The word bitcoin contains two roots is "bit", which in computer language means the unit of measurement of information and "coin", to put it simply - coin. If you do not go into complex terms, such as cryptocurrency, open source, public key etc., it can be concluded that the bitcoin is a virtual digital currency. It was established in late 2008 by Japanese Satoshi Nakamoto. Some sources also leaked information that Satoshi Nakamoto is just a pseudonym behind which lurks a group of people. Bitcoin does not depend on money center, issuing any currency, or from the banking and financial systems. Creating a virtual currency can tackle almost any owner of a personal computer, however, provided that the computer is powerful enough. Bitcoin is generated using special software, and the whole process of creating a cryptocurrency called "mining". About mining we will discuss later in detail and analyze all, and yet delve into the topic of the bitcoin. Just as a dollar is divided into 100 cents, the ruble is 100 kopeks, bitcoin also has its sub-unit, named in honor of the founder of the cryptocurrency industry "Satoshi". One bitcoin contains a hundred million Satoshi.
Let's look at the advantages of bitcoin read more:
- Complete anonymity of the owner. While all transactions are public, namely anyone can look at any purse and see the amount, time and the address of another wallet that the money was transferred, the identity of the owners of all the bitcoin wallets are anonymous, and no one will ever be able to know by whom it was made or that the transaction.
- Bitcoin transfers are absolutely no commissions, while our banks may charge such immense interest that you begin to fear eaten up by inflation, coupled with deductions for the benefit of the state. Online wallets, such as Yandex Money, Kiwi, WebMoney, also impose a serious Commission on almost all kinds of translations.
- Bitcoin is truly global currency. Since bitcoin was not to bind to any of the countries he is free from all laws, restrictions and regulations, while for example the US dollar is under the control of financial institutions in the country, who have every right to have a significant impact on its course.
- The use of crypto-currencies in any country that is not a violation of the law. There are so many arguments about the fact that bitcoin is used for drugs and arms trafficking. Yes, it is true, the use of any currency in this way is illegal, but the currency just impossible to ban.
Scare people and tales of the imminent ban. This is done for one simple reason - bitcoin is a limited currency that cannot be printed in such quantity in what you want. The total number of bitcoins was initially limited so that in all the Land and all the time it will be possible to generate a maximum of twenty one million bitcoins.
The last coin will be generated in 2140х. From this we can draw a reasonable conclusion: If the total number of available bitcoins cannot be artificially increased in the future, crypto currency protected from inflation and crisis, and its cost will eventually be higher and higher.
The most optimistic forecasts bitcoin in the next 10 years is able to overcome the mark of $ 10,000 per unit.
Many countries have already fully recognized the bitcoin as an independent currency, which is used along with other currency. For example, in Germany there are shops that accept payment with cryptocurrency, as well as machines for issuing bitcoins. I will look briefly at the history of the creation of virtual currency and will focus on the main points.
As mentioned above, bitcoin was created at the end of 2008, but in January 2009 was created the first app, which Satoshi Nakamoto has generated its first 50 bitcoins. Some time later, the bitcoin made the first virtual journey from one user to another, and by the end of 2009 appeared the first participants and the owners of bitcoin wallets. At first, the virtual currency has spread very slowly because participants could exchange coins directly from computer to computer. At that time, one dollar could buy from 700 to 1500 bitcoins. This price was formed by the very simple principle involved, the average processor power multiplied by the cost of electricity is then divided by the resulting number of coins. Of course, today this formula is no longer relevant because bitcoin mining is more and more difficult. May 22, 2010 was one of the most important events in the history of bitcoin, namely the first transaction.
Bitcoin transaction.rd that day a visitor to the site Bitcoin Talk ordered two pizzas, paying for them with ten thousand bitcoins. At the time this amount is equivalent to 25 dollars. After some two months, ten thousand units of the cryptocurrency was worth about six hundred dollars. Then the customer pizza for the first time regretted my purchase. But after three years he had to upset the second time, while his dinner was already equal to more than 10 million dollars, and it was probably the most expensive dinner in the world. In February 2011, was created the first cryptocurrency, the bitcoin exchange. Initially bitcoins on that exchange cost 5 cents per unit, but six months later the price rose to 60 cents, and the total contributions to the system at this time was more than half a million dollars.
Soon appeared at the exchange, the exchange of bitcoin not only in dollars but in other currencies. Then came a time of UPS and downs before the most powerful a breakthrough and rise to $ 1,200 per unit. In August
2012 digital currency, went offline. First, in new York, and later in the CIS countries was held information and promotes the event on the topic of cryptocurrencies. Later meetings of this type have acquired a permanence. In the course of these lectures raised not only the topics about the future awaiting the whole industry of virtual money in the global economy, but also presentations counterparts of bitcoin, one way or another related to it. The bitcoin all year, slowly but surely captured the interests of the growing number of people, however, 2013 was a time interval of the fall of bitcoin - both in positive and in negative sense. 28 Feb 2013 the value of one virtual unit for the first time in 600 days, has surpassed the milestone of thirty one dollar ninety-one cents. For the first months of 2013 marked the start of mass distribution of bitcoin, and the first of April of that year, one unit of the cryptocurrency sold at a price of $ 100 per unit, and the tenth of April at $ 266. Seeing this, the media began to literally "blow" on mass growth rate, which oddly enough, brought it down to $ 65. However, in November, the bitcoin began to rise again, and by the end of the first week was estimated at more than $ 300. By this time, and the cryptocurrency knew quite a few, especially those who are interested in the news, and by the end of November of the same year, one bitcoin was offered about $ 1,200. Such an event could not fail to attract the attention of the authorities, and the state of different countries all closely watched the situation, often interfering with and restricting users currency obveshivaya their various laws. For example, the Central Bank of China "recommend" to its child and even competitive banks not to use the cryptocurrency in financial activities, and the largest search engine of the country, called "Baidu" was forced to completely withdraw from the campaign ideas. For a search engine was followed by the largest telecommunication company of China, completely abandoning the use of virtual money. After a series of such events, the price of the virtual cryptocurrency has stala to fall rapidly, reaching $ 600. Also bring confusion among the members of the system began in Europe, saying that the exchange rate of bitcoin is unstable and at any moment can instantly depreciate, and investors will remain with the nose. Despite such a loud statement, the value of bitcoin slowly and steadily crept upstairs and was about four hundred dollars per unit. According to the latest forecasts by the end of 2015 is expected to be very rapid and very high rise of bitcoin. The cost, as already known, determined solely by the magnitude of demand and consumption, and a currency independent of Bank manipulation you want to have more and more people.
Mining bitcoins.gmetad bitcoin mining
Today there are several methods of bitcoin mining. The most basic is known from mining. In English, the word "mining" means "mining" and respectively, "miner" is "miner". Also there are various methods of mining, only three of them.
The first way is to mine your computer.
So, a user installs on your computer a special program that searches for and unravels monetary units. This method has long lost its relevance, and users still wishing to earn so much money, are doomed to the burning of your video card go to waste.
The second method is mining in a pool, which is much more interesting and promising, and looks this way: going to a group of miners, presumably from thousands of people and together produces bitcoins. Once one of the computers finds a treasured block, its amount is distributed evenly between all participants of the virtual excavation
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