All the things you wanted to know about Bitcoin and the other cryptocurrencies

10 Things You Need To Know About Bitcoin

2

A cryptocurrency is a form of digital currency that was created to act as a medium of exchange. To protect the transaction records, each coin is stored in a ledge inside a computerized database using the rules of cryptography.

There are a lot of cryptocurrencies available, but the most valuable and popular one is Bitcoin. Bitcoin is a trending topic among entrepreneurs, investors, and stock traders.

If you’re interested in learning or investing in Bitcoins, here are 10 things you need to know about this cryptocurrency:

1. Satoshi

When it comes to Bitcoins, some people don’t know about its sub-unit, Satoshi. Satoshi is the smallest unit of the Bitcoin cryptocurrency. This unit was named after Satoshi Nakamoto, the creator of the protocol that’s being employed in Bitcoin.

1 Satoshi equals 0.00000001 Bitcoin. One Bitcoin is equal to thousands of dollars. Most people deal in Satoshi since buying even a single Bitcoin could be extremely expensive.

2. Bitcoin Faucet

Even though it might seem like Bitcoins are difficult to get, there are many cryptocurrency faucets from which you can earn money. In the form of a website or app, Bitcoin faucet is a reward system (in Satoshis) for visitors to earn in exchange for completing a task as given by the site.

For a list of the best Bitcoin faucets, you can check CoinTippy.

3. Worth The Investment

Due to the pandemic, global crisis, and financial market turmoil, investors have started to look into the cryptocurrency. A Japanese analyst has predicted high institutional investor demand for Bitcoin, especially during the post-pandemic crisis.

Many analysts, financial experts, and rich investors have recommended putting Bitcoin in investment portfolios. Robert Kiyosaki, a famous author, has repeatedly said that the dollar is in decline and more people should invest in Bitcoin.

4. Creator Of Bitcoin

The most intriguing fact about Bitcoin is that no one knows who created it in the first place. The creator, rumored to be Japanese, published an article about Bitcoin before it began to be mined under the pseudonym, Satoshi Nakamoto.

An American cryptographer, Nick Szabo, has also been thought to be the creator of this cryptocurrency because he has been a great commenter of Bitcoin technology. He has denied this claim many times, but speculations still arise that he might have helped create Bitcoin.

5. Used In Many Places

Bitcoin is frequently used in the black market, but there are several places where it’s being used in everyday life. Just inside the USA, big companies like Dell, Microsoft, Jewelers, Expedia, and many others accept Bitcoin as payment.

As its popularity is increasing, the number of places using Bitcoin will increase.

6. Limited Amount

The creator of Bitcoins, whoever it is, only made a limited number of Bitcoins. At the time of creation, Bitcoins were up to 21 million. Currently, there are 16 million Bitcoins in circulation, but that number is increasing daily.

7. Losing Bitcoins

When it comes to Bitcoin, losing their address means that you lost your unique identification, but it also means that you lost all the bitcoins inside your digital wallet.

Research showed that around 60% of the Bitcoin addresses are ghosts, which means many people have lost their Bitcoin addresses, hence the currency inside their wallets.

8. Processing Power

To mine Bitcoin, you need to have a lot of money, time, and electricity since it’s expensive to mine this cryptocurrency. Some servers are specifically used for mining bitcoins. The faster the data is processed, the faster it’ll take to add the block to the blockchain. As a result, the mining process gets faster.

9. Bitcoin Ban

Although some countries have allowed bitcoins to be used as a currency, many countries have not accepted Bitcoin. Some countries like Bangladesh, Iceland, and Bolivia have completely banned Bitcoin usage. While countries like India, Iran, and Thailand have allowed it with certain conditions and regulations.

  10. Not Anonymous

Despite its rumored and hailed anonymity, Bitcoin is not exactly anonymous. Government agencies and hackers have the resources to track any sort of information, including Bitcoin. If many nodes are connected with the network of Bitcoin, the collected data from these nodes might be enough to let the agencies know where the transaction originated.

 Conclusion

Bitcoin is a global and digital currency system. It allows you to receive or send money through the internet, even to people you don’t know. Money can be exchanged without having to show the real ID. Due to the weakened Dollar and Euro, there’s more reason to invest in Bitcoin than ever.

2 Comments

  • Avatar steve says:

    I have been looking into BTC for a while now, and never heard of a satoshi until I read this. It is pretty cool, thanks!

  • Avatar Bred Bettinder says:

    Cool article! I am trading btc for 3 years, but this information was really useful for me.
    It is never too late to start learning smth! I am 48 and i am trader)

Leave A Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Related Articles