WHAT IS A BITCOIN? Bitcoin is a form of digital currency, created and held electronically. No one controls it. Bitcoins aren't printed, ...
WHAT IS A BITCOIN?
Bitcoin is a form of digital currency, created and held electronically. No one controls it. Bitcoins aren't printed, like dollars or euros – they're produced by people, and increasingly businesses, running computers all around the world, using software that solves mathematical problems. in other word Bitcoins are electronic currency, otherwise known as 'cryptocurrency'. Bitcoins are a form of digital public money that is created by painstaking mathematical computations, and policed by millions of computer users called 'miners'.
Bitcoins are, in essence, electricity converted into long strings of code that have money value.
Now what you should Inform Yourself
Bitcoin is different from any currency you have used before, so it's very important to understand some key points. Unlike government issued money, that can be inflated at will, the supply of bitcoin is mathematically limited to twenty one million bitcoins, and that can never be changed.
Bitcoins are impossible to counterfeit or inflate. You can use them to send or receive any amount of money, with anyone, anywhere in the world, at very low cost. Bitcoin payments are impossible to block, and bitcoin wallets can’t be frozen. Short of turning off the entire world's internet, and keeping it turned off, the Bitcoin network is unstoppable and uncensorable.
While Bitcoin brings unparalleled freedom, it also requires increased user responsibility, but the rewards are well worth your time. Read on to learn how to save 20% on everything from Amazon thanks to Bitcoin. Or you can direct questions to lots of other Bitcoin users in our Bitcoin forum.
How Much Are Bitcoins Worth?
One bitcoin is currently worth around $650 US dollars. There are approximately $1.9 billion USD worth of bitcoins in existence, with approximately $2 billion more to be created.
Bitcoins will stop being created when the total number reaches 21 billion coins, which will be sometime around the year 2040. As of 2016, approximately half of those bitcoins have been created.
Ways you can use Bitcoins
Obtaining bitcoins works just like obtaining any other currency. You can sell something you already have for them. You can ask your existing employer to pay you in Bitcoin. You can use a Bitcoin based payroll service like Bitwage without your existing employer even needing to know. You can start accepting them as payment at your current business. But the easiest way is simply to buy them on one of our trusted Bitcoin exchanges thats if you want it in bunk here in this post am going to tell you can make a some few bitcoin for yourself, all you have to do is to Register first, SIGN UP. fill the form and set up all necessary details, then you can access your account. you can visit the site homepage HOMEPAGE OF BITCOIN . TO know about its pages.
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| YOU CAN USE BITCOIN TO PURCHASE AND EXCHANGE CURRENCY |
so after registering in the site, for you to have free bitcoins you can do so by inviting someone using your url now you will goto Bonus and click referrals. now in that page you will see.
My Referral Links
Use the following links to recommend Bter.com to other people. When they sign up using your referral code, they get 10% off discount on all their trading fees for 6 months and you receive 30% of all their trading fees for 6 months. Notice: Your account needs to be older than 1 day before you can invite other people.
mine is
Signup page URL: https://bter.com/signup/291375
Home page URL: https://bter.com/ref/291375
now in using these two methods you can earn some cash.......
now I know you got so many questions to ask concerning this post, here are some tangled question people frequently ask and also are their answers.
Are There Banking Fees or Other Fees to Use Bitcoins?
Yes, there are very small fees to use bitcoins.
There are no ongoing banking fees with bitcoin and crypto-currency, because there are no banks involved. Instead, you will pay small fees to three groups of bitcoin services: the servers (nodes) who support the network of miners, the online exchanges that convert your bitcoins into dollars, and the mining pools you join.
The owners of some server nodes will charge one-time transaction fees of a few cents every time you send money across their nodes, and online exchanges will similarly charge when you cash your bitcoins in for dollars or euros. Additionally, most mining pools will either charge a small 1% support fee or ask for a small donation from the people who join their pools.
In the end, while there are nominal costs to use Bitcoin, the transaction fees and mining pool donations are much cheaper than conventional banking or wire transfer fees.
Q: Who Makes Bitcoins?
Bitcoins can be 'minted' by anyone in the general public who has a strong computer. Bitcoins are made through a very interesting self-limiting system called 'mining'. It is self-limiting, because only 21 million total bitcoins will ever be allowed to exist, with approximately 11 million of those Bitcoins already mined and in current circulation.
Bitcoin mining involves commanding your home computer to work around the clock to solve 'proof-of-work' problems (computationally-intensive math problems). Each bitcoin math problem has a set of possible 64-digit solutions. Your desktop computer, if it works nonstop, might be able to solve one bitcoin problem in two to three days, likely longer.
For a single personal computer mining bitcoins, you may earn perhaps 50 cents to 75 cents USD per day, minus your electricity costs.
