BITCOIN- (World's first and most recognized crypto asset)
Bitcoin the world’s first peer - to - peer cryptocurrency which runs on a decentralized, peer to peer ledger which is native and needs no bank. The first cryptocurrency has been on existence since 2009. In this article we would elaborate more on it’s invention, creation, means of acquiring Bitcoin, Bitcoin wallet, usage and why its important
WHAT IS BITCOIN? Bitcoin (BTC) is a peer to peer cryptocurrency. Its a digital token In the sense that you cannot touch or hold them. All Bitcoin transactions are logged on a public, decentralized, immutable ledger, many found Bitcoin interesting because it was a new way to pay for goods and services that don’t rely on a centralized bank, government nor credit provider.
WHO INVENTED BITCOIN? Till now, no one really know for sure, the person(s) that invented Bitcoin. But the person(s) most directly responsible used the pseudonym Satoshi Nakamato when they authored a white paper in October 2008 called ‘Bitcoin: A peer to peer electronic cash system’. This was published pm a small mailing list for cryptography fans. In January 2009, the software to create the currency was released, followed shortly after by first ever block mined on the network,known as the Genesis Block. The first notable person get involved in Bitcoin was a programmer named Hal Finney, who downloaded the software required to run it on 12th January, 2009, received 10 Bitcoins - the first BTC transaction.
HOW IS BITCOIN CREATED? Imagine a gold underneath, its obvious that it’s there but it’s value is hidden until a miner digs it up. Here in Bitcoin world, a Miner unearths Bitcoin by using expensive computers to solve cryptographic puzzles in real time that mine blocks of transaction record to the blockchain (read more about blockchain in our article on blockchain https://link.medium.com/WHyPboOSjrb). Miners get rewarded for their efforts with a small amounts of new Bitcoins, and the mining reward is halved every four years as a means to slow the creation of new Bitcoins.
HOW CAN YOU ACQUIRE BITCOIN? There are two to acquire Bitcoin:
You can buy some using fiat currencies ($, £ or €) at crypto exchange sites, you’ll need a digital wallet and you’ll get a set of keys that you’ll use to access your holdings.
You can become a Miner by buying a mining rig, though the equipment is very expensive, and it takes a while for it to become profiting.
WHAT CAN YOU USE BITCOIN FOR? Make purchase: An increasing numbers of main stream companies accept payment with Bitcoins. Gamble: If you’re feeling lucky, a whole slew of gambling sites accepts Bitcoin. Digital rights management: Bitcoin and the blockchain protocol is built on, can be used to help musicians and artists control who has access to their IP. Protect identity: Thanks to the unique double key system used in Bitcoin wallets, the Bitcoin blockchain can store assets just like an ideal wallet, it’s a place to keep your valuables, just that it is digital. When it comes to Bitcoin, those valuables are just your keys, held on a piece of software you can store on your phone, the web or a computer. To be on a safer side, you can write down your keys somewhere completely offline. In order to buy and sell Bitcoin, you would need both a Private and a public key. Your public key is what you share with other people so they can send you Bitcoin, just as your address. Your private key shouldn’t be shared. When you trade, you use your private keys to authenticate that it’s you who’s requesting to send or receive Bitcoin.
IS THERE ANYTHING SPECIAL ABOUT BITCOIN? Bitcoin has qualities that no other form of digital cash had ever gotten quite right:
★Decentralized: No one person or group owns or controls it.
★Peer to peer: No third party (like a bank) needed to confirm and approve transactions.
★Borderless: Bitcoin could be moved easily across the world for smallar fees and at faster speeds than traditional money transfers.
★Immutable: It’s near impossible to change or tamper with blockchain transaction.
★Prevents double spending: This was a problem many prior digital currencies had tried to crack before.
Are there more to come? I’m the meantime, the future of Bitcoin and it’s value is uncertain, and fluctuates. Bitcoin would one day become an every day currency, or a store of value or probably both.
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