Bitcoin is a cryptocurrency and a payment system used by people living in different countries, also known as decentralized currency, came into the digital world in 2009. Actual meaning of bitcoin is a peer to peer currency trade without any interference of govt. body or bank, and these transactions are recorded in public ledgers called blockchains.
Yes, the currency has its future, because world’s largest currency exchange has announced to open future plans for this digital currency, and if things would go as it is going now, then it will be the only currency used for trade world wide.
There are many reasons behind international acceptance of this coin, people feel safe, people can do the trade without worrying about govt. interference or any third party interruption. Second it gives your smooth and instant trade anywhere in the world, you don’t have to spend hours in banks or other offices. But what happened recently will shock you, recently around 100,000 new users joined an exchange called Coinbase, and this happened just the day after the announcement made by Altana Digital Currency funds on Tuesday this week.
What is Mining of bitcoin?
Yes, we can be rewarded by Bitcoin through mining, and the best part of it is, you can exchange it with other real currencies as well. Now millions of new users & vendors are there who are accepting this virtual currency and that has become a big reason that the value of Bitcoin has increased in recent months, immensely.
And if you are thinking to invest your money in this, you should stop thinking and should take some action, now this currency has become a part of long term investment as well. And people are already buying it for the future returns, so Bitcoins : a peer to peer electronic system that works all over the world for exchange of money, and it has clean transaction saved in form of blockchains.
Design of Bitcoins
It is obvious that if Bitcoin transactions are done without being controlled by any Govt. then there should be some safe wallets that keeps such transactions, yes these are called Blockchains, a public ledgers that keep records of transactions done using cryptocurrency like BTC.
What is Blockchain? | Bitcoin
Super secured but distributed database, blockchain is used to verify the transaction of every amount and each network node saves its own copy of the blockchain, and this method also prevents double – spending, so we can say that bitcoins only exist in blockchains.
And transactions are said using forth- like scripting language, so transactions are included of one or more inputs & and one or more outputs, and to avoid double – spending; each and every input of the transaction refers to previous unspent outbox of the blockchain. Transaction fee is optional i. e. you can opt in or opt out of this fees, so in the blockchain bitcoins are registered on particular addresses.
Terms related to Bitcoins & Blockchains
- Privacy and Fungibility
- Peer to peer