Beginner’s Guide to Owning Bitcoin Cryptocurrency
Bitcoin Cryptocurrency is buzzing around the world, whether it is on the Internet or in any medium. It’s one of the most exciting and craziest things to happen in the last few years alone. More importantly, you can earn amazing returns trading bitcoins or you can hold it for the long term.
You may hear about stocks, commodities, currencies, and now a new currency called Bitcoin trading that has a huge impact on our lives. In this beginner’s guide to Bitcoin cryptocurrency, you will learn the ABC’s of Bitcoin.
About the Bitcoin cryptocurrency
The rise of Bitcoin is not yet known, but an article under the pseudonym Satoshi Nakamoto was published in Japan in October 2008. His identity is still unknown and he is believed to hold approximately one million bitcoins valued at over $6 billion USD as of September 2017.
Bitcoin is a digital currency popularly known as a cryptocurrency and is free from any geographical limits. It is not regulated by any government and all you need is an internet connection. As a newbie, Bitcoin technology can be confusing and a bit hard to get to know. However, I will help you dig deeper and explain how you can make your first Bitcoin trade with ease.
Bitcoin Cryptocurrency works on blockchain technology, which is a digital public ledger and is shared by anyone in the world. You will find your transactions here every time you make Bitcoin transactions and anyone can use the ledger to verify them. The transaction made will be completely transparent and is verified by the blockchain. Bitcoin and other cryptocurrencies are part of the blockchain and are an amazing technology that runs only on the internet.
Key Terms Related to the Bitcoin Cryptocurrency
Before you are ready to own your first Bitcoin, it is best to know the key terms related to bitcoins. It is also called BTC which is part of bitcoin and 1 bitcoin equals 1 million bits. With the advent of bitcoins, some other alternative cryptocurrencies also evolved. They are popularly called Altcoins and include Ethereum (ETH), Litecoin (LTC), Ripple (XRP), Monero (XMR) and many others.
XBT and BTC are the same and commonly abbreviated for bitcoin. Mining is another term that gets thrown around a lot and is actually a process done by computer hardware for Bitcoin networks.
Things you can do with Bitcoin
You will be able to trade, transact, accept and store bitcoins. You can send it to your friends, request it from a friend, and store it in your digital wallet. Even now you can recharge your mobile/DTH directly by paying through bitcoin.
The transaction cost is low compared to PayPal, credit cards and other online intermediaries. In addition, it also protects your privacy that can leak on the Internet when using credit cards. It is extremely secure and no one can seize or steal coins. Due to its transparency in the system, it is also not possible to manipulate it due to the shared public ledger. You can check the transaction from anywhere and at any time.
Demand is likely to increase as total bitcoin production will be capped at just 21 million. Japan has already legalized it and other countries may soon follow and the price may go even higher.
I will cover more about Bitcoins in detail in the next few days, where you will learn great things about bitcoin trading. You can comment your views and ask anything relevant to bitcoins.
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