Bitcoin is a peer-to-peer currency system. This electronic currency is based on the concept of a decentralized ledger. This means that unlike the legal tender issued and regulated by the government of a country, Bitcoin is not regulated by any authoritative body. Instead, it uses a public ledger system. In the public ledger system, the transaction history of every Bitcoin token in circulation is accounted for.
The public ledger system is the public blockchain. The blockchain is accessible to all the computer networks (also known as ‘nodes’) that are deployed for the mining operation. All the miners can simultaneously audit and record transactions, and update the blockchain by creating new blocks. Due to the universal accessibility of the ledger across the Bitcoin computer network, transactions can be completed in a matter of seconds. The traditional ledger system used in banks usually takes a few days for the completion, approval of any overseas transaction. It is for this reason cryptos such as Bitcoin are a preferred mode of transaction when it comes to making large transactions across borders.
When someone with a crypto wallet (wallets can be created through applications such as Bitcoin Fast Profit trades with another account, this process is audited and approved by the miners. The miners on computing complex mathematical equations are able to approve a transaction. The transactions are recorded as blocks. These block are stored in a consequential order within the blockchain. This process of updating the blockchain with a new addition is called ‘mining’. Through mining, the miners are able to earn new Bitcoins as a reward. This is how new Bitcoins are created.
Recently with the latest investment of 1.5 billion USD by tech mogul Elon Musk, Bitcoin has been on the news once again. The price of a single Bitcoin has surpassed the 50,000 USD mark, and estimated to reach the 100,000 USD mark before this year ends. Since crypto is trending once again, let us discuss the illusions and misconception that surrounds Bitcoin at this moment.
Table of Contents
Despite all the misconceptions and rumors floating around, it has to be acknowledged that Bitcoin has definitely created a new infrastructure for transactions in the digital age. It has made the network more accurate, reliable, and much more efficient than the traditional banking system in many aspects.
In an era where digital privacy is a growing concern, services like stealthGram and IGAnony…
One of Islam's most significant and ancient mosques is Masjid al-Haram. It is situated in…
Preparing for the arrival of a new baby is an exciting time, and one of…
In the virtual landscape of Dubai, where opposition is fierce and online presence is paramount,…
Moisturizing cream is an effective way of nourishing your skin and giving it proper hydration.…
A traumatic brain injury (TBI) is more than a physical injury. It's a life-altering event…
This website uses cookies.