Bitcoin is a virtual currency to be issued in 2009 by a mysterious person Satoshi Nakamoto use pseudonyms. Transactions are made without through intermediaries. Therefore no transaction fees and no need to provide their real names.
Many enterprises begin to accept the use of Bitcoin, you can even use them to buy pizza. However you need to have a wallet for storing software, as well as track your spending power. Alternatively you can purchase Bitcoin exchanges through online or at ATMs.
Bitcoin can not print as cash – they are created by a computer system globally. Scale networks are expanding the power of supercomputers to participate.
It was the first example of an anonymous currency which we collectively Cryptocurrency, they become more attractive because of the anonymous user and can not be controlled by the government.
Principle of operation of Bitcoin like?
Value of Bitcoin and other currencies, as determined under the law of supply – demand. For transaction processing, computer systems must perform a procedure – called digging Bitcoin. Including decrypting a mathematical equation and give answers to 64 characters.
When the problem was successfully decoded, a BTC block includes information transactions which will complete the processing. Miners will be rewarded with a coin output from the computer network for his achievement. Difficulty increases with each problem will cycle to ensure new coin always be created every 10 minutes.
More than 16 million existing BTC of 21 million in supply. The training will become more difficult, estimated to total 21 million in 2140, it can dig up.
The currency can be subdivided into several subunits. 1 BTC 100 million Satoshi – Satoshi is the smallest unit of Bitcoin, is named after the founder.
What is Bitcoin wallet address?
Bitcoin users store via an address for – include an address about 27-34 letters and numbers. This address is used to send and receive BTC. No one can know the IP address associated with the individual. Each person using the address Bitcoin possess their own Bitcoin wallet, probability to duplicate Bitcoin address is 1e-48%, that the duplicate address is completely impossible.
Bitcoin virtual currency can be?
Currently if you go talk to 10 people about Bitcoin, definitely people will say that 9 is a copper “virtual money”. 9 people 9 people that is certainly never learn carefully about what Bitcoin is and make sure they do not have a chance to read this article.
The essence of the word “virtual” is something that is not true, no value, so with this call can be confusing and make people misunderstand the value of Bitcoin.
So, if not real, “virtual” so why now there are people who buy cars with BTC, BTC home buyers with …? In summary value is a pretty subjective concept and can it worth to us, but not with your values, values can change over time.
The value of anything that is also generated by the law of supply and demand, for example, if you spend a specific amount of money to buy an item, you should always consider the item more valuable. Conversely, the seller re-considered new money they receive value.
With Bitcoin, too, it’s worth it or not depends on the understanding of each person and in each different time. In 2013, 1 BTC is only equivalent to about 117 USD because at that time no one cares about it, very few people use and ownership of this coin. However more and more people are interested in, the more you learn and realize the benefits of it, the demand for higher Bitcoin property, so its price will rise in the future.