Bitcoin

What is Bit coin? 

Bit coin is a digital currency. It was invented by Satoshi Nakamoto. It is still unknown whether Satoshi Nakamoto is the name or company or any person. In this article, I will tell you what is bitcoin, how it works, how new bitcoins are generated, how you can earn from bitcoin, from where you can get bitcoin, how to avoid fraud in bitcoin, the best websites for bitcoin selling, purchasing and trading, bitcoin trading, read this blog completely and you will be able to understand the working of bitcoin and all the logic and theories behind bitcoin. Lets get started:

Bitcoin:

Bitcoin is a digital currency, it was introduced to revolutionize the world. The main idea behind bitcoin is to make the world free from currency notes and to digitalize the world. Another motive behind bitcoin invention was to make a decentralized system of currency. Now let me tell, what is Decentralized system of currency. In Decentralized system of currency there is no one who can manage the rates and the value of any currency. In every country, the worth of their currency is managed by their Government Bank where the currency notes are also generated according to the worth of assets of that country. In Pakistan, State Bank controls the value of our currency that is Rupee. State Bank also generate new notes depending on the worth of assets in our country. Our this system is centralized because State Bank of Pakistan is the one which controls and regulates such things. In decentralized system, the worth of any currency is not controlled by any Company or Organization rather it is controlled by the whole population of the people who are holding that currency. Bitcoin is decentralized currency system which is not controlled by any Organization, Bitcoin is controlled by the whole population that have Bitcoins. For example, the whole population will determine what will be the price of Bitcoin, this is simple example to make you understand, we will see the whole process how it happens in below.

Let say there are 10 Bitcoins in the market. Now let say the worth of each Bitcoin is 10$ when A purchased and person A hold them. Now if A want to sell and B want to purchase A can demand any amount from B. Let A says I will give Bitcoins to B at 15$ each. Now if B wants He can purchase them at 15$ rate. Now let say C got interested and B sell these Bitcoins to C at 20$. Now we see the price for each coin is increasing and the seller and buyer decides the rate of bitcoin. This was just a simple example to make things easy and clear.

Now coming to the real world problem and why and how Bitcoin is useful. Why any person would like to have Bitcoins. We see if a person has a lot of money he would always in tension where to store his money what to buy. In ancient times people bury their expensive things like gold for sake of security, now banks had take the place but bank has other drawback and tensions like taxes and other bank service charges. Now a days it is very easy for any millionaire or billionaire to store their assets they can just buy few bitcoins and their whole money is in their bitcoin wallet they can hold it easily and can convert to dollars at any time. That is why bitcoin is often referred to as Digital Gold, it it is playing the same role as Gold had done before many years.

Disclaimer:

This article is based on my own extensive research on bit coin. Any information provided in this article may be not 100% correct. This is all based on my own opinions and research on bit coin. In case you want to do any investment, you will be responsible for your any profit or loss.