For a very large-scale miner who runs 36 powerful computers simultaneously, that person can earn up to $500 USD per day, after costs.
Indeed, if you are a small-scale miner with a single consumer-grade computer, you will likely spend more in electricity that you will earn mining bitcoins. Bitcoin mining is only really profitable if you run multiple computers, and join a group of miners to combine your hardware power. This very prohibitive hardware requirement is one of the biggest security measures that deters people from trying to manipulate the Bitcoin system.
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Q: How Secure Are Bitcoins?
A: They are as secure as possessing physical precious metal. Just like holding a bag of gold coins, a person who takes reasonable precautions will be safe from having their personal cache stolen by hackers.
Your bitcoin wallet can be stored online (i.e. a cloud service) or offline (a hard drive or USB stick). The offline method is more hacker-resistant, and absolutely recommended for anyone who owns more than 1 or 2 bitcoins.
More than hacker intrusion, the real loss risk with bitcoins revolves around not backing up your wallet. There is an important .dat file that is updated every time you receive or send bitcoins, so this .dat file should be copied and stored as a duplicate backup every day you do bitcoin transactions.
Security note: the collapse of the Mt.Gox bitcoin exchange service is not due to any weakness in the Bitcoin system. Rather, that organization collapsed because of mismanagement and their unwillingness to invest any money in security measures. Mt.Gox, for all intents, had a large bank with no security guards, and they paid the price of their human error.
Q: Can Bitcoins Be Abused?
A: Yes. There are currently three known ways that bitcoin currency can be abused.
1) Technical weakness - time delay in confirmation: bitcoins can be double-spent in some rare instances during the confirmation interval. Because bitcoins travel peer-to-peer, it takes several seconds for a transaction to be confirmed across the P2P swarm of computers. During these few seconds, a dishonest person who employs fast clicking can submit a second payment of the same bitcoins to a different recipient. While the system will eventually catch the double-spending and negate the dishonest second transaction, if the second recipient transfers goods to the dishonest buyer before they receive confirmation, then that second recipient will lose both the payment and the goods.
2) Human dishonesty - pool organizers taking unfair share slices: Because bitcoin mining is best achieved through pooling (joining a group of thousands of other miners), the organizers of each pool get the privilege of choosing how to divide up any bitcoins that are discovered. bitcoin mining pool organizers can dishonestly take more bitcoin mining shares for themselves.
3) Human mismanagement - online exchanges: with Mt.Gox being the biggest example, the people running unregulated online exchanges that trade cash for bitcoins can be dishonest or incompetent. This is the same as Fannie Mae and Freddie Mac investment banks going under because of human dishonesty and incompetence. The only difference is that conventional banking losses are partially insured for the bank users, while bitcoin exchanges have no insurance coverage for users.
Q: Why Are Bitcoins Such a Big Deal?
A: There are four reasons why there is so much controversy around bitcoins:
1) Bitcoins are not created by any central bank, nor regulated by any government. Accordingly, there are no banks logging your money movement, and government tax agencies and police cannot track your money. This is bound to change in the next two years, as unregulated money is a real threat to government control, taxation, and policing.
Indeed, bitcoins have become a tool for contraband trade and money laundering, precisely because of the lack of government oversight.
The value of bitcoins skyrocketed in the last 18 months because wealthy criminals were purchasing bitcoins in large volumes.
2) Bitcoins completely bypass banks. Bitcoins are transferred via peer-to-peer network between individuals, with no middleman bank to take a slice.
Bitcoin wallets cannot be seized or frozen or audited by banks and law enforcement. Bitcoin wallets cannot have spending and withdrawal limits imposed on them. For all intents: nobody but the owner of the bitcoin wallet decides how their wealth will be managed.
This is really threatening to banks, as you might guess.
3) Bitcoins are changing how we store and spend our personal wealth. Since the advent of printed (and eventually virtual) money, the world has handed over the power of currency to a central mint and various banks. These banks print our virtual money, store our virtual money, move our virtual money, and charge us for their middleman services. If banks need more currency, they simply print more or conjure more digits in their electronic ledgers. This system is easily abused and gamed by banks because paper money is essentially paper cheques with a promise to have value, with no actual physical gold behind the scenes to back those promises.
Bitcoins are designed to put the control of personal wealth back into the hands of the individual. Instead of paper or virtual bank balances that promise to have value, Bitcoins are actual packages of complex data that have value in themselves.
4) Bitcoin transactions are irreversible. Conventional payment methods, like a credit card charge, bank draft, personal cheque, or wire transfer, do have the benefit of being insured and reversible by the banks involved. In the case of bitcoins, every time bitcoins change hands and change wallets, the result is final. Simultaneously, there is no insurance protection of your bitcoin wallet: if you lose your wallet's hard drive data, or even your wallet password, then your wallet's contents are gone forever.
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