Bitcoins are what many people think like a lost opportunity but that is not the case. Although this cryptocurrency is very volatile there is still an opportunity to make it big. But what actually is a Bitcoin? A currency that can’t be held or seen or available in the physical state. This actually doesn’t sum up the whole definition of bitcoin. So before you start to invest in Bitcoin and earn maximum profit from it, you need to be sure about why you should invest in it. Here is a detailed guide to what is Bitcoin and how to invest and earn from it.
Why Is Bitcoin ‘The Talk of The Town?’
It is entirely different from what the world has seen. It’s a decentralized currency that gives the spender anonymity to spend and this is what makes this cryptocurrency very special. It’s an electronic currency that records each and every transaction in a public ledger known as BlockChain which is accessed by everyone. It needs no middlemen, bank, or any system to enable transfer from one person to another and that is a cherry on the cake.
Investors and common people often reason about the success and failure of the virtual currency but we believe that Bitcoin has been highly successful in its small history. Since its inception, until today it has reached $7800 per Bitcoin and those numbers can’t be ignored, Bitcoin has proved to be heaven for investors.
History Of Bitcoin And Story Of Its Rise
Bitcoin.org was registered on 18 August 2008 and that was followed by a paper released by Santoshi Nakamoto in November titled Bitcoin: A peer to peer electronic cash system. It wasn’t well received and was defined as an untrusted form of currency and forecasts regarding its failure were made. Within a year in January 2009, Bitcoin came into existence when the first open-source Bitcoin client was released with Santoshi Nakamoto (still unidentified) mining the first block of bitcoins ever. A programmer named Hal Finney downloaded the software the day it was released and he received 10 Bitcoins from Santoshi Nakamoto in the world’s first Bitcoin’s transaction.
He disappeared very shortly after launching the cryptocurrency. Know more about The Mystery Bitcoin Creator Santoshi Nakamoto And how much bitcoins he has. He left a quote before disappearing: “It might make sense just to get some in case it catches on January 17th, 2009.”
But before it could gain momentum a major vulnerability in bitcoin lead to the generation of over 184 billion bitcoins on 15th August 2010. The coins were transferred to two locations but were traced and deleted from the transaction log. Although the bug was fixed and things became normal within days. In early 2012, Bitcoin was trading at just $4 but a major relief was its acceptance among merchants. As reported by BitPay, around 1000 merchants started accepting Bitcoin including WordPress until November 2012. As of now in 2017, the value of bitcoin has soared to an all-time high near to $8000.
Basics Of Bitcoin
Bitcoin is a peer-to-peer virtual electronic currency. It needs no authority for the transaction and is fully decentralized. You are eligible to send Bitcoin at any moment to anyone in the world that too with anonymity thus eliminating the need for Banks or any money transmitters. It also allows bypassing of capital and AML restrictions.
What do you need to start trading with Bitcoin?
All you need is a bitcoin address and Internet access to be able to send or receive Bitcoins. You need an active internet connection to send the currency to another address. When you receive it, you do not need a connection.
Get A Bitcoin Address And Start Trading
A Bitcoin address is a unique number that stores your Bitcoins and it is used for sending and receiving bitcoins. It has become easier to get a Bitcoin address due to the availability of various apps worldwide. Best serving online or software wallets are Coinbase, Blockchain.info, and Electrum for the USA, Mycelium, Blockchain and Coinbase for U.K., Zebpay, and Unocoin for India. Although all the online wallets are very mobile but are under frequent attacks by hackers so it is advised to store your Bitcoins offline into your computer.
Advantages Of Bitcoins
You already know some of the advantages including the elimination of the third party, bypassing transaction, and anonymity of transactions. We have a few more to make you delighted.
You have to pay a minimal transaction fee every time you receive or send Bitcoin and that fee is almost negligible if compared to bank fees or other money transmitter fees.
For merchants, they can save on the percentage cut taken by Visa / MasterCard thus increasing the margin of profit. The cryptocurrency transaction is secure and irreversible.