Lately, bitcoin has been a buzz word covering headlines in the newspaper and everywhere where examples of people are given who smartly invested in bitcoins and now are billionaire and millionaires in a few years. Bitcoin is one of the many types of Crypto Exchange services that is specifically intended to authorize only one transaction to be mined in about 10 minutes. It unquestionably pops up the question in our minds whether it is even right to buy bitcoins or is it just a balloon of rumours?
More on Bitcoins:
It is said that bitcoins have been there since 2009 and it was purchased at a very inexpensive value originally, its increase was long for the first few years but then it saw exponential growth. If you bought a single bitcoin for 100$ (INR 7,254 approx.) in 2009, you would now be richer by nearly 20 crores and I don’t think I need to say that it’s a huge amount of money. It’s not the only digital currency available there are various others like Ripple, NEO, and Dash. So, let us dive in deeper to get a better understanding of bitcoins and how they work? It is basically a digital currency developed using the block chain technology. Blockchain technology is considered one of the most reliable technology to save data in a distributed way. It creates, stores, and handles digital transactions taking place that are public, protected and distributed.
When was Bitcoin introduced and how does it work?
Bitcoins were introduced in 2009 by someone from the group named “Satoshi Nakamoto”. It was impressive to see it work without the interference of a third party, for instance, a bank. It essentially handles transactions between two people without the need of any middlemen. There is no extra cost included in the transaction fees and both parties get to stay anonymous. It’s simple like creating email id, the same way you create a bitcoin wallet account and then that account address becomes your identification that is further utilized for every transaction you make. Buy bitcoins can be used to purchase services like web-hosting, buy products or even order a sandwich.
The actual value measured!
It is being said that the value of bitcoins will eventually increase as time passes by as more and more people and corporations will begin to use it. Bitcoins are seen as an investment channel. Since the transactions you make using bitcoins remain anonymous, so no one knows about such transactions and the owner of the money which is pretty beneficial for criminals to perform transactions.
Bitcoins cannot be used like real cash in the need of the hour. Bitcoins are an innovative form of currency and savouring the increasing growth but one should remember that its value keeps on varying.