What exactly is Bitcoin?

Starting off with the amazing fact, The creator of Bitcoin is still unknown. It was started in 2009 by a person using the alias Satoshi Nakamoto.

Bitcoin is a currency that does not have any physical appearance but has a digital value (Digital wallet like PAYTM).
Unlike a country’s currency that is regulated and managed by a Bank, Bitcoin has no middle man- meaning no-bank.
There is absolutely no transaction fee and also no need for giving one’s name. It works on an ID and a Password that does not require any other details.

Bitcoins can be used to buy merchandise anonymously. In addition, international payments are easy and cheap because bitcoins are not tied to any country or subject to regulation. Small businesses may like them because there are no credit card fees.

Bitcoins, unlike any other currency, are bought on the stock exchange and hence the value in each Bitcoin changes as stock market of Bitcoin changes. (The reason why people of bought Bitcoins in 2009 are now rich).

Also one of the reasons why bitcoins are getting so much hype is because buying of items does not reveal your name, it just reveals your transaction ID, even though everything is recorded in the public log. Buying of illegal items like drug and medicines have taken a huge boost with this currency.

Is Bitcoin safe?

Bitcoin’s core protocol is viewable by anyone, has been vetted by thousands of security researchers around the world, and has proven to be robust and reliable under immense scrutiny the block chain are enforced with cryptography.

How does Bitcoin mining take place?
The bitcoin network deals with this by collecting all of the transactions made during a set period into a list, called a block. It’s the miners’ job to confirm those transactions and write them into a general ledger in return the miner gets a reward in terms of his own Bitcoin because of the reward a ton of people are creating a block of transaction details making it absolutely transparent and away from fraud.

Until of 2016, a total of 700GB of transaction details has been kept by the ledgers making it completely transparent and away from any organization.
And as of today, 1 Bitcoin has a value of  RS. 301996.94 and it started off with 1 Bitcoin equals 10 Paisa.

 

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