SHA 256 is a kind of hash function related to cryptography which takes up the input having randomized size to generate an output which is of fixed memory size. The reason why the cryptographic hash functions have become so powerful is – they are mapped only one way! In general terms, what the above sentence means is that – it is quite possible for a person to deploy a hash function to generate certain output depending upon the input; but, if the process is done vice versa, that is to say – if we try to generate the input depending on the output; then it is impossible. The algorithm SHA 256 is powerful enough to be deployed for the tedious task of Bitcoin mining. SHA 256 algorithmic hash function is taken in use by the network of Bitcoin for the purpose of creation of addresses of Bitcoin as well as for mining of Bitcoin. Mining is that process in which new crypto currency tokens are added to the already existing money supply of any crypto currency; and, in this case we are talking of Bitcoin. The whole process of crypto currency mining and in this case of Bitcoin mining can be summarized as – a person intending to add Bitcoin into the already existing supply of Bitcoin network introduces a block to the blockchain of Bitcoin. The next step involved is the verification of the added block – which takes into consideration the rules of proof of work. The proof of work verification is necessary to be done so that fraudulent blocks could not be introduced into the system of Bitcoin. In the process of proof of work verification, computation of hash values of the added blocks are generated by using the algorithm of SHA 256 and is checked by already defined rules of Bitcoin crypto currency. If the verification of the generated block is successfully done then this block is to be added into the network of Bitcoin.
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