What is Bitcoin

The Beginners Guide to Bitcoin

Curious about Bitcoin? You probably are if you have seen news about Bitcoin and other cryptocurrencies on the rise. Many individuals today are thinking of investing in Bitcoin since they know that they get a lot of profits from it. But Bitcoin is not the only cryptocurrency that you’ll find online. But this is where you will start understanding how cryptocurrencies emerged and why it will become the currency of the future.

Early beginnings of Bitcoin

Bitcoin emerged back in 2008 right after the event Occupy Wall Street wherein big banks were accused of misusing the money of the borrowers, rigging up the system, duping their clients and even charging mind-boggling fees. A handle, by the name of Satoshi Nakamoto published on cryptography forums what is known as The Whitepaper.

The whitepaper outlined a network where the seller had the right in charge, take out the middleman, make transaction transparent and cancel out and cut interest fees, and hack corruption. The result of these all was the decentralized system, wherein people can control their funds and know exactly what is going on.

Bitcoin was an absolutely ingenious invention which created the backbone for a new type of internet by allowing digital information to be distributed but not copied.
Since its creation, Bitcoin has operated without any significant disruptions which is a very formidable proof of concept. (To date, any of problems associated with Bitcoin have been due to hacking or mismanagement. In other words, these problems come from bad intention and human error, not flaws in the underlying concepts.)
It was originally created for the digital currency, Bitcoin however it is much more than that today and is being used by tech companies across the globe in a plethora of projects.
Bitcoin the “digital gold” has a total currency value of near 42 billion US. Blockchains aren’t limited to this framework however and can make other types of digital value. Like the internet you don’t exactly need to know how it works to use it. However, it is always better to have at least a basic knowledge of any technology you wish to be involved in to understand why it’s considered revolutionary.

Bitcoin, ever since its inception, have come a long way. Bitcoin is no small player. You’ll see various companies accept this currency. Even billion dollar businesses such as Microsoft, PayPal, Expedia and Dell accept it, too. Websites even promote it, even big time publications like the Bitcoin Magazine publish relevant news about the cryptocurrency itself. They open up forums where traders discuss about it. It comes with its own application programming interface, exchange rate and price index.

Word of the wise

It does sound very complex and perfect, but there are also problems with Bitcoin, too. You’d find thieves that hack accounts, transaction delays and high volatility. But taking a look at it on a positive perspective, you’ll find that third world countries can get high benefits with Bitcoin since it can become their most reliable method for receiving or giving money.

Here is a little warning for those that are interested in investing and trading with Bitcoins should keep their guard up since Bitcoin is a notorious den for scams. Before you use any service, make sure you take a look at their reviews from past customers or you can ask for verification by posting questions in the Bitcoin Forum.

As revolutionary as it sounds, Blockchain truly is a mechanism to bring everyone to the highest degree of accountability. No more missed transactions, human or machine errors, or even an exchange that was not done with the consent of the parties involved. Above anything else, the most critical area where Blockchain helps is to guarantee the validity of a transaction by recording it not only on a main register but a connected distributed system of registers, all of which are connected through a secure validation mechanism