Bitcoin- The currency of the Internet/ A New Type of Money!
Newbies are in doubt if Bitcoin is still worth investing? So Fellas, before clearing your doubts about investing and trading, you must first of all know about what Bitcoin is and its working. For a long time you have been hearing about a famous Cryptocurrency named Bitcoin/BTC/XBT, creating boom. It’s been on the news, on the headlines, you’ve overheard people talking about it; perhaps everywhere, or you might have seen someone trading Bitcoins and Altcoins. So here is all the information you need to know about this Cryptocurrency.
Here is a video giving brief Introduction to Bitcoin:
What type of currency is Bitcoin?
In simple terms, Bitcoin is a Crypto Currency which is anonymous, decentralized digital money that is distributed worldwide through the Internet. That’s a short and sweet statement which bears some explanation too.
Decentralized means they are issued and managed without any central authority. Hence, there is no government, company, or bank in charge of BTC as there is for Dollars, Euros and every other currency on the planet. You might be interested in investing in them if you like cryptography, distributed peer-to-peer systems, or economics (Really?)…perhaps the biggest reason to be interested is- Earning Money. (maybe fate wants you to be future billionaires…)
To create a Bitcoin account, you need not register with any bank. As you get started, a Bitcoin address has to be created that will be controlled only by you via various methods that we’ll talk about in a separate article.
BTC was created by a group of researchers and not by any government. Thus it is controlled by certain rules that are built into Bitcoin software, and those rules are administered by every client on their own. The researchers who developed it were basically interested in the idea of creating a Decentralized currency that was out of reach of any organization.
BTC can’t be put in our pocket wallet; indeed, we can’t touch them as well. They exist totally on online wallets or computers and are exchanged/ traded through the BTC network. This network can be accessed on a computer with the help of a number of online Bitcoin services or by installing some softwares. These software programs are incredibly secure, easy to use and free.
Above all Bitcoin as an online currency can be traded or exchanged for goods and services. It is now accepted at a large number of online stores, local shops and by some retailers too. Additionally, they can be traded for other currencies, such as Dollars, INR and Euros etc…
For the first time, the word Bitcoin appeared in the white paper which was published on 31 October 2008. Bit and Coin together form the word Bitcoin.
From 2014, the ticker symbols BTC and XBT replaced the word Bitcoin.
Millibitcoin (mBTC) or Satoshi is used for small amounts of Bitcoin. A Satoshi named in homage to Bitcoin’s creator represents 0.00000001 Bitcoin or one hundred millionth of a Bitcoin.
How many Bitcoins will ever be created?
There are only 21 million bitcoins that can be mined in total. Out of these 21 million bitcoins, 18,497,075 bitcoins have been currently mined and the number of bitcoins left to be mined is 2,502,925. This figure keeps changing every 10 minutes when new blocks are mined.
Out of these 18 million bitcoins, 3-4 million bitcoins approx. have lost their existence forever.
There are various famous stories related to these lost & stolen bitcoins.
It is also estimated that about 900,000 BTCs are owned by Satoshi Nakamoto.
How can you get Bitcoins?
Here are various ways through which you can get Bitcoins either free or paid:
- You can buy Cryptocurrencies using fiat currencies like USD, EUR, INR etc.
- Big investors/ trading experts study charts and buy Bitcoins to trade them with other cryptocurrencies on Exchanges like BITMEX, BYBIT, BINANCE, BITTREX or BITSTAMP to increase the number of Bitcoins you already have.
- Play games online and earn BTC from sites like blockchaincuties.com
- You can also earn them by posting blogs on websites like Steemit that reward you in form of their own proprietary Cryptocurrency known as STEEM and then STEEM can be traded or exchanged for free Bitcoins.
- You can mine Cryptocurrencies like Bitcoin using High-Powered Computers. Some platforms like Bitcoin.com also offer you a Cloud Mining feature that offers mining through cloud mining contracts. They also offer Bitcoin Hardware Mining, where you can use your own ASIC (application-specific integrated circuit) hardware to mine Bitcoins.
- By taking part in Mining pools, organized by various Bitcoin trading exchanges or big platforms like Bitcoin.com and Binance.
- You can work and earn cryptocurrencies. Some companies pay salaries to their employees in Bitcoins.
- Now a day’s Bitcoin ATMs have been installed in various countries that have legalized Bitcoin as an asset. Here you can purchase or sell your Bitcoins directly through fiat currencies.
We hope we could satisfy you through this blog. We tried our best to brief the beginners through this guide about Bitcoin. Follow up and keep viewing for more exciting information about your one and only BTC…