Just like mining in the real world allows us to procure gold, Bitcoin mining allows individuals to procure new Bitcoin units or Bitcoins. This is an inbuilt feature of its blockchain technology that helps in keeping the Bitcoin system decentralized. The individuals who mine the blocks are known as miners.

Bitcoin mining is the process of creating new bitcoins and verifying transactions on the Bitcoin network. Miners use powerful computers to solve complex mathematical problems, known as cryptographic hashes, which validate and secure transaction blocks. This process, called proof-of-work, ensures the integrity and security of the blockchain. Successful miners are rewarded with newly created bitcoins and transaction fees. Mining requires substantial computational power and energy, making it resource-intensive. Over time, the difficulty of mining increases, and the rewards decrease, following a predetermined halving schedule, which limits the total supply of bitcoins to 21 million.