Bitcoin: What is It?
Physical currencies are very important to the world. It is important in the lives of people because that is what they use to trade or purchase things in stores for their necessities. As time progressed and technology advanced more and more. The internet has been the center of attraction for people nowadays, doing their work and transactions online and even storing their money on the internet. This is where Bitcoin comes into the fray. Bitcoin is a digital currency which is used by most people in the world today, it is also used by retail stores and other merchants as their form of payment.
This is one of the good things about Bitcoin as it is very efficient and convenient for users to purchase items online with their Bitcoins in hand. They can also transfer currencies from one user to another by using the internet. Although very convenient, Bitcoin does not have any insurance or whatsoever in the event that anything bad happens to the Bitcoins of a person. This is because no organization or government agency is controlling Bitcoin therefore they cannot provide any insurance policies or contingency plans in case some loses their Bitcoins, it cannot be compensated or refunded back to a person once they are hacked or they lose their Bitcoins.
So it is very important to remember and take good care of your Bitcoins so that nothing bad will happen to them. Miners and users are the people who are responsible in the creation of Bitcoin, they are scattered all over the globe and they have created a process that is called Bitcoin Mining in which gave birth to Bitcoin. These users and bitcoin miner are the ones that manage the network of Bitcoin and the transactions that are made, they do this by calculating, solving and coding complex and very difficult Bitcoin algorithms to keep the Bitcoin market up and running.
When these bitcoin miner or users solve an algorithm regarding Bitcoin, they are given Bitcoins for their success and hard work for them to enjoy. Bitcoin has a similarity when it comes to storing currencies, it is very much like PayPal, but Bitcoin calls their storage as Bitcoin wallets, this is where all the Bitcoins of a person is stored in which it is safe. It is like an online bank which keeps all their currencies and can even transfer that currency from one Bitcoin wallet to the other.