Understanding Bitcoin As A Decentralized Currency

Created and introduced by a person or group called Satoshi Nakamoto back in 2009, Bitcoin has become one of the first and leading digital currencies in the world. In the few short years that it has existed, Bitcoin is already showing a promising future for those who are willing to engage in it. Bitcoin has grown immensely for the past years and in fact, five years ago Bitcoin was valued at only a few cents but now, that value is somewhere around $650.

More and more people are now using and supporting Bitcoin including well-known personalities in the likes of the Winklevoss Twins and the richest man in the world and Microsoft founder Bill Gates. It isn’t even a question as to why people would want to engage in Bitcoin. First of all, Bitcoin is easy to use. It offers quick and affordable transactions. You do not have to wait several days just to process a transaction as it would only take a few minutes if not instantaneous. You don’t also have to pay a lot because Bitcoin transaction fees are minimal and oftentimes free. You can use bitcoin to purchase goods and services anonymously without having to indicate our identity.

Bitcoin is also easy to get into. With a bitcoin wallet and a bitcoin address, you can immediately start making transactions. However, you should also know that there is a lot of understanding that you should have for bitcoin. One thing you should understand about bitcoin is its decentralized trait.

Bitcoin is decentralized which means that it is independent from central authority and does not need third party brokers such as banking institutions as well as the government. This means that the government holds no power over your bitcoins and sole ownership belongs to you.

This decentralization gives bitcoin users a lot if liberties. However, one should also be responsible in using their bitcoins because in case of unfortunate events, you may not be able to regain the bitcoins that you lose because no one else will be accountable for it but you. That is why you should also be cautions when engaging in Bitcoin transactions.