Lets Talk about: What Is the Bitcoin and Where It all Started

Bitcoin is the first decentralized monetary experiment in human history, the coin that started all the extraordinary movement that today, 13 years after the whitepaper has entered hearts, palaces of power, pockets, and financial projections. – Learn How to mine bitcoin on Bitcoinminershashrate.com

A unique project of its kind, despite the various attempts at imitation. The most solid financial investment of the whole sector, the most resilient and resistant of the blockchains, and the best project we will ever be able to talk about on Criptovaluta.

A clear and open presentation, which for many looking for new opportunities may perhaps seem excessive, but which, we will demonstrate in the course of our in-depth analysis, corresponds to the truth.

What are bitcoins? – A really good Definition

Bitcoin is a virtual currency, that is, it is not printed like normal paper money, but is created, distributed, and exchanged in a completely virtual way, through computers, and with peer-to-peer technology.

Birth of bitcoins (2008)

Bitcoin was born from the invention of Satoshi Nakamoto, a pseudonym used by the inventor of this electronic money. Satoshi publishes the first white papers on bitcoin and the underlying technology, the blockchain, in 2008-2009. However, he takes inspiration for his creation from Wei Dai, who had already started working on a technology for the generation of a virtual currency sometime before. Bitcoin is therefore the first cryptocurrency created and marketed. Its symbol is ฿, and BTC or XBT is also used in the markets.

How Bitcoins Work

The technology that makes bitcoin work, i.e. the blockchain works in such a way as to have a digitized management of the currency.

This means that bitcoin currency is not created by a central bank, which procures and releases new money on the market (as happens with coins today in all countries); on the contrary, in the case of bitcoins, coins are stored in gigantic shared databases (i.e. physically installed on multiple computers connected to each other to the internet), and through advanced cryptographic systems they make it possible to track transactions, generate new coins, distribute them to owners and carry out transactions.

Virtual wallets and bitcoin wallets

These bitcoin coins are then stored inside a virtual wallet which is also saved within a specific bitcoin address (wallet, or wallet) consisting of a private key and public key: the public key is used to share it with everyone and do so that a user knows where to deposit bitcoins; the private key, on the other hand, is used to make it possible to access that specific wallet, and to manage transactions within it.

Peer to peer technology: what it is and how it works Bitcoin is based on a technology based on peer to peer (the system used today to download movies and music so to speak, where files are stored on multiple computers connected to the network and between them, from which it is possible to download “pieces of files” . thanks to this system, bitcoin does not devalue when new money is placed on the market, also because the complex system makes it increasingly difficult to solve the algorithms to verify and accept transactions, thus ensuring a value of the bitcoin as little as possible influenced by devaluations given by inflation.

Leave a Reply

Your email address will not be published.