Bitcoin – A New Decentralized Digital Currency
Bitcoin (btc) is a digital currency, regard by many as the future of money. Satoshi Nakamoto invented btc on 2009. He is a Japanese national and was born 1975. BTC is a decentralize currency, meaning no one controls it and since it is digital you can not touch it.
When we talk about anything regabilrding digital it can reproduce or make another copy. When Satoshi Nakamo propose btc, he also solve the double spending problem. Today there are a double spending is when a btc owner spends his 1 btc on a product and then bought another 1 product whereas he only has one btc. To avoid this, btc miners ensure that double spending doesn’t happen, by monitoring the transactions. BTC wallet is use to store bitcoins and other cryptocurrencies.
Bitcoins are produce by computers that solves mathematical equations on a blockchain. Bitcoin mining is a process of solving mathematical equations, when these equations are solved the bitcoin miners are given btc as a proof of work. People who uses their computers for mining are bitcoin miners. They also check and prevent double spending. Since almost every digital product can be re-produce. The number of blocks on every cryptocurrency is limited. The more blocks in the blockchain are solved the harder the equation will be.
“Bitcoin is a technological tour de force.”
– Bill Gates
Today there are a lot of merchants that accepts bitcoins and in fact some banks already accept btc as a real currency. You can use your btc to buy products online or you can pay others that accepts bitcoins for their services. It can also be exchange to USD, Euro or Pound by using currency exchange sites that accepts exchanges for a small fee.
Advantage of Bitcoin
Bitcoin is very convinient for fast and cheap transfer of currency. btc removes the need for a banks, transactions fees comes from it and so does credit cards as well. If you use a bank for a sending money abroad, it will first be process by a bank and you will get a fee for the transaction. It would take days before the money is recive. But if you use btc, you only need to access you wallet and ask the other person wallet address and send. Transaction is comlete after a few confirmations. No fees, safe and transactions are but a push of a few buttons.