What is Bitcoin?

Here’s What You Should Know about Bitcoin

Here’s What You Should Know about BitcoinAt the time when internet came, every person who got their hands on this technology thought that it was the max level the world of technology and communication could achieve. People had experienced almost everything by that time. They were able to communicate with each other overseas without the need of travelling or spending any extra cash to buy tickets or send gifts to one another.

Many of the world’s trades such as stocks, commodities and indices etc. had also expanded their wings into the online trading platform. While the entire world had started to settle down on the available facilities and services offered by the online platform, a mysterious figure emerged out of nowhere. This entity was none other than Satoshi Nakamoto, who still remains a mystery for the entire internet community. He presented the idea of a new online platform on a white paper that had the potential to change the course of online financing and money making. It was a platform not bound to any third party or governing body.

The idea that Satoshi Nakamoto shared with the online community was a currency, which would not be in paper form but would exist in the electronic financial system. Satoshi’s main objective behind the creation of Bitcoin was to introduce a decentralized currency. It would provide users the opportunity to make transactions both inside and outside their countries by incurring fees that were way less than they had to pay through the old payment methods.

Bitcoin is a decentralized currency that is not present in a physical form. It is not regulated by any government or bank. They are non-physical coins that the users can store on the public ledgers, which are accessible by all other users, giving them complete transparency. These ledgers are in place to store the transactional information as well as the identity of the user in the form of pseudonyms and go through verification phase. This is unachievable without the help of a large amount of power generated through the computers and GPU(s).

Although, the Bitcoins (BTC) are not backed up by any Government or Regulating body, even then they have amassed so much popularity, following and investments that the Bitcoin (BTC), by many is considered to be the largest currency in the world economy one day. The Bitcoin (BTC) transactions flow from one peer to another peer and can be acquired through mining.

Once acquired, the users can use the earned coins to buy, sell or trade it with other online stuff just like the traditional currencies. When a person initiates a transaction, it gets verified through the network nodes with the help of cryptography. After that, it gets recorded into the public distributed ledger, commonly known as the blockchain.

There are now many cryptocurrency exchanges and trading platforms like Neuer Capital (read my Neuer Capital review here)  where the users can set up their accounts and start buying, selling and trading Bitcoins (BTC) with other cryptos. These exchanges can also help the users to exchange coins with USD, EUR, GBP or other Government issued currencies as well as buy products or acquire services through websites that accept Bitcoin (BTC).

From the time of its launch until now, Bitcoin (BTC) has managed to stay in the spotlight. It is discussed among the most senior economic and market analysts who are also surprised with Bitcoin’s (BTC) capability of challenging the value of the Government-Issued currencies. Even though Bitcoin (BTC) has been announced 382 times since its launch, it still tends to surprise the entire world by always taking a deep dive with respect to its value and then bouncing even higher.

Being of the highest value and most volatile cryptocurrency in the entire world, Bitcoin (BTC) has set its goal towards being the largest currency in the world. So far, it has earned the sixth spot by overtaking Russian Rubles. At present, the Bitcoin (BTC) price resides at $10,786 (per Bitcoin) and according to many expert analysts and economic figures, it will cross the $19,000 benchmark for good.