BlockChain Bitcoin in SIMPLE WORDS, why video cards are used instead of CPU?

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Bitcoin is the first decentralized digital currency that allows peer-to-peer transfers without any intermediaries such as banks, governments, agents, or brokers, using the underlying technology of blockchain.

As a currency with a maximum supply of 21 million coins, bitcoin is a finite resource, a bit like gold. Like any finite resource, the value of bitcoin is proportional to its scarcity; an inflated supply leads to reduced value. Because of this, circulating supply needs to be managed.

if no one is in control of bitcoin, how can circulation be managed? 

Nakamoto(founder) was aware of this issue when he (or possibly she) first developed bitcoin, so he implemented a protocol called proof-of-work (PoW), which would allow computers from across the world to contribute to the operation of the bitcoin network.

As a reward for these contributions, a predetermined rate of bitcoins would be minted and sent to these computers fro their efforts. Thus, a new type of mining was born, not of precious real-world minerals, but of digital representations of value, unearthed not by shovels, but by central processing units. Proof-of-work (PoW) sits at the heart of how bitcoin mining works. 

Without a centralised decision-making body, how can the blockchain know that the miners are acting properly? The truth is, it cannot. Bitcoin has a fault tolerance of 50%, meaning that as long as the majority of miners are acting in good faith, the blockchain will continue to operate. The Byzantine Fault Tolerance (BFT) of any blockchain system does not just protect against malicious behaviour. If a cluster of mining nodes suddenly goes offline, or is corrupted in some other way, BFT safeguards the wider network.

Why Video Cards are used in mining not CPU?

standard GPU, like a Radeon HD 5970, clocked processing speeds of executing 3,200 32-bit instructions per clock, which was 800 times more than the speed of a CPU that executed only 4 32-bit instructions per clock.

To understand this topic, one needs first to understand following terms: 

A ledger is a book or collection of accounts in which account transactions are recorded. Each account has an opening or carry-forward balance, and would record each transaction as either a debit or credit in separate columns, and the ending or closing balance.

The distributed ledger database is spread across several nodes (devices) on a peer-to-peer network, where each replicates and saves an identical copy of the ledger and updates itself independently. The primary advantage is the lack of central authority. When a ledger update happens, each node constructs the new transaction, and then the nodes vote by consensus algorithm on which copy is correct. Once a consensus has been determined, all the other nodes update themselves with the new, correct copy of the ledger.[4][5] Security is accomplished through cryptographic keys and signatures.

A consensus algorithm is a process in computer science used to achieve agreement on a single data value among distributed processes or systems. Consensus algorithms are designed to achieve reliability in a network involving multiple unreliable nodes

Byzantine Failure — Why Blockchain Development is Difficult 

Byzantine Fault Tolerance  


further details: 

here is the source code with some list of good Readme list.

https://github.com/ajlopez/BlockchainJ  


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