What is Bitcoin?
The biggest question that pops up when people are introduced to Bitcoin sports betting is exactly what is Bitcoin. Right now, Bitcoin is a technological revolution and you’ll want to know more about it.
The main idea is that Bitcoin is a cryptocurrency that is traded or exchanged online. This means that unlike normal currencies, it does not have any physical form and only exists electronically. This digital coin utilizes peer-to-peer technology similar to file-sharing that allows it to be directly exchanged from a person to another through the Bitcoin network. This makes the transaction fast and secure. Besides that, Bitcoin is open-source. This means that no one controls or owns it and every one can be part of it. It is mainly used to pay for products and services like what normal currencies.
Satoshi Nakamoto is the original developer of bitcoins. In a 2008 paper that he released, he defined it as ‘a new type of digital currency.’ There have been digital currencies before, but none like Bitcoin. When its original software was released in January 2009 under the open source MIT license, people were still hesitant about it. However, in just a few years, it has managed to gain a lot of popularity.
To understand why Bitcoin has become popular, people need to know how it works, how to buy bitcoins, and how to sell bitcoins. On the surface, the Bitcoin network works as a program that offers people a personal Bitcoin wallet that allows users to send and receive bitcoins with them. That’s why it’s also important to know how to store bitcoins properly and securely.
Looking behind the scenes though, the Bitcoin network is sharing a ledger called the blockchain. This ledger contains every transaction processed on the network. This allows the user’s computer to verify the authenticity of each transaction. Anyone can help process the transactions by mining wherein a computing power of a specialized hardware is used. Everyone can also trade bitcoins in a Bitcoin betting exchange online.
There are several advantages and uses of Bitcoin. Here are the key features of it:
- Anonymity – Bitcoins are anonymous. This ensures transactions are safe, unalterable, and of course, do not contain any personal or sensitive info on the user.
- Low fees – Bitcoin payments are processed with either low transaction fees or no fees at all. This is one of the reasons that made Bitcoin a better payment solution than PayPal, credit card networks, or wire transfers.
- Quick transactions – Unlike other payment methods, Bitcoin transactions take only few minutes to be completed. For people who want to bet, being able to deposit and cash out quickly is a great advantage.