People are now widely interested in investing in assets that have potential when it comes to growth and value. Among those that grew massively popular are cryptocurrencies which are digital assets that can now be used in several day-to-day transactions.
Those who have heard about cryptocurrencies have probably heard of Bitcoin which is one of the world’s most used and trusted assets today. With its popularity, many countries have already accepted its use and the possibilities that come with it, including its growing value.
Its popularity piques the attention of several people who wish to invest in it as well. For those who wish to get started with Bitcoin but have yet to understand its basics, here is a quick runthrough of what investors need to know about this popular cryptocurrency:
What is Bitcoin?
Bitcoin (BTC) is a type of cryptocurrency that has grown significantly over the years. With its decentralised nature, users are guaranteed that no institution, including banks, can ever control the flow of Bitcoins.
Bitcoin is a peer-to-peer currency in which all transactions are recorded in the blockchain which acts as a public ledger. All transactions are preserved and recorded in the blockchain for transparency. The digital records of all transactions are then merged into blocks so they can be easily monitored.
History of Bitcoin
Bitcoin’s whitepaper was released in 2008, thus paving the way for other cryptocurrencies in the market. It was described as a peer-to-peer network that will work as a medium for financial transactions. One of the factors that makes it interesting is that it was founded by someone who goes by the pseudonym of Satoshi Nakamoto whose identity remains unknown up until today.
Everything proceeded as planned since the mining of the Genesis Block in 2009 as he wanted BTC to stay autonomous and decentralised. BTC transactions are unaffected by third parties because transparency is its most valuable feature. BTC was also said to never collect massive transaction fees or take money from users.
Advantages of using Bitcoin
Aside from its impressive value, there are several advantages that people have admired about BTC. Here are some of them:
Speed and efficiency
The speed of BTC is one of the aspects that consumers like the most. Crypto transactions are faster than fiat transactions because they only take a few minutes to complete. They are quicker since they do not rely on intermediaries or brokers, which might cause delays. Though it may be fast, people are guaranteed that transactions made with BTC are flawless.
Security
Decentralization helps a lot in assuring people that their assets are safe and that no central organisation is interfering with them. With it, people are no longer required to provide their personal information every time they use it. If they want, they can even transact anonymously.
Usefulness
Perhaps the most appealing feature of this emerging cryptocurrency is its practicality. People have discovered many ways to enjoy their digital assets as a respected asset. For example, some people use their BTCs for purchasing, remitting, and even investing since it has a promising value in the market.
These are just a few pieces of information that those who wish to get started with Bitcoin can keep in mind. By knowing these, they can be more confident about investing in this promising asset that allows them to enjoy the massive potential of cryptocurrencies.
