Last updated on January 2nd, 2018 at 12:00 am
What is Bitcoin
There are so many interesting facilities available to the masses today that it is almost impossible to keep up with all the latest ones. Among these is the bitcoin phenomenon, which is currently taking the world of transactions by storm! Granted, it is not yet widely known or popular, as most people still question what is bitcoin? It is hoped that the following information will shed more light on this new and convenient transaction style.
History of Bitcoin
What is Bitcoin’s History? Some of the more popular and widely used almost “free” facilities online would be facilities such as email and Skype. While there are many other equally popular platforms available, these two are perhaps by far the most popular due to the obvious “free” connotations attached to them. Similarly, the bitcoin is basically a new form of money transaction style minus all the usual fees.
What is Bitcoin Video
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MUST READ: What is bitcoin mining
This decentralized style uses the electronic currency platform that is not in any way controlled by banks, finance houses or governments of any kind. Being of the open source project design, it is now gaining popularity as the ultimate exchange platform, where the changes are so minimal it is certainly insignificant when comparisons are made.
What is a Bitcoin Transaction? Bitcoin is generated through the free running applications using the bitcoin miner. This allows for the total amount available to always be predictable and limited. The digital coins are sent via the internet whenever there is a need to make a transaction.
All transactions are considered to be direct as it functions on a person to person arrangement, conveniently leaving out the “middleman” and the fees usually charged. The middleman which is usually the banks or other charge house facilities can be linked to any number of typically unnecessary fees and delays.
Those using the bitcoin style for transactions happily note that there is no limit to its reach, as almost every country in the world is part of the available network.
Terms such as digital wallet, block chain and exchanges are all common to this transaction style. Storage is done in a digital wallet, which is very similar to the online banking facility already available and widely used by many. Where banks and credit cards were formally a popular mode for facilitating financial transactions, most are now making the switch.
How to Use Bitcoin
Once there is enough stored in the digital wallet, any transaction can take place. The verification is done by the bitcoin miner and stored permanently until a further need arises. It encompasses a completely open source and anyone can review the code when necessary. When the transfer is done, an electronic signature is added which is then verified again by the miner.
The Economics of bitcoin
What is Bitcoin Economics? Bitcoin is also considered by many as a better bankable transaction tool as it does not depend on, or is subject to, any fluctuations in inflation, economic disruptions and the other buoyancy factors. It is by far a more efficient transaction tool than most other competing currencies in the market today. Eventually, it will be as widely accepted, similar to the way computers are today. As an indispensable tool, it will eventually gain a better and wider usage base, thus forcing other similar transaction platforms to reconsider their almost always outrageous fees.
By using this style of transaction all small businesses and freelancers can enjoy better and wider customer base potentials, as the acceptance of it does not require any “red-tape” for any participating party. Many who are currently using this type of transaction have attested to being able to enjoy additional business from the bitcoin economy.
This article on “What is bitcoin” is still not clear to you? Try wikipedia’s definition of bitcoin.