What is Bitcoin?
The Bitcoin Story as an Abstract
Bitcoin (BTC) as a digital decentralized cryptographic currency is currently the fastest, cheapest and most secure way to transmit money internationally from one internet-connected device to another.
It is also used to store value due to the fact that the total number of bitcoins is democratically controlled and limited and furthermore no central authority can issue uncontrolled amounts of bitcoins and thus inflate the value of the currency. The digital coins are cryptographically stored in a digital wallet, a file.
Bitcoin as a world-wide distributed computing network of workers has by far the highest performance for calculating the SHA-algorithm which secures the network and transactions.
Workers (also called miners)are rewarded in a fair way with new-generated bitcoins and the transactions fees. Bitcoin is developed and maintained all by hundreds world-class programmers, security-specialists and admins.
The Bitcoin economy is booming because of the unique advantages of the Bitcoin network compared to the traditional central-banking system.
The Top Five of Bitcoin Features
Fast: Transactions are broadcasted in seconds around the world. After about 30 minutes no transaction can be reversed and no charge-backs are possible.
Cheap: Transactions are free. However it is recommended to include a fee of 0.0005 BTC in transactions in order to speed them up. This makes Bitcoin the cheapest payment network of the planet with practically no fee.
Secure: Cryptography algorithms secure transactions and storage of bitcoins. As no charge-backs are possible, merchants do need to trust their customers far less and can process the order immediately without requiring more than a shipping-address.
Easy: In order to send coins to a wallet one only needs an address. No name, birthday, expiry dates or any other information is required.
Open: The Bitcoin protocol and the fundamental software stack is open source and everybody can participate and instantly receive and send money after downloading a client.
Our favorite Bitcoin sites
- We use Coins
- Your Portal into the World of Bitcoin
- Home of the original Bitcoin open-source project.
- Bitcoin Charts
- Real-time quotes from all major Bitcoin exchanges.
- Data and statistics from the Bitcoin network.
- Bitcoin Wiki
- Hundreds of wiki articles on various Bitcoin subjects.