Bitcoin is the new currency, which was created in the year 2009 by the unknown person with the name Satoshi Nakamoto. The transactions are generally made without any middle men – it means no banks! And Bitcoin can also be used for booking hotels, shop for the furniture or buy Xbox games. However, much of hype is of getting rich just by trading in bitcoin investment. Price of the bitcoin skyrocketed in 2017.
Bitcoins are used to purchase merchandise anonymously. Additionally, the international payments are simple and cheap as bitcoins aren’t tied to any other country and subject to any kind of regulation. The small businesses might like them as there are not any credit card fees. There are some people who just buy bitcoins for investment, and hoping that they will go up in huge value.
Lots of marketplaces known as “bitcoin exchanges” generally allow the people to buy and sell the bitcoins by using various currencies. And Coinbase is the leading exchange and many more. But security will be the main concern: the bitcoins worth millions of dollars can get stolen, so you need to be very careful.
People will send bitcoins to one another by using their mobile apps and their computers. It is just like to sending money digitally.
People have to compete to “mine” the bitcoins by using computers and solve some complex math puzzles. It is how the bitcoins are made. At present, the winner is been rewarded with over 12.5 bitcoins each 10 minutes.
The bitcoins can be stored in the “digital wallet” that exists in a cloud or on user’s computer. Wallet is one type of the virtual bank account, which allows the users to send and receive the bitcoins, and pay for the goods and save money.