What is bit/litecoin? How does it work?

[Trail Mixorz]

I hear about people "mining" all the time on their computers and making second computers just to mine for bit coins or lite coins. I hear people making good money or some money off of this and I'm just now starting to get really interested, but I still have no idea what this does and how it works. What is mining? and does it get you more coins or increase the value? Is it very internet greedy, like how do you guys even play games online while you're mining? Or does it not use a lot of internet? How much electricity does it use? Will you be earning enough to pay off the bill? What is the current price for litecoins? I know bitcoin just dropped to like 700 USD or something. And say you get a lot of litecoins or a bitcoin or something, how can you use them, I know AMD is accepting bitcoin, what about litecoin? If someone could answers these questions for me, it would be great.

[CwGoh]

https://www.youtube.com/watch?v=3LOovTQCNxI

[wng_kingsley7]

So alike "real"money it is a virtual based currency that can shift values. It can be traded for more or less depending on the value and mining rate. It's sort of the same as litecoin although litecoin is significantly less in value but the quantity is much larger.

[SirRoderick]

So alike "real"money it is a virtual based currency that can shift values. It can be traded for more or less depending on the value and mining rate.

Real money shifts value just as easily. Bitcoin is extremely similar to national currencies.

[Trail Mixorz]

https://www.youtube.com/watch?v=3LOovTQCNxI

Will check out when I get home from work

 

So alike "real"money it is a virtual based currency that can shift values. It can be traded for more or less depending on the value and mining rate. It's sort of the same as litecoin although litecoin is significantly less in value but the quantity is much larger.

Ah okay, I guess I get that part now, but what is mining? Is it just free money if you wait long enough?

 

Real money shifts value just as easily. Bitcoin is extremely similar to national currencies.

Well I don't think it's that similar, it dropped 500 dollars yesterday

[wng_kingsley7]

Real money shifts value just as easily. Bitcoin is extremely similar to national currencies.

True but you may've misunderstood what I had wrote. Not talking about real money as the subject topic isn't focus on that area.

[SirRoderick]

Well I don't think it's that similar, it dropped 500 dollars yesterday

It's much less stable than the USD, seems pretty darn good compared to the Zimbabwe Dollar.

[rhyseyness]

Read this:

http://linustechtips.com/main/topic/10886-introduction-to-bitcoins/

[tobben]

as rhyseyness said there is a stickie in this very section of the forum with some basic reading for this very purpose, and maybe 50 threads asking about coin mining, also as for making a profit power consumption etc .. it depends on the hardware and location.. namely it depends on you, so it depends on what you got, how much you are paying for power, your internet connection etc.. maybe you can revisit this thread with some more specific questions and deatils after some light reading.