and running with a fully operational bitcoin miner in 10 cubic inches of hardware. The current hardware supported is the LOGi-bone in conjunction with the Beaglebone. You can simply extract and run the packaged application code or open and explore the open source project yourself, learn it, make modifications and then build and run your own custom version. After getting the application running, don’t forget to sit back and think, I just created my own bitcoin mining rig!
This mining project is based upon an existing open source hardware project that was customized and built to work on the LOGi family and Beaglebone. The project was created by Jonathan Piat. The LOGi team looks forward to porting the project to run on the LOGi-Mark1 and allow interfacing the Beaglebone, Raspberry Pi. When you are finished with the bitcoin minig project, don't throw out the board move onto the many other cool projects that the LOGi Family boards are capable of running, such as plug and play machine vision. Quadcopter, autonomous robot and many more. The LOGI team plans to continue working to make these projects as plug and play as possible, as was done with the mining application.
Running the Demo:
This demo shows how one can build a low power self contained mining platform using a Beaglebone and the Logibone cape. In this demo the Beaglebone executes a python client that Communicates with the mining pool to get share information and submit hashing results. A python class provides the interface to the Logibone to easily get/send information from/to the FPGA. The Logibone cape uses the GPMC interface of the Beaglebone and thus appear in the Beaglebone address space as a set of registers. These register provides information about the hashing status and an interface to write the share and read the result.
To run the demo:
1) Extract the logibone_mining_demo.tar.gz file to the beaglebone
2) Extract the tar.gz file (tar xzf logibone_mining_demo.tar.gz)
3) Go into the logibone_mining_demo folder
4) Add execution mode to the make_demo.sh script (chmod 777 make_demo.sh)
5) If you are running Ubuntu, edit make_demo to uncomment the “apt-get” lines and
comment the “opkg” lines (by default the demo runs on Angstrom)
minutes and the cape Led should be blinking)
Note: You will need to configure each mining worker to participate in a bitcoin mining pool You be given worker registration information username and password for each worker that can be used to configure your mining worker. There are many mining pool sites which can be referenced here: http://mining.bitcoin.cz/
![bitcoin miner hardware.[read]](http://s019.radikal.ru/i630/1402/b2/b13f7a6d31f3.jpg "bitcoin miner hardware.[read]")
![bitcoin miner hardware.[read]](http://s52.radikal.ru/i137/1402/e5/481cee165cc4.jpg "bitcoin miner hardware.[read]")
