What is bitcoins ?
Bitcoin is a new currency.
It was formed in 2009 by anonymous person using the Alias Satoshi Nakamoto. Transactions
are made with no middle men – meaning, no banks! Bitcoin can be used to book
hotels on expedia (flight, hotels, cars, airlines), shop for furniture on
overstock and buy Xbox games. But much of the plug is about getting rich by
trading it. The price of Bitcoin skyrocketed into the thousands in 2017.
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 business
may like them because of no credit card fees. Some people just buy Bitcoins as
an investment hopes to may grow up value.
Many marketplaces called ‘Bitcoins
interactions’ allow people to buy or sell Bitcoins using different currencies. Coin
base is a leading exchange along with bitstamp and bitfinex. But security can
be a concern: Bitcoins worth tens of millions of dollars were stolen from
bitfinex when it was hacked in 2016.
People can send Bitcoins to each
other using mobile apps or their computers. It’s similar to sending cash
digitally. People compete to “mine” Bitcoins using computers to solve complex
math puzzles. This is how Bitcoins are created. Currently a winner is rewarded
with 12.5 Bitcoins roughly every 10 minutes.
Bitcoins are stored in a “Digital
wallet”, which exist either in the cloud or on a user’s computer. The wallet is
a kind of virtual bank account that allows users to send or receive Bitcoins,
pay for goods or save their money. Bitcoins wallet not insured by the FDIC.
No comments:
Post a Comment