According to Wikipedia, a Bitcoin is “a cryptocurrency and worldwide payment system”. This digital asset which is the first decentralized digital currency was invented by a man calling himself Satoshi Nakamoto and introduced in January 2009. In the intervening nine years, the Bitcoin phenomenon has steadily grown in popularity and influence, and its creator might be set to become the world’s first trillionaire ever.
Bitcoin transactions take place between users in a direct way, as there is no central repository or single administrator. Transactions happen via cryptography. As of 2015, over 100,000 merchants and vendors have accepted Bitcoin as a payment method.
Last month, a milestone was reached as one Bitcoin was worth $10,000. Nowadays, its value has already risen to remarkable $17,688.99. Also, it is currently valued at more than $297 billion on the market.
Interestingly, Satoshi Nakamoto is an alias of a mysterious man who so far hasn’t publically revealed his identity. He is also believed to own one million bitcoins already, which translates to $17 billion. This sum is going up as you read this, leading to some analysts predicting him to become the first trillionaire in history.
According to Bitcoin.com, there are several advantages to choosing the currency. As there is an internet transfer, you don’t have to go to the bank and there are no fees that you would have to pay. Also, it is a universal method involving any country in the world. The company claims there are “no prerequisites or arbitrary limits.” Sounds too good to be true?
This is how it works. You keep Bitcoins in your digital wallet, that is your mobile device or your computer. It’s very easy to send money, not dissimilar to sending an email. Choosing your own fees is also an option. But it’s not entirely free. The network is secured by individuals called ‘miners’. They get newly generated Bitcoins when verifying transactions. This is then recorded in a transparent public ledger. In that way, your identity is protected without the need for a credit card.
The cyber coin’s value is projected to continue to soar. It is currently on the top of the list in the cryptocurrency market, ahead of its closest competitors, Ethereum and Ripple.
Here are some people who definitely want their money back.