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What Is Bitcoin And How It Works

What Is Bitcoin And How It Works?

What Are Bitcoin Value, Bitcoin Mining, Bitcoin Trading? | All You Need To Know About Bitcoin

Bitcoin is a new kind of electronic payment system. Also, it is often referred to as a “decentralized peer-to-peer currency”. Bitcoin is the excellent example of Cryptocurrency. Satoshi Nakamoto, a Japanese Citizen founded Bitcoin for the first time in 2009. In 2009/10, 1 Bitcoin had a value of $10 to $100 and it was easy to mine which is called Bitcoin Mining. Now at this moment, 1 Bitcoin’s Value got skyrocketed to more than $9500+. In coming near future, its value might reach $20,000 or more. Besides, Bitcoin can either be purchased or you will have to mine it.

First of all, let’s explore all the possible terms of Bitcoin. After that, let’s explore bitcoin mining and bitcoin trading.

So here are some important terms of Bitcoin that define answer for “What Is Bitcoin And How It Works?”:

  • Bitcoin

Bitcoin has several definitions. The best definition of bitcoin is; “Bitcoin is the decentralized cryptocurrency”.

  • Cryptocurrency (Definition from Wikipedia)

cryptocurrency (or crypto currency) is a digital or virtual asset. It cannot be touched but it has the power to do transactions like the real money does. It uses cryptography during the exchange and each transaction. Hence its additional units are controlled and being verified for the transfer of assets.

  • Bitcoin faucet

A Bitcoin faucet is a webpage that gives out users a very small amount of Bitcoins every few minutes. As a result using such Bitcoin faucet webpage or app, you can get you first Bitcoin without mining or buying it.

  • Bitcoin Number In The World:

Total Bitcoins Available in the world is  21 Million Bitcoins and it will be found till 2140 A.D.

  • Bitcoin Wallet

You need a digital wallet to store Bitcoin. Bitcoin wallet is digital and virtual.

How To Mine Bitcoin?

You cannot have Bitcoin without mining. You have to solve complex mathematical calculations using certain PC software. And as a reward, you get a certain Bitcoin number which is called Bitcoin mining process. Also, the more you mine and find Bitcoin, the more it will become difficult to mine remaining Bitcoins. There are certain PC specially designed and built for mining Bitcoins only.

Also to store those Bitcoin, you need to have a wallet (Bitcoin Wallet). This offers a smart way to issue the currency and also builds a motivation for more people to mine.

There are several good companies around the world which are working in mining Bitcoins called Cloud Mining. You can take a membership, hire some mining power and mine bitcoin that way. Below are top best examples of Cryptocurrency Cloud Mining Companies:

Or you can go for Bitcoin Mining Pools. Mining pools are crowds of collaborating miners who approve to share block rewards in fraction to their contributed mining hash power. Below are few best examples of Bitcoin Mining Pools:

  • Antpool
  • BTC.top
  • BTC.com
  • Bixin
  • F2pool
  • Slush

Besides, you can get free BTC with the help of your Android Smartphone or computer. All you need is to visit faucet website or install android apps and complete few tasks as they say. Its free, easy but all you need is an internet connection and patience. Below are few Bitcoin earning Faucet websites:

  • Freebitco.in
  • Computta
  • FamilyBTC
  • MoonDash
  • SatoshiHero
  • YObit
  • ClixBlue
  • FreeDoge
  • MoonDoge
  • FreeBTCmine

And, if you have a smartphone like Android, you can try best bitcoin earning faucet apps. Below are few of them:

  • Free Bitcoin
  • Storm Play
  • Blockchain Game
  • Alien Run
  • BTC Safari

What is bitcoin value today?

During the beginning phase, the value of Bitcoin was used to be $10 to $100. It was because there were fewer miners and small blockchain. The Bitcoin was programmed for finite numbers that are 21 Million in number. So, this is the main reason that increased the Bitcoin Value. Most researchers say that 2/3 (two-thirds) of Bitcoin has already been mined. And in this present context, the Bitcoin Value reached to more than $9500+ and it will never gonna fall down.

Bitcoin has also its own unit and conversions. The least value of Bitcoin is Satoshi named after its creator “SATOSHI NAKAMOTO”. The short name for Bitcoin is given as BTC.

1 BTC = 0.01 Cent-Bitcoin (cBTC or bitcent)
Also, 1 BTC = 0.001 Milli-Bitcoin (mBTC or millibit)
1 BTC = 0.000001 Micro-Bitcoin (μBTC or bit)
Also, 1 BTC = 0.0000001 finney
1 BTC = 0.00000001 satoshi

What is bitcoin trading and how does it work?

Hence, if you are cleared about the Bitcoin mining and suppose you have now some value of Bitcoin on your Bitcoin wallet, then you can exchange Bitcoin with other physical or virtual needs. Like, you can buy products or you can do virtual transactions. Also, you can sale your Bitcoin to other and get paid with real money (Paper money – Bitcoin to USD). The bitcoin value will never fall down, so you will always be benefited if you start mining Bitcoin.

Besides, you can go for few legit sites where you can do Bitcoin trading. For this, all you need is to create a trading account, fund your account, choose between BTC or Bitcoin Cash and finally buy or sale. Below are few best Bitcoin trading sites:

Bitcoin like cryptocurrency are:

Slowly and progressively, Bitcoin and bitcoin like cryptocurrency are getting attention from more investors all around the world. There are several others Bitcoin like cryptocurrencies and they are:

Litecoin (2011 Released)
Dogecoin (2013 Released)
Dash (2014 Released)
Monero (2014 Released)
Ethereum (2015 Released), etc