Bitcoin is a decentralized digital currency.

 Bitcoin

Bitcoin is a decentralized digital currency. It is the first decentralized digital currency meaning that it is not governed by a central bank. It is designed for payments based on computer networking. It was developed by an engineer named Satoshi Nakamoto. This is the pseudonym of Satoshi.

Important fact

It is a new currency secured by cryptography for mutual payments over a collective computer network. This currency created from the digital system is kept in the digital wallet. It was launched on 3 January 2009. It is the world's first fully open payment system. There are more than 1 million bitcoins worldwide. Bitcoin is a virtual currency, virtual means that it has no physical form like other currencies, it is a digital currency. It is a currency that you can neither see nor touch. It is only stored electronically. If someone has bitcoins then he can buy things just like any other currency.

Currently, Bitcoin is becoming very popular in the world. It was invented by an engineer named Satoshi Nakamoto in 2008 and released as open source software in 2009. Currently, people are doing business by buying bitcoins at low prices and selling them at high prices.

A common debit/credit card charges a transaction fee of around two to three percent, but Bitcoin does not. It does not charge any additional fees for its transactions, due to which it is becoming popular. Moreover, it is safe and fast which encourages people to accept Bitcoin. Like any other credit card, it has no credit limit and no cash carrying problem. Every transaction of the entire Bitcoin network can be traced without revealing the identity of the buyer. It is very safe and super fast and it works anywhere in the world and it has no limits.

Bitcoin information in 3 minutes in English

There are hundreds of thousands of website companies that accept Bitcoin. You can also pay for plane tickets, hotel rooms, electronics, cars, coffee and anything else. From $1 to a million dollars goes from here to there in the world every year. In any case, we resort to banks and many companies to receive money. All these companies charge extra money to deliver the money we send to our people and we have to trust them. The help of Western Union, Money Gram and other companies like them is required but no approval is required to get this facility. Even today, many people do not have banking facilities, but the number of people who have a cell phone with Internet is more and cannot do business through the Internet. But now they can do this because of Bitcoin because Bitcoin is not owned by any individual, government or company. There is no centralized controlling authority over the Bitcoin currency. Bitcoin is very famous today. It is powered by thousands of people who have specialized computers that power the network, secure exchanges on the net, and verify transactions. This is called mining.

According to a figure, from 2010 to 2017, people have made a lot of profit by investing money in Bitcoin. Everyone has their own opinion, but do not invest under the influence of what I have shown, just think about what to invest. If you don't do it, then you may have to bear a lot of loss. By the way, if I tell you, if its price falls, then you will also have a loss, and you know that our Indian rupee's value is very low compared to Bitcoin.

Bitcoin mining

In common language, mining means the extraction of minerals such as gold, coal, etc. by digging. Since Bitcoin has no physical form, it cannot be mined in the traditional way. Its mining means creating bitcoins which is only possible on a computer, that is, how to make bitcoins, how to make new bitcoins is called bitcoin mining.

Bitcoin mining is a process that uses computing power to process transactions, secure the network, and synchronize the network. It is a bit like a computer center but it is a decentralized system so that miners located around the world control it. Miners are those who do the mining, that is, those who make bitcoins. A single person cannot control mining. Bitcoin is the reward for successful transaction processing of Bitcoin mining. A special hardware or a powerful computer whose processing needs to be fast is required for mining Bitcoin Miners, apart from this, Bitcoin mining software is required. If the miners complete the transaction, then they get a transaction fee, this transaction fee is Bitcoin. What happens is that for a new transaction to be confirmed, they have to be included in the block. The calculation has to be done per second and only after that the transaction will be confirmed. As miners join our network, it will become more and more difficult for them to find empty blocks to mine.

Mining is done by people who have special computing computers and proper calculation skills, otherwise miners will only spend electricity and waste their time.

The main purpose of Bitcoin mining is to secure Bitcoin nodes and keep the network away from tampering. At present, it has become more valuable currency than all physical currencies.

A Bitcoin address is used for Bitcoin transactions. Anyone can create an account in the blockchain and transact bitcoins through it. The smallest number of bitcoins is called a satoshi. There are 10 crore satoshis in one bitcoin. That is, 0.00000001 BTC is called one satoshi.

The value of Bitcoin

The price of Bitcoin depends on many things. The two most important of them are supply and demand. Bitcoins are found in limited quantities. Only 2,10,00,000 bitcoins can be mined. In this case, if the demand is less than the supply, then the price of Bitcoin decreases and if it is the opposite, its value increases. The highest Bitcoin price in India was INR 44,54,673.

warning

A press release was issued by the Reserve Bank of India on 24 December 2013 regarding virtual currencies such as Bitcoin. It was said that no official permission has been given for the transaction of these currencies and there are many levels of risk in doing the transaction. Recently, the ban imposed by the RBI on Bitcoin has been lifted by the Supreme Court. On 1 February 2017 and 5 December 2017, the Reserve Bank again issued a warning about it.

Criticism

Bitcoin has been declared a Ponzi scheme by many economists.

Energy consumption

Bitcoin has also been criticized due to the electricity used in mining it. Operating one bitcoin transaction consumes an estimated 300 kwh of electricity, which is equivalent to the energy invested in heating water in 36,000 kettles.