FinCEN Issues Bitcoin-Friendly Ruling for Miners

-By Milly Bitcoin® – December 27, 2013.

Milly Bitcoin’s Mining Rig

The US Department of Treasury, Financial Crimes Enforcement Network (FinCEN) has issues ruling that clears up an issue for Bitcoin mining. The issue involves whether someone who mines Bitcoins for themselves can trade them for cash at an exchange or spend them directly […]

Bitcoin Blockchain – The Longest Chain Wins

-By Milly Bitcoin – October 27, 2013.

The Bitcoin “Blockchain” is the database of Bitcoin transactions. It is basically a ledger and all Bitcoin balances can be obtained from it. A section is added to the database about every 10 minutes on average. Each block on the end depends on all the blocks before it […]

Alternate Uses of the Blockchain Using Merged Mining

By Milly Bitcoin – June 9, 2013

There are currently several alternate uses of the Bitcoin blockchain. these proposals include using the Blockchain as a notary service (for instance, proof of existence splits a hash into 2 pieces and creates unspendable output. Bitcoin Time Stamp does something similar but transforms the hash into valid transactions). […]

FinCEN Ruling Requested for Bitcoin Mining

By Milly Bitcoin – June 2, 2013

Atlantic City Bitcoin has requested an administrative ruling for Bitcoin mining. The US Treasury, Financial Crimes Enforcement Network (FinCEN) issued guidance on virtual currencies a few months ago. FinCEN also recently seized bank accounts of a company owned by Mt. Gox, the largest Bitcoin exchange.

Previously FinCEN responded […]

Bitcoin Mining Profitability – An Example

By Milly Bitcoin – May 26, 2013 – Updated Regularly with New Data

There is quite a bit of hype about Bitcoin mining and the profitability. This post will track the profitability of ordering Avalon ASICs Bitcoin Miners. Keep in mind that the situation changes rapidly and ordering a Bitcoin miner has generally involved making […]

What Problem is Solved by Bitcoin Miners?

By Milly Bitcoin – May 16, 2013

One of the most common questions about Bitcoin mining. What are they doing? What problem are they trying to solve? Can it be solved with pen and paper? Are they wasting resources? Are they using the computer power to hack something?

The problem being solved involves cryptography. To […]