You may have heard about it, but what is Bitcoin?
With a fast growing user base, there is a good chance you have overheard people talking about Bitcoin- though you still may a bit lost as to what it is. Bitcoin is a peer-to-peer open-source cryptographic protocol that allows users to make transactions using a digital currency called Bitcoin to exchange value. Unlike traditional currencies, Bitcoin is not tied to or controlled by any government or financial institution. You can send send Bitcoins to anyone anywhere in the world, without any third party saying "no."
Five distinct advantages of Bitcoin
There are many other advantages to using Bitcoin and it is surprisingly simple to use! To learn more about the technical aspects of Bitcoin, please visit bitcoin.org.
Want to start using Bitcoin? First you need a wallet
There are three types of wallets; software wallets, mobile wallets, and web wallets. While they are developed in different manners, they all have the same goal: allow users to store bitcoins and make transactions to other users on the Bitcoin network. Users can make transactions to anyone, regardless of wallet type. Wallets simply vary in additional features, security, and stability.
Software wallets install directly onto your computer. They are traditionally safer than mobile wallets and web wallets, but make the user responsible for handling their own backups and taking additional security precautions.
Mobile wallets allow users to utilize Bitcoin on the go. By using QR codes or NFC (Near field communication) on their phone, users can spend bitcoins at physical locations that accept it.
Web wallets allow users to access their wallet anywhere with an internet connection, with most of the additional security managed by the wallet provider. Be careful however, as any security flaws in the provider's website could risk your bitcoins.
You can acquire bitcoins by accepting them as as payment for any goods or services that you provide. You can also purchase them directly from an exchange with your bank account.
Each day, new companies begin accepting bitcoins for goods and services.