Bitcoin (bitcoin) is an anonymous digital currency based on network Point-to-Point (Peer-to-peer), which was proposed by Satoshi Nakamoto in 2008, Bitcoin through complex algorithms, up to a total of 21 million by 2140.
Point to Point (peer-to-peer) means a remittance channel without central authority to control the currency. Instead, these money transfer tasks are managed collectively by network nodes. Anonymity means that parties to a transaction can hide their true identity.
Bitcoin is an Open-source project produced by Satoshi Nakamoto, which is located in SourceForge. Bitcoin is not a real "money", it is actually a digital currency--a virtual token that can be used to exchange goods and services in a place where this currency is allowed to be accepted, in the form of 1 dollars for two lollipops. But unlike the currency in circulation, Bitcoin is completely anonymous, meaning that when you pay for a transaction with Bitcoin, the buyer and seller are completely unable to know the other person's identity in any way. This feature has greatly attracted the attention of privacy advocates.
Bitcoin production requires the use of professional mining software, personal work has been difficult to complete the excavation task, the need to join the mine pool, many people cooperate to dig, the CPU is not enough, most of the mining software using graphics card GPU calculation, professional ASIC mining machine, GPU calculation force is also beginning to be challenged, It may take several days to produce a currency.
The final bitcoins total will reach 21,000,000 monetary units, which is the upper limit of the amount of money. On nodes that support the network, the amount of their contribution is determined by the CPU load time.
1, without trust intermediaries, can easily carry out the internet remittance.
Third parties may not be able to control or prevent your transaction.
2. Bitcoin transactions are almost free, while online payment systems for credit cards typically charge 1-5% transaction costs, plus various other costs as high as $ hundreds of.
3, avoid the central Reserve Bank's bad policy and instability caused by security risks. The Bitcoin system's limited currency inflation is evenly distributed (determined by the CPU) across the network, rather than by a bank monopoly.
1. Bitcoin may be used to engage in illegal activities, including sales of pirated and shoddy goods, theft of credit cards and even child pornography, and a grey area where Bitcoin can allow American adults to bet on legitimate gambling sites in the UK without having to worry about limited trading.
2, easy to be blocked. PayPal and credit card companies have announced that sales bitcoin illegal. Coinpal has frozen the bitcoin deal. Some analysts say the government will ban Bitcoin in the next 12-18 months.
3. According to design, the Bitcoin world is likely to have continued deflation, because the money supply in the Bitcoin world will be gradually to a specified level, and once the use of Bitcoin more and more people, more and more transactions, will necessarily imply deflation.
4. The nominal interest rate in the Bitcoin world is given by the program. Once the program is written, the path to the nominal interest rate is given. But such a given interest rate completely loses the ability to respond to the shocks that occur in the real world. The rate cut can not be lowered when the rate hike will not be added.
The official recommended Bitcoin Wallet are BITCOIN-QT, Multibit, Armory, Bitcoin Wallet, electrum, and so on, where Bitcoin Wallet and electrum release the Android version.
Backup Wallet Edit
There are three ways to back up Bitcoin wallets.
First, direct backup of wallet.dat files.
The method is simple, first encrypt your Wallet.dat file. Then copy the encrypted Wallet.dat files to your computer, USB disk or online cloud storage. The simplest and most reliable method of encryption is to use WinRAR.
Note that whenever you use, BITCOIN-QT clients receive and send Bitcoin 100 times, be sure to back up the wallet! Otherwise the new trading Bitcoin will be lost.
The second, the use of brain purse.
The brain wallet only needs you to remember a password that you only know, the on-line program can generate the bit currency address (public key) and the private key by this password. You can send the bitcoin from the Bitcoin client exchange to the bit-currency address generated by this brain wallet. The advantage of a brain purse is that you don't need to memorize your private keys and spoons, just remember their generated passwords and you can calculate them at any time.
Third, the use of paper wallet.
Paper wallet As the name implies is that you will be the public key (Bitcoin address) and private keys are recorded on a piece of paper. You can send the bitcoin from the Bitcoin client to the coin address generated by this paper wallet.
Bitcoin is a virtual currency in the form of a file that is stored on your computer. Users can exchange currencies in three ways:
1. Peer-to-peer software downloaded directly from the Bitcoin website
2. Through escrow services such as Clearcoin
3. Through the Bitcoin Currency Exchange centre
Each user can transfer the currency to others by hashing (hash) signatures on the last transaction and the next owner's public key, adding the relevant information to the end of the currency. The receiver can verify the ownership by verifying the signature.
Development Trend Editor
Starting in the second half of 2012, the value of Bitcoin began to soar rapidly, as of March 6, 2013, each bitcoin price reached 45 U.S. dollars, which is the highest point ever. This is because many entrepreneurs join the Bitcoin ecosystem, such as Pizzaforcoins, Bitcoin-central, CoinLab, and so on, including Namecheap, Mega, Reddit and other well-known web sites or service providers, Thus arousing public concern. It is said that venture capitalists around the world are beginning to pay attention to Bitcoin. In China, in addition to Bitcoin China, the emergence of a number of trading platforms and some applications, such as currency to see Btckan, bit People forum, fxbtc,p2pbucks and so on.
Bitcoin Trading company Coinsetter announced it would allow investors to borrow money to buy and sell Bitcoin in the coming weeks, a move that has caught the attention of Wall Street venture capital funds. Coincidentally, the remittance providers of Western Union and MoneyGram Analysys are also studying various financial instruments to facilitate the trading of Bitcoin and other virtual currencies for users worldwide.
Posted by Topscom News, on Janu 28 ,2018.
Posted by Topscom News, on Janu 28 ,2018.