What is Bitcoin?
The world’s first widely-adopted cryptocurrency. With Bitcoin, people can securely and directly send each other digital money on the internet.
Bitcoin was created by Satoshi Nakamoto, a pseudonymous person or team who outlined the technology in a 2008 white paper. It’s an appealingly simple concept: bitcoin is digital money that allows for secure peer-to-peer transactions on the internet
Transactions are made with no middle men – meaning, no banks! Bitcoin can be used to book hotels on Expedia, shop for furniture on Overstock and buy Xbox games. But much of the hype is about getting rich by trading it. The price of bitcoin skyrocketed into the thousands in 2017..
Bitcoins can be used to buy merchandise anonymously. In addition, international payments are easy and cheap because bitcoins are not tied to any country or subject to regulation. Small businesses may like them because there are no credit card fees. Some people just buy bitcoins as an investment, hoping that they’ll go up in value.
Buy on an Exchange like VelocityCrypto.com
Many marketplaces called “bitcoin exchanges” allow people to buy or sell bitcoins using different currencies. VelocityCrypto is a growing leading exchange, that allows for purchases and payouts for sells in local currency with local payment gateways
People can send bitcoins to each other using platforms like VelocityCrypto on mobile phones or their computers. It’s similar to sending cash digitally.
Bitcoins are stored in a “digital wallet,” like that on VelocityCrypto, which can exist in the cloud. The wallet is a kind of virtual bank account that allows users to send or receive bitcoins, pay for goods or save their money
The anonymity of bitcoin
Though each bitcoin transaction is recorded in a public log, names of buyers and sellers are never revealed – only their wallet IDs. While that keeps bitcoin users’ transactions private, it also lets them buy or sell anything without easily tracing it back to them. That’s why it has become the currency of choice for people online making transactions that they don’t want to be tracked.
SOME MORE ON BITCOIN
- Unlike services like Venmo and PayPal, which rely on the traditional financial system for permission to transfer money and on existing debit/credit accounts, bitcoin is decentralized: any two people, anywhere in the world, can send bitcoin to each other without the involvement of a bank, government, or other institution.
Every transaction involving Bitcoin is tracked on the blockchain, which is similar to a bank’s ledger, or log of customers’ funds going in and out of the bank. In simple terms, it’s a record of every transaction ever made using bitcoin.
Unlike a bank’s ledger, the Bitcoin blockchain is distributed across the entire network. No company, country, or third party is in control of it; and anyone can become part of that network.
There will only ever be 21 million bitcoin. This is digital money that cannot be inflated or manipulated in any way.
It isn’t necessary to buy an entire bitcoin: you can buy just a fraction of one if that’s all you want or need.
Since Bitcoin’s creation, thousands of new cryptocurrencies have been launched of which the major ones are also available on VelocityCrypto, but bitcoin (abbreviated as BTC) remains the largest by market capitalization and trading volume.
Depending on your goals, bitcoin can function as
an investment vehicle
a store of value similar to gold
a way to transfer value around the world
even just a way to explore an emerging technology
Bitcoin is a currency native to the Internet. Unlike government-issued currencies such as the dollar or euro, Bitcoin allows online transfers without a middleman such as a bank or payment processor. The removal of those gatekeepers creates a whole range of new possibilities, including the potential for money to move around the global internet more quickly and cheaply, and allowing individuals to have maximum control over their own assets.
Is bitcoin money? It’s been used as a medium of exchange, a store of value, and a unit of account—which are all properties of money. Meanwhile, it only exists digitally; there is no physical version of it.
BITCOIN FREQUENTLY ASKED QUESTION
What is BTC?
BTC is the abbreviation for bitcoin.
Is Bitcoin cryptocurrency?
Yes, bitcoin is the first widely adopted cryptocurrency, which is just another way of saying digital money.
Is there a simple bitcoin definition?
Bitcoin is digital money that allows secure and seamless peer-to-peer transactions on the internet.
What's the price of bitcoin?
The current price of Bitcoin can be found on the VelocityCrypto website.
Is Bitcoin an investment opportunity?
Like any other asset, you can make money by buying BTC low and selling high, or lose money in the inverse scenario.
At what price did Bitcoin start?
One BTC was valued at a fraction of a U.S. penny in early 2010. During the first quarter of 2011, it exceeded a dollar. In late 2017, its value skyrocketed, topping out at close to $20,000. You can track the price of bitcoin on Velocity crypto.