What is Bitcoin?

Bitcoin is a digital currency created in electronic environment and also available in electronic environment. It is not under the control of any institution, organization or person also it is not centralized. Bitcoins are not money generated in banknotes like Dollar or Euro. In addition to this, Bitcoin is the first example of a developing technology, also known as Crypto Coin.

Overview of Bitcoin

Bitcoin can be used to buy something electronically environment by using internet connection. The most important feature of Bitcoin is that it is not the center that distinguishes it from the currencies we know. No institution or no one controls the Bitcoin network.

Who Created Bitcoin?

A software developer whose named was Satoshi Nakamoto has introduced the idea of Bitcoin, an electronic payment system based on mathematical evidence.  The idea is to create a currency that can be transferred virtually instantaneously in virtual environment, at a very low transaction cost, which is not tied or based to any central authority.

Who Can Generates Bitcoin?

This currency is not physically produced by a central bank that does not account for anyone, and puts its own rules. Therefore, the answer is: NO ONE.

Central banks can reduce the value of money by pushing extra money to close the national debt. However, instead of this working system, Bitcoin is digitally created by a human community that everyone has chance to join. Bitcoins are mined by using the processing power of the distributed network. We called this system as “Mining”.

Is It Possible to Produce/Mine Unlimited Bitcoin?

NO. There are only 21 million Bitcoins available which can be produced by the miners for the Bitcoin protocol and the algorithms.

However, these Bitcoins can be divided into smaller pieces. The smallest amount that can be divided is a hundred millionth of a Bitcoin, which is called “Satoshi”, the name of the founder of Bitcoin.

What is the basis of Bitcoin?

The base of traditional currencies is gold or silver. Theoretically you know that if you go to a bank and give 1$, you can buy gold. But basis of Bitcoin is not gold or silver. It is mathematics. Today, people are using software that follows a mathematical formula to produce Bitcoin. Anyone who asks for this mathematical form can easily be reached and controlled.

7 Important Features of Bitcoin

1- Decentralized

Bitcoin network cannot be controlled by a single central authority. Every machine that produces Bitcoins and processes transfers forms part of this network and the machines work together. Therefore, even if a part of the system gets offline for any reason, the flow of crypto money continues.

2- Easy to Get

Conventional banks do all kinds of things for you to open a bank account only. However, there is no this type of thing for Bitcoin. Everyone can create a Bitcoin account in seconds without paying costs or answering any questions.

3- Anonymity

Users can open multiple Bitcoin accounts, and these accounts are not dependent on any other name, address, or other information that reveals the identity.

4- Transparency

Bitcoin keeps details of all transactions made in the system which called as “Blockchain”.

5- Small Transaction Fees

During international bank transfers, your bank may charge you for a fee. Bitcoin does not charge a fee like this.

6- Transaction Speed

You can send money to whatever you want, and when the Bitcoin network approves the transfer process, your money is delivered to the destination within a few minutes.

7- Irrecoverable

It should not be forgotten that if you send a Bitcoin to someone and the recipient does not return it to you, you cannot get it back. It will be gone forever.

How to Buy Bitcoin?

Bitcoin trading takes place through other platforms. There are many domestic and foreign online platforms that provide this service. In addition to this, these platforms offer many options from the credit card to the transponder. You can see how much Bitcoin you can get for the money you send and you buy Bitcoin accordingly.

What Should I Know While Buying Bitcoin?

The first option should be chosen by buyers is investigating the Market Trading Companies. You can try to read user comments on different websites such as BitcoinTalkReddit etc. When you have selected the platform which you want to invest in and created your membership, make sure to activate the 2FA feature.


Leave a Reply