Bitcoin is a digital currency that was created in 2009 by an anonymous or a group of people that used a name Satoshi Nakamoto.
You can send Bitcoin to anyone directly (or peer-to-peer) without involving third-parties. Decentralized network of Bitcoin eliminates banks and other intermediaries from the money transferring process.
All Bitcoin transactions are recorded on the distributed ledger called blockchain. This ledger is public, transparent and can’t be compromised.
Some online and offline merchants accept Bitcoin as a payment.
It is not yet completely regulated and accepted worldwide, but many countries are looking for appropriate solutions on how to manage it.
How does Bitcoin work?
Technically, Bitcoin is just a file. You need a wallet to communicate with the blockchain in order to store, send, and receive Bitcoins. If you wish to execute a Bitcoin transaction you need to pay a miner’s fee.
Miners are competing with each other for the right to complete a transaction and using processing power to solve mathematical problems. The first who solves a problem gets a chance to verify a transaction and for that they receive the reward in Bitcoins.
How do you get Bitcoins?
Right now single mining is no longer profitable but there are other ways to get Bitcoins.
Apart from mining, you can buy Bitcoins on the exchanges, in Bitcoin ATMs, and from other people. One of the easiest and secure ways to buy Bitcoin is to use Lumi Wallet.
Some companies, especially the ones that specialize in cryptocurrency and blockchain tech, are paying their employees or freelance workers with Bitcoins.
There are websites that offer Bitcoin payments for completing micro tasks or participating in affiliate programs.
Gambling platforms often have Bitcoin rewards, however gambling is still a gambling and remains a high-risk activity.