It does not matter if you are new to the cryptocurrency world or have long standing in the game, you must have heard of Bitcoin. Yes, the revolutionary and world’s first and most commercially popular virtual money. Even if you are someone who does not have a keen interest in financial markets, but has access to the Internet, chances are you have probably heard of the word. Today, we take you through what makes Bitcoin arguably, the boss of the Cryptocurrency world and why you should consider Bitcoin Profit- the online trading platform your friend.
Let’s first start from the beginning.
Bitcoin was launched in 2008. It was and is decentralized money which means that it does not require any bank to act as an intermediary between two parties. For example, you are making a money transaction with a merchant using a digital mode, such as net banking. In this transaction, you will need the help of a bank that acts as an intermediary between the two parties involved. This segment, when dealing with cryptocurrencies like Bitcoin, does not have any role to play. This is what makes virtual money decentralized.
The popularity of Bitcoin was marked on the day it was first introduced. As of today, there is no accurate information available on who invested in the world-changing crypto coin. The only information the world has so far is the name ‘Satoshi Nakamoto’ but there is no photography or any other personal information available on him thus giving rise to speculations that are not really a true name. Although first coined in 2008, the first commercial transaction using Bitcoin was not made until 2010. This is when Laszlo Hanyecz, a programmer, paid Papa John’s for 2 pizzas.
The number of coins exchanged was 10,000 Bitcoins. For more clarity, 10,000 Bitcoins as of recent wiring is close to USD 300 million.
Since the first commercial transaction, Bitcoin has been traded commercially millions of times. It also made its way into the black markets during the initial days. This is in fact, one of the major reasons why several countries have regulations in place that determine if Bitcoin holds a legitimate place in the regional financial market.
For instance, the prohibitions against Bitcoin that started in 2013 by the People’s Bank of China disallowing financial institutions from using Bitcoin, reached a situation where the bank initiated crackdown programs for several miners of any form of cryptocurrency, as of 2021.
This takes us to a serious question. Is Bitcoin or any other cryptocurrency legal or just a technical craze?
Well, there is no one answer to it. One thing we can say for sure is that cryptocurrency is not just on the web anymore. The large number of people investing and trading in cryptocurrencies has led regional governments to acknowledge its existence and at least hold discussions around it. Every country has its own set of rules that determine if it considers trade based on digital money as legal affairs. Cryptocurrency, however, needs discussions and acknowledgment to be considered at par with other forms of monetary and non-monetary transactions.
How does Bitcoin function?
Since it is not regulated or subject to any government or bank regulation, Bitcoin transactions rely on cryptography and peer-to-peer software. To understand this better, think of it like collecting traditional physical coins in a wallet. In the same way, digital coins are collected in digital wallets which are accessible to the client using software and some hardware tools.
Here is a more in-depth explanation of Bitcoin working.
- There is a public ledger that exists which holds records of all Bitcoin-related transactions. The copies of the ledger are held in servers spread across the globe
- You can set up a server on your spare laptop and the server will be called a node
- Who owns which coin is not decided by a centralized authority. Instead, the decision is taken cryptographically
- Every transaction that takes place is broadcasted from one node to another. The information is collected every 10 minutes by miners who permanently add the collected block to the blockchain
What is Bitcoin Profit and why is it a friend?
Bitcoin Profit is an online trading platform that facilitates every aspect related to Bitcoin finance. The trading platform not only promotes transactions but aims to teach beginners how to trade successfully and make the best of what Bitcoin cryptocurrency has to offer. What makes this platform different from the rest? It works with a more methodological approach by making use of informative charts. For anyone who does not know the importance of charts in financial markets. Well, they can make or break the game!
It is important that before you delve into any financial transactions, it’s important to first sit and create a plan and goal for yourself. You should know exactly what your expectations are from the market that you are dealing with. It will help you improve profits and cut down losses.