Bitcoin for Beginners: Quick Tutorial
It’s already 2019. However, many layman users are not about to join the world of cryptocurrencies, by virtue of their indeterminacy and industry’s immaturity. But still, crypto space is something which is never too late to get involved into.
The fastest growing environment ever, eventful roadmap and millions of profit – aren’t these factors to start investing in, or just to take an interest? Obviously, they are. Today we’ll take you back to the basics and tell everything about the world’s largest crypto in terms of capitalisation – Bitcoin. Let’s shove off now!
What is Bitcoin?
Expect being the only means of payment for your great-grandchildren (who knows, maybe it is not even a joke), it is a p2p network which can be used by anyone who has access to the internet. In a nutshell, it is a decentralised digital currency controlled by no single institution, by no single person at large. Bitcoins’ amount is limited to 21 million, and no more of them could be ever printed or issued.
Why does decentralisation mean that much?
Initially, when the Bitcoin developer Satoshi Nakamoto left the project, his ‘heir’ Gavin Andresen placed a huge emphasis particularly on decentralisation, because, according to his words, he was afraid that his brainchild could die if he would ‘get hit by a bus’.
The fertile ground of Bitcoin success is fully built on crypto’s core technology called blockchain. This public ledger contains every transaction ever processed, where the digital records of transactions are combined into so-called “blocks”. Today we can witness a variety of industries that have already adopted the technology, including logistics, retailing, medical care, international trading, etc. Among such billion dollar businesses are Dell, Expedia, PayPal, and Microsoft. But still, its nature is forever buried in Bitcoin.
Bitcoin is independent from world governments, banks and corporations. People love having full control under their vital assets, as well as being not depended on third parties. That’s why Bitcoin rapidly gained momentum and already attracted thousands of institutional players and individuals.
Plus, the cryptocurrency is literally too fast for the traditional financial sector. Bitcoin-based payments are processed almost instantaneously. It takes just a few minutes to send and receive the money, while normal bank transfers can take days, or sometimes weeks. Despite the fact that several banks are now planning to adopt crypto operations, no one knows the exact time when that will happen pervasively. Judging from today’s conjuncture, that will not occur soon, as most banks continue to be afraid of decentralised solutions.
You decide whether the following feature could be considered an advantage or not. Bitcoin payments are ‘non-repudiable’. The buzzword means that there is no way to get your transaction back, unless the guy on the other side would send the money back to you. This ensures that whoever you are trading with can’t scam you by claiming that he/she never got the money.
As a rule, Bitcoin is used for speculative purposes. Users buy Bitcoins and seek for the diversification of their digital asset portfolios in order to make a profit based on prices’ volatility. Nevertheless, as of now, you can buy goods and services of above-mentioned companies which adopted crypto.
We’ve saved the best for last. Next time you will know more about Bitcoin, the ways it can be sold and purchased. Stay tuned for that soon!