Bitcoin price news LIVE – Dogecoin founder thanks Elon Musk for tweet as cryptocurrency market stages comeback

THE founder of dogecoin has thanked Elon Musk for tweeting his stance around the popular meme-based currency.

Musk tweeted that “no one reports” to him due to the decentralised nature of the technology – after he briefly changed his bio to “CEO of Twitter”.

The Tesla founder said in a post today: “Please note Dogecoin has no formal organization & no one reports to me, so my ability to take action is limited”, to which doge CEO Bill Markus replied “Tbhank you for saying this.”

The cryptocurrency market is staging a comeback, with the price of Bitcoin up 5% to $40,331.64 after it suffered its worst week of the year.

The latest plunge was came after China announced another crackdown on coin mining, though more positive news in the space has helped boost the crypto market.

Meanwhile overnight, cryptocurrency prices, including Ethereum, rose by between 10 and 25 per cent on Tuesday.

Read our cryptocurrency live blog below for the very latest updates…

  • HOW DOES CRYPTO-MINING WORK?

    Mining cryptocurrencies is a complex and energy-intensive process, which requires a lot of computer power.

    Bitcoin is one of the most popular cryptocurrencies, and the process for mining it is similar for other coins, including Dogecoin.

    Mining Bitcoin requires a computer solving a difficult mathematical problem with a 64-digit solution.

    For each problem solved, one block of Bitcoin is processed. In addition, the miner is rewarded with new Bitcoin.

    To compensate for the growing power of computer chips, the difficulty of the puzzles is adjusted to ensure a steady stream of new Bitcoins are produced each day.

  • HOW DOES BITCOIN WORK?

    To process Bitcoin transactions, a procedure called “mining” must take place, which involves a computer solving a difficult mathematical problem with a 64-digit solution.

    For each problem solved, one block of Bitcoin is processed. In addition, the miner is rewarded with new Bitcoin.

    To compensate for the growing power of computer chips, the difficulty of the puzzles is adjusted to ensure a steady stream of new Bitcoins are produced each day.

    There are currently about 21million Bitcoin tokens in existence.

    To receive a Bitcoin, a user must have a Bitcoin address – a string of 27-34 letters and numbers – which acts as a kind of virtual postbox.

  • WHAT IS BITCOIN?

    Bitcoin is a virtual currency that was created in 2009 by an unknown computer whizz using the alias Satoshi Nakamoto.

    Unlike physical currencies such as pounds, dollars or euros, which come in physical notes and coins, Bitcoin isn’t printed or minted.

    Instead, Bitcoin tokens are a digital-only form of payment and are created by a computer code.

    If you have invested in Bitcoin, you can set up a virtual wallet to store, keep track and spend your digital money.

    You are also able to purchase Bitcoin through an online exchange or Bitcoin ATM –  but not all businesses accept Bitcoin as a form of payment.

  • HOW VALUE OF BITCOIN HAS CHANGED?

    • 2020: Started at $5,000 before ending the year around $28,000
    • 2021 January: Bitcoin around $36,000
    • February: Bitcoin around $50,000
    • March: Bitcoin around $60,000
    • April: Bitcoin soaring above $62,000
    • May: Bitcoin tumbles to $39,790

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