Graphics cards (GPUs) are commonly used in cryptocurrency mining because they are highly efficient at performing the complex mathematical calculations required to validate transactions on the blockchain. In cryptocurrency mining, miners compete to solve cryptographic puzzles, and the first one to solve the puzzle gets to add a new block of transactions to the blockchain and receive a reward in the form of newly minted cryptocurrency coins.
GPUs are well-suited to this task because they excel at parallel processing, meaning they can perform many calculations simultaneously. This parallel processing power allows miners to solve these cryptographic puzzles more quickly and efficiently than other types of hardware, such as CPUs (central processing units).
While it may seem like currency is being "made up," cryptocurrency mining serves the essential purpose of securing and maintaining the decentralized nature of blockchain networks by validating transactions. Miners contribute their computational power to the network in exchange for the opportunity to earn cryptocurrency rewards.
