Bitcoin is a new type of capital or currency. It looks like the US dollar, the euro or the peso, except that it is controlled by no company or government.
Rather than being manipulated by a single agency, bitcoin is a decentralized currency of equals, which means it resides on the computer of all its collaborators. (The same as the Internet itself.) Since it's decentralized, no one can bribe the market by putting more bitcoins into circulation and there's no street banker who is lining his pockets standing in the center of each order.
The benefits of Bitcoin are that transactions are done almost instantly and do not require transaction fees – unless the person who starts the transaction decides to pay one. You see, since no one manipulates the Bitcoin network, there are computers around the planet that help to confirm every transaction that occurs – this process calls it "mining."
In order to induce these "minors" to help authenticate all transactions, the bitcoin network occasionally grants bitcoins to minors. Currently, 25 bitcoins are rewarded as a lottery system every 10 minutes or so. The program behind Bitcoin deals with this lottery and is completely open source so everyone can see it.
The bitcoin allocation rate will be cut in half to 12.5 in 2017, halved every 4 years until the last bitcoins are rewarded in 2140. Then there will be a total of 21 million bitcoins and this is more, absolutely more. will never be created. Based on the current exchange rate, there is more than $ 1.4 billion of bitcoins on the market.
The way bitcoin transactions work is very basic, each with a portfolio that they use to send and obtain funds. This wallet is a simple chain of letters and numbers, which makes this wallet completely confidential, unless the person chooses to connect to it. The private nature of bitcoin transactions has resulted in its use for various illicit activities.
Although forbidden purchases can take place, thousands of institutions, programs and economies around the world recognize bitcoin.
Bitcoin was originally designed by Satoshi Nakamoto in 2008 and the first bitcoin transaction took place in 2009. If you had actually invested a few hundred dollars in Bitcoin in its early days, its value would be millions of dollars in recent days. Exactly what you expect – go get your Bitcoins!