Get in Touch

The Ultimate Guide to Bitcoin

by on February 12, 2021 in Uncategorized

Bitcoin ultimate guide
Unsplash

f you have ever wanted to dive deeper and understand what Bitcoin is, how to get and store it, and how it can benefit you and more, you are in the right place! Bitcoin is seen as a professional and big thing, but funnily enough, the first thing that Bitcoin was used to purchase was two Pizzas in Florida. However, now you can buy a lot more things than just pizza.

It is amazing to see how it has developed, changed, and expanded over the last decade or so. It is an invisible commodity in our society; however, it seems to hold significant value despite that and in 2021, the popularity is on the rise again. It offers extraordinarily low transaction fees and increased security for businesses and consumers alike.

With the popularity of Bitcoin growing significantly again, it is only normal to be curious and wonder about this invisible currency that everyone is talking about. In this article, you will gain an understanding of Bitcoin, how to store it, how to use it, and even how to procure it. This will help you gain a significant understanding of Bitcoin and all of the surrounding areas. 

If you are interested in Bitcoin, consider joining the Bitcoin Revolution. There you can gain direct access to online trading and a wide range of global financial assets. 

What is Bitcoin?

Bitcoin is an intelligent form of digital currency and technology. It is frequently referred to as the currency of the internet and is quickly gaining popularity again since its induction in 2009. It is the name everyone is talking about right now and it is no surprise that everyone is rushing to find out exactly what it is and what it entails. 

Bitcoin isn’t controlled at all by a central figure such as a financial institution or a government, instead, it is used to make payments and exchanges made directly between owners on the blockchain. Bitcoin leaves no room for corruption due to the fact that there is no corporate middleman or closeted transactions. Another huge reason that people love it is because of the fact it completely cuts out unnecessary and blown up transaction fees and make it very eager to transfer funds globally. 

When you transfer money around the world using banks, you are expected to foot fees and that alone can take a large chunk of your money, but Bitcoin completely eradicates that. It is done anonymously, digitally, and directly so the power is back into the hands of the buyers and sellers. There is no better way to do it. 

Terms you need to know and understand

Bitcoin is incredibly complex and highly intelligent, so it is no wonder that there are some terms you must know before you begin to enter the world of Bitcoin. To understand it a bit better, we have put together a comprehensive guide to help you out. 

Blockchain

Every transaction with Bitcoin is recorded on blockchain which is a public record that makes sure every Bitcoin transaction is complete safely, securely, and without trouble. It also works incredibly hard to prevent any scams that banks can’t avoid. Basically, transactions are recorded on blocks, and every 10 minutes, a new block is added to the chain, hence blockchain. 

Bit

A sub-unit of Bitcoin is referred to as a bit, they were formally known as microbitcoins. 

Confirmation

When the transaction has been processed by the network, confirmation happens. Then it is recorded onto a block. 

Cryptography

The act of writing or deciphering a code is referred to as cryptography. This is a certain type of mathematics that allows you to create secure and safe transactions and online environments. 

Mining

Miners solve mathematical problems that validate every single bitcoin transaction. In exchange, they are compensated with bitcoins and in turn, do the correct mathematical work required. It is much like physical mining for gold/jewels, however, it is done via hardware and software. 

Private Key

Everything important to you is password-protected, right? Well, so is your wallet! A private key is essentially a password that lets you spend bitcoins from your wallet. Without it, you will not have access to your wallet. 

Each wallet is secured with a private key and without it, you will not be able to access your wallet. 

Signature

When you are looking to verify bitcoin ownership, you rely on a signature. This signature is the public-facing side of your private key; however, it is secure enough that nobody can decipher your private key or any other private data.

How to earn and buy Bitcoin

There are plenty of ways that you can earn and buy bitcoins for yourself. However, due to the fact that bitcoin is purely digital, it can be particularly hard to come by. You can look at exchanging your real money for bitcoin and allows you to buy it using Paypal, bank transfers, and even credit card payments. 

You can even accept bitcoin as payment. If you share your bitcoin address with shoppers either in person or online, and display a ‘Bitcoin accepted here’ sign, you will be able to accept is as payment. This is a pretty easy and legitimate way to get bitcoin. If you already own bitcoin, you can use it to gain even more. 

If you lend your bitcoin, you will be able to receive interest payments. There are many ways you can do this such as through a friend or through a site. 

How to spend bitcoin

To be able to spend bitcoin, all you must do it display your bitcoin address for the recipient to decode using their wallet. Then the transaction will be recorded using blockchain technology. If you are unsure where to spend bitcoin, there are over 100 000 merchants worldwide that can help you out with it. 

Bitcoin is said to put the power back in people’s hands, although, it can also confuse them further. Hopefully, after reading this article, you have gained a better introduction to Bitcoin and the confusion isn’t as prevalent as before. 

Print article