The mega-coin, Bitcoin, made its first mark on the web in 2008. No one, even its creator, could have expected the success it has embarked on to the present day. Especially during the past year, it has grown tremendously in popularity. Here, the Bitcoin basics are covered for all interested in this cryptocurrency giant.
Who Created Bitcoin?
Although the identify is not confirmed, and probably never will, the virtual name of Satoshi Nakamoto is known to be the inventor of Bitcoin. It was brought out as an open source way of exchanging digital currency. In other words, it was a small solution to not use central banks. Even if we do not truly know who Satoshi is, the goal of establishing code as value and keeping it open to all is clear as day.
Is Bitcoin Real?
It is as real as we give anything value to. In comparison, people only give value to precious metals on Earth because there is a finite amount of them. Any resource, that is seemingly scarce has greater value. This includes Bitcoin as well. The short answer is yes – Bitcoin is real currency.
In today’s world, virtual currency is just as real as minted currency, real estate, metals, and other things we assign value to. Money only exists to our consciousness. So, if it’s real to us, then Bitcoin is real.
How Is It Used?
It all started in August of 2008, but was never traded until January 3, 2009. According to 99bitcoins.com, the first “Genesis Block” marked the start of Bitcoin’s history. Since then, it has been used as the means of countless online transactions across the world. It can even be used in participating brick and mortar businesses nowadays. Check out where Bitcoin is accepted around you. You might be surprised you can purchase your next hot and fresh restaurant meal with a little bit of Bitcoin.
Can Anyone Get Bitcoin?
Anonymity is a solid factor as to why many flock in the masses to partake in the fun. Anyone, anywhere, on the Internet can obtain Bitcoin. Also, it does not support the inherent madness of the central banking system.
Moreover, anyone can participate in the mining of it. Bitcoin’s popularity has shot off so much in the past few years that it is vital to mine in teams. It simply is not profitable enough for most people to mine alone. Teams create a greater chance to strike in on some of the earnings. The point of mining is to provide a temporary platform for Bitcoin buying and selling to take place. It is a server where the transaction can actually happen.
What Is a Bitcoin Address?
As previously mentioned, a cryptocurrency wallet is needed to start using Bitcoin. This acts to generate a unique, personal Bitcoin address. The address itself is similar to an email address, but this time money is being sent or accepted. Similarly, it opens a doorway for one exchange between two parties to take place. Keep in mind, however, Bitcoin address are only safe and secure to use once. To stay safe through online crypto transactions, make it a habit to rinse and repeat your Bitcoin address process. Of course, you keep the same wallet for as long as you please, but feel confident that you can produce new Bitcoin addresses whenever needed.
Why Is Bitcoin So Volatile?
The nature of Bitcoin is explosive because of the weight that it holds when it takes a seemingly “small” step. To be clear, only a few people truly obtain the majority of Bitcoin around the market. Therefore, whenever one of these Bitcoin sharks take a wild turn of trade, it heavily impacts the value of it. As simple as it can be explained, supply and demand are the true cause for the crypto titans’ trades affecting the market.
Small Businesses and Bitcoin
In an ever-increasing amount, small businesses are becoming involved in accepting Bitcoin. As stated previously, it is quite likely you can find a local restaurant that accepts Bitcoin as a method of payment. Furthermore, it is a way to extinguish the traditional approach to commerce. According to Braden Perry, of Kennyhertz Perry, a law firm in Kansas City, Mo., “Our willingness to accept bitcoins is more of a philosophy of our firm, as far as supporting our clients and supporting entrepreneurial types of businesses”. It is clear that a stand against the collapsible dollar is being made. In a way, small businesses can feel the crushing effects of an economic decline. Having a outlet away from tradition can provide relief by using Bitcoin.
The only way to truly experience if Bitcoin would work for you is to embark on a journey to use it. If you already joined in on the Bitcoin party, keep finding ways to improve on what you are finding success or failure in. Keeping up-to-date on what you need to know about cryptocurrency, including Bitcoin, is a great start.