Anyone can use it, but no one owns it. This is what the official website writes about Bitcoin, the digital currency that has taken the world up by a storm. Mostly used by people who do not want the government interfering in their transactions.
The digital currency came into limelight when a cyber attack on the NHS in May this year brought the UK government to its knees when the hackers demanded $300 in Bitcoin from each user to release the private patient documents.
What exactly is Bitcoin?
One of the first known “cryptocurrencies”, Bitcoin is a digital or electronic currency which works on “a peer-to-peer basis as a version of electronic cash” and “allows online payments to be sent directly from one party to another without going through a financial institution”.
Created as a concept by a programmer under the pseudo-name Satoshi Nakamoto in 2009, by 2011 Bitcoin was established enough that Gawker exposed about people buying controlled substances using the digital currency.
Who is really is Satoshi Nakamoto?
Believed to be working on Bitcoin since 2007, Nakamoto, the creator of Bitcoin was said to be a middle-aged man born on April 5, 1975, and living in Japan, however, speculation focuses on cryptography and computer science experts of non-Japanese descent. Though a number of people have come forward claiming to be Satoshi Nakamoto, the Bitcoin creator’s identity is still doubtful.
Where to get Bitcoin?
Bitcoin can be obtained in different, easiest being accepting them as a payment for the services or products provided to someone. The other methods being:
- Purchasing Bitcoin from someone who already owns the currency.
- Investing in Software and Hardware and becoming a Bitcoin miner.
- Buying it from a Bitcoin Exchange.
What value does Bitcoin hold?
According to an Urban legend, a person was researching about crypto currency and had bought $29 worth of Bitcoins in 2009, which was roughly around 5000 Bitcoins, if that is true that person has $20 Million today.
The current value of Bitcoin at the time of writing this article is about $4000, this means, you can buy 1 Bitcoin by shelling out $4000 out of your pocket. Now being a digital currency, the value tends to keeps fluctuating. But, none the less, if statistics and investors are to be believed, the value of Bitcoin could shoot up to $500,000 by 2030, so one can use it both as a payment method and a future investment.
Where can Bitcoin be used?
Bitcoin, though commonly associated with illegal activities such as dealing in narcotics, cyber crime etc. , they can also be used for transferring money without unnecessary fees, investments and funding. In the starting Bitcoin was often used to buy just pizza, however, as it got popular more and more areas started accepting Bitcoin as a payment method, you can know more about them here.
While some like to keep the Bitcoin active in transactions, others prefer keeping their Bitcoins in hope of it turning out to be a gold mine and if the timeline of how the Bitcoin has grown in value is to be believed, they may very well be right about storing Bitcoin.
How is Bitcoin price affected?
Bitcoin is a very volatile currency, meaning it’s price keeps fluctuating. And this fluctuation has been present ever since Bitcoin came into mainstream media in the year 2013. In 2013, the price of Bitcoin surged and has been on an even rise since then. While advocates believe that this is just the rise of Bitcoin, sceptics believe this is a mere Bitcoin bubble and the interest in Bitcoin will be over soon. With the basic principal being supply and demand, more the demand, higher the price and recently the demand for Bitcoin has been higher than ever.
Do you plan on buying Bitcoin any time soon?
Do you know anyone who owns any Bitcoin?
Comment Below and let us know