What is Bitcoin?
Bitcoin is a descentralized digital currency created and stored digitally. Bitcoin currency is not printed like traditional currencies instead it is forged by people and this days by businesses from all around the world using custom developed software that solves complicated cryptography mathematical problems.
The differencies and similarities between normal currencies and Bitcoin
Bitcoin is used as form pf online payments, trading just like normal currencies. The main important characteristic of Bitcoin is that it is decentralized. In comparison with the dollar, euro or yen that are controlled by governments bitcoin is a form of currency that is not regulated by any kind of government or large bank.
Bitcoin was originally created by Satoshi Nakamota that started with the idea of building a currency independend of authorities, easily transferable ecltronically with the capability of using ultra low transaction fees.
The most important characteristics of Bitcoin
The BTC network is not controlled or manipulated by any governement. Every computer that is currently mining and processing bitcoin and bitcoin transactions is a alive part of the network working togheter with all the other computers simultaneously.
What means this? It means that no central authority can’t decide to take people bitcoins as they please (Check up the case in the early 2013 the Central European Bak decided to do in Cyprus). Even in the scenario where a part of the network goes offline for any given reason, the bitcoin cannot be stopped and the transactions keep flowing.
2. User friendly
The conventional banks or any other digital currency companies make you complete tons of forms and bureaucracy.
A bitcoin adress is just 2 clicks away, no documents needed and it’s FREE.
3. Privacy enabled – almost anonymous
Not that anonymous but almost. Every user of any blockchain can hold multiple bitcoin adresses with no documents needed.
The blockchain of the bitcoin which is like a ledger that contains every single transaction that happened in that particular network. In the case that you have used a bitcoin adress anyone can know how many bitcoins are stored in that adress but no one knows who owns it.
For super privacy reasons some people consider using multiple bitcoin adresses and spliting their fortunes.
5. Small transaction fees
While your current bank may charge you from $10 to $1000 or more fees for international transfers the bitcoin fees are really small.
6. It’s really fast
Sending money anywhere in the world is blazing fast and the bitcoins arrive minutes later as soon as the blockchain processes them.
7. It’s non-refundable
When a bitcoin transfer is processed there’s no way getting them back unless the recipient decides to return them to you.