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Now a days the name which we came across many times in the news is Bitcoin, generally we think from the name that Bitcoin is some currency but it is not, many middle class people are investing their money in Bitcoin, so we need to know about Bitcoin and the payment method to Bitcoin, this is not currency of our country or any other country, every country currency is linked with its central bank and governments will be responsible but Bitcoin is not any currency and no other country and it has no underwriting with any country, so we will learn completely about Bitcoin.
Contents Of the Post
- 1 1.Is it a real money
- 2 2.Why the name Bitcoin
- 3 3.When did Bitcoin started
- 4 4.Ledger maintainance
- 5 5.Record of transactions
- 6 6.Mining
- 7 7.Own servers
- 8 8.Safe transactions
- 9 9.Black Chain
- 10 10.safety of personal details
- 11 11.Who doesn’t know Owning of Bitcoin
- 12 12.Mining pool
- 13 13.Converting Bitcoin
- 14 14.IT companies moving towards
- 15 15.Converting Bitcoin currency
- 16 16.Transaction of money to other countries
1.Is it a real money
Bitcoin is the virtual money which is only in the online, to be used in general uses it should be converted into the general currency then it can be used offline.
2.Why the name Bitcoin
Generally in software we use the terms bits and bytes, since Bitcoin is the online money it is named by bit and it is used in online money transactions so it is named coin and hence it is called Bitcoin.
3.When did Bitcoin started
The source for bit coin is an open source software which was originally made in 2008 and in 2009 another person created the first bit of coin by downloading the software, Bit Coin was used as peer to peer currency which means in the middle of buyers and sellers, there is no transaction between the seller and the buyer without any intermediaries and here Bitcoin is the intermediaries.
The only thing which is trusted in Bitcoin is public ledger that is maintained for Bitcoin transactions, the servers in which Bitcoin is placed there a public ledger is maintained and if a transaction is done then within a small span of time it will be stored in the ledger.
5.Record of transactions
Payments are recorded as bitcoin units in the public ledger, Bit coin management does not have any centralized basis, the Bit coin organizers participating in the conversion are the members using Bitcoin, the newspapers refer to bit coin as crypto currency and digital currency.
Payments through online create new Bitcoins as reward of using Bitcoins, Customers use their computing knowledge to ensure the authenticity of the payments and enter the public ledger, this is called minin, the users into miningare called miners.
The miners throughout the world are working on the bit coin with own servers and they are spread across the world, the people with appropriate software knowledge, free time and high interest can work on the Bitcoin.
Between any two companies or a customer and a company transaction can be done in a easy way and safe too, the Bitcoin is transmitted through the network, Bitcoins will load this transaction information is stored in to the public ledger as soon as it is feeded into the ledger it will send information in to the other servers and thus the Bitcoins are validate in the server, the public ledger are always synchronized in the server.
The transactions passed by six times per hour are collected into the a public ledger and these groups are called black chains, this is used in the managing administration of Bitcoin, this is used to prevent duplication, as soon as a black chain is registered it will publish to all the servers, it is the only evidence that a transaction finished.
10.safety of personal details
However the owners are connected by all the servers linking, it will never give the information of the owners, this facility is anonymous, the personal details are not available to anyone and it is restricted to few.
11.Who doesn’t know Owning of Bitcoin
There is little doubt that people behind the various bit coin transmitters and the company’s information are available, Bit Coin Owners exchange different bit of coin to get someone unaware and make additional payments, thereby, a bit of coin transfers are hidden from the owner without knowing.
As the miners increases market of Bitcoin decreases, because there will be only one claimer for a bit coin address, to resolve this a group of miners grouped to form a mining pool in which they they share the transaction record and store in ledger, as we think we will come to know that there will not be any big change in the bit coin market.
There are even members for converting Bitcoin in to original money with some commission, they will use this commission for Bitcoin transaction.
14.IT companies moving towards
The bit coin is also using by the IT companies now-a-days, even financial analyzers also saying that the market value of Bitcoin troubles also getting, if there are any disturbances in the network then there will be a bad influence on bit coin trading and speculation, by changing the software version the problem can be solved.
15.Converting Bitcoin currency
Not only converting Bitcoin in to original money but also at present people are converting original currency into Bitcoins, by this we can say day by day trust in Bitcoin is increasing, since Bitcoin is purely dependent on software there is a risk in using Bitcoin.
16.Transaction of money to other countries
We find very difficult to transport money from one country to another because of banks and governments in the middle, for Bitcoin there is no rules so it is easy to transfer, that large amounts can be easily made to cross the border, so the way made to increase in cyber crimes, at present each Bitcoin equals to an amount of $327