What is Bitcoin

Most definitely, you have come across or even heard the term, ‘bitcoins’. This is usually defined as the digital currency of the future; hence, has catered interests among people from all over the world. Some would define it as an equivalent for ‘Internet Cash’, but definitely it is more than that.

What is Bitcoin?

Due to its popularity, most might have asked this question. Bitcoin is a cryptocurrency – a digital currency based on firm cryptographic principles. It is exclusively designed to enable users to send and receive money over the internet without having a bank account or credit card.

Who controls Bitcoin?

No one. Bitcoin has no central authority like central banks and no single institution or even person has the power to control bitcoins except for the software development team who improves its software. Given this, bitcoin is as well an independent currency since it is backed by no one therefore it is completely unregulated.

How is Bitcoin exchanged?

Bitcoin is exchanged via peer to peer method. Yes, it is directly exchanged from one person to another via the Bitcoin network. With this nature of transaction, it is impossible for any third party to interfere the exchange; making every transaction fast and secure. A good metaphor for this is sending and receiving an email since you can give and get bitcoins in as fast as few minutes.

Is Bitcoin Anonymous?

Definitely. Unlike fiat currencies, bitcoin has no serial numbers and the Bitcoin network does not gather personal credentials from the user. Given this fact, there’s no possible way to trace a bitcoin transaction back to the seller and the buyer. It is among the reasons for its popularity since you can transact bitcoins with people from all over the globe without giving your name or even location. You can always know more by reading about the ways on how to buy Bitcoins.

Being a digital currency is not enough to define what is Bitcoin. Bitcoin is a currency of the internet, and at the same time, it is also the currency of the public since it allows them to pay and receive payments in the most convenient way possible.