What is Bitcoin And How to Use It?
Lately, Bitcoin are rise again and become new investment trends by many people in the world. However, only few people know what is The Bitcoin Code, how to get it, and how to use it. Well, if you want to know more about bitcoin read our article below.
What is Bitcoin?
Bitcoin is a virtual currency with BTC symbols that announced since 2009 and pioneered by someone or a group of people who use the alias name Satoshi Nakamoto. Bitcoin is also a crypto currency, which is the type of currency circulating without regulation by a particular central bank, not backed by gold, nor shaded by a particular country. Circulation and its use through internal internet network called Block Chain.
There are many virtual currencies and crypto currencies other than Bitcoin, including Ethereum, Zcash, Litecoin, Bitcoin Gold, Peercoin, etc. However, Bitcoin is the most widely recognized and most prestigious.
If it is not regulated by the government or supported by gold, then how can Bitcoin have value?
Bitcoin is formed in a highly transparent and decentralized Internet network. Anyone can verify how Bitcoin Code works, all transactions and the creation of Bitcoin can be viewed in real-time by anyone (an anonymous transaction, what can be seen transfers between account numbers only).
At the same time, Bitcoin’s global system is protected by cryptographic algorithms as used in online banking transactions. No organization or individual can control Bitcoin and manipulate the network for personal gain, though not all users can be trusted. Its creation is democratic that requires the approval of the majority of users before it can be printed.
Bitcoin is trusted and used by many people in the world. Many online and physical companies have received Bitcoin, including leading Zynga game companies and non-profit Wikileaks and Wikipedia pages. A number of international forex brokers also openly accept BTC as the currency for deposit and withdrawal. For example FXOpen, FXPrimus, and SimpleFX. The more you trust and use it, the higher the value of this virtual currency.
How to Get Bitcoin?
In general, we can get Bitcoin in two ways:
- Buy Bitcoin by exchanging the common currency we have with Bitcoin
There are several Bitcoin exchanges where you can buy and sell.
Latest data show 1 BTC = $16,491.00. Expensive? Not really, because transactions using Bitcoin can be in very small fractions, such as 0.01 BTC or even 0.001 BTC. In addition, the exchange rate of Bitcoin can continue to change drastically over time; not always up, can also go down in the short term, like the world currency in general.
- Make your own or we call it “Bitcoin Mining”
Basically, anyone can “mine Bitcoin” alone, if it has adequate infrastructure. The main device is the advanced ASIC (Application-Specific Integrated Circuit) computer and / or other equally powerful devices. Device users will be able to help Bitcoin transactions worldwide. In the process of “creating” Bitcoin, they validate transactions through complicated mathematical formulas. In return for such assistance, device users will get a certain amount of BTC from the system.
One thing to note here: You can not do this on general computer or laptop, there are some specific requirement to do that.
How To Use Bitcoin?
To be able to use Bitcoin Code, you must first have “Wallet” as the storage place as well as the source of your identity in the transaction at a later date (Bitcoin Address). Wallet can be obtained from a stock exchange or a special service provider Bitcoin Wallet. The form is virtual, and usually can be used anywhere just by log in into the Wallet.
After that, you must fill the Wallet. There are several ways to do that, you can buy Bitcoin from others people who already have it. Or, accept Bitcoin as a payment by selling goods or services from others people. Furthermore, if you already have BTC balance in Wallet, then you can buy goods with from other merchant who receive Bitcoin, or sell it again to get Dollar and cash-out to regular bank account. Not too hard to use bitcoin right?
What are the advantages of Bitcoin?
The advantages of Bitcoin lies in its flexible and globalized nature. To send regular money around the world you need to go through a complicated and time-consuming process, but with virtual currency you just need to online, then click this and that. Bitcoin transactions and their value can range from very small to infinite. There is no tax and no fee in any form.