Over time, bitcoins have become a well-known and popular form of currency. But what exactly is Bitcoin? The following article will review the entries and exits of this coin that appeared out of nowhere and spread like wildfire. What makes it different from normal coins?
Bitcoin is a digital currency, it is not printed and never will be. They are maintained electronically and no one has any control over them. Produced by people and companies, creating the first form of money known as cryptocurrency. While normal currencies are seen in the real world, Bitcoin runs through billions of computers worldwide. From Bitcoin in the United States to Bitcoin in India, it has become a world currency. However, the biggest distinction it has from other currencies is that it is decentralized. This means that no specific company or bank has one.
Who created it?
Satoshi Nakamoto, a software developer, proposed and created Bitcoin. He saw it as an opportunity to have a new currency in the central authority’s free market.
Who prints it?
As mentioned above, the simple answer is no one. Bitcoin is not a printed currency, but a digital one. You can even make online transactions using Bitcoins. So you can’t produce unlimited bitcoins? Absolutely not, Bitcoin is designed to never “extract” more than 21 million bitcoins in the world at once. Although they can be divided into smaller quantities. One hundred millionth part of a Bitcoin is called “Satoshi”, in honor of its creator.
What is Bitcoin based on?
For appearances primarily and for conventional use, Bitcoin is based on gold and silver. However, the truth is that Bitcoin is actually based on pure math. It also has nothing to hide, as it is open source. So anyone can examine it to see if it is running the way it intends.
What are the features of Bitcoin?
1. As mentioned above, it is decentralized. It is not owned by any specific company or bank. All the programs that extract bitcoins form a network and work together. The theory was, and it worked, that if a network goes down, money will still flow.
2. It is easy to set up. You can set up a Bitcoin account in a matter of seconds, unlike large banks.
3. It is anonymous, at least the part that your Bitcoin addresses are not linked to any kind of personal information.
4. It’s completely transparent, all transactions that use Bitcoins are displayed in a large graph, known as a blockchain, but no one knows it’s you, as there are no names connected.
5. Transaction fees are tiny and compared to a bank’s fees, small and rare Bitcoin fees are almost useless. It’s fast, very fast. Anywhere you send money, it will usually arrive within minutes after you process it.g. It is not repudiable, that is, once you send your bitcoins, they are gone forever.
Bitcoin has changed the world tremendously and how we view money. Many people wonder if it is possible to make a living from Bitcoins. Some have even tried it. Still, Bitcoin is part of our economy now, a unique type of currency and will not go away any time soon.