With the exponential rise in bitcoins, it has caught the attention of individual from all over the world. By now a lot of people have already started investing in bitcoin; however, there are some who are still unaware of the technology. To help them, here we bring to you, some amazing facts on bitcoin that one need to be aware.
- Doesn’t require central authority: basically, the traditional money that we use today is a medium of exchange regulated by a central authority and its rise and fall in price depend on the global market.
But bitcoin, unlike the traditional currency, works on a decentralized model that does not require central monitoring and it gives access to everyone using it.
- They exist in Finite numbers: one may assume that since Bitcoin doesn’t require to be printed physically and also doesn’t require any central authority regulating it, bitcoin can be created infinitely. However, the truth is there are only 21000000 bitcoins in the world.
- Does not store content value: Only thing certain about bitcoin is its uncertainty. Bitcoin-like other cryptocurrency does not hold any intrinsic value that we have in traditional currency.
- Transparency in all transaction: bitcoin has the unique feature that allows transparency during transactions and of amounts. One can easily access any data related to their transactions on the Blockchain. Moreover, it focuses to built trust and integrity among the bitcoin community.
- Bitcoin can be mined: Using mining technique user can earn bitcoin without purchasing them, by simply using the computer program to solve the complex mathematical problem and verifying numerous transactions on the network. For validating this transaction, miners get paid in bitcoins.
- Once you lose your wallet then you lose hold on bitcoin: Though wallets are used to store bitcoin, they are more vulnerable to hacks and breeches. These wallets holding your precious bitcoin, if lost or hacked, then you will automatically lose access to all the bitcoin stored in it. So it is important to ensure the security of wallets to secure bitcoin.
We believe you will find these facts about bitcoin interesting and informative. For more such information about bitcoin, don’t forget to connect us on Blockchain Africa.