Stinger Press
The idea for Bitcoin was started in 2007 by Satoshi Nakamoto, a pseudonymous name given to a person or group of persons who created the idea for and implemented this form of digital currency. In this year, the founder(s) published an article highlighting the promise of cryptocurrency. The first Bitcoin software was released in 2009, and in October of the same year, the exchange rate was established: $1 US Dollar went for $1,309.03 BTC (Bitcoins). Today, the exchange rate is $1 BTC = $690.03 US Dollars, or $763.79 Canadian dollars, which shows that the value of Bitcoins has gone up quite a lot in a short amount of time. Earlier last year, the price of one Bitcoin briefly exceeded the price of one ounce of gold. Everyone who buys and sells Bitcoins is a part of the Bitcoin Market, established on February 6, 2010.
The Basics You Need to Know About the Revolutionary Cryptocurrency that Could Change the Global Economy.
If you had invested ten dollars into Bitcoin in 2010, you would be a millionaire today. No, that wasn't a typo.
Bitcoins are virtual coins that are sent directly from person to person, known as Peer-to-Peer technology, without the need of a bank. Since there is no need for a bank, Bitcoin is known as being a decentralized form of currency. Bitcoins has received mixed reactions from the world governments. In China, banks are completely banned from processing any transactions involving Bitcoin, whereas in the United States the FCEN has declared regulatory guidelines for Bitcoin. Norway rejects the label currency for Bitcoin, but will collect taxes on it regardless. Other Countries, including Canada, have declared that all normal rules of traditional currency apply to Bitcoin.
Bitcoin Exceeds Price of Gold
A person needs to have a Bitcoin wallet to use Bitcoins. The three main types of Bitcoin wallets are: web-based, PC software, and mobile apps. The first type of wallet, web-based wallets, is the rarest of the three. The second type of wallet, PC software wallets, also requires an internet connection, and it can be installed onto a desktop or laptop. The third type of wallet, mobile apps, can give the Bitcoin user access to their virtual currency at the palm of their hands. Bitcoin recommends that users download the entire Bitcoin client onto their computer. A client is a program that runs on the user’s computer hardware or software, and it provides services between computers through a server. The more users that are on this currency, the stronger it becomes, which is why many users opt to install the full client. Known as mining, this process is when you allow your computer to process mathematical problems in exchange for a small amount of Bitcoin.
One of the biggest difficulties Bitcoin has is its acceptance rate, or rather, the rate at which companies choose to take Bitcoins as currency. However, recently, Bitcoin has obtained the backing of Overstock, a popular website used for online shopping. The CEO of this company, Patrick M. Byrne, predicts that Amazon, the giant online shopping site, would also take Bitcoin as a form of currency in the upcoming future. Another challenge the currency has is that its dramatic changes in prices, making it an unpredictable force in the market, and a risky investment to investors.
Knowing the challenges and promise Bitcoin has, it’s difficult to know where the future of this currency stands. Will Bitcoin become even more popular and stronger than it is now, or will the cryptocurrency ultimately crash?
by Christian Lawton
The virtual currency giant - which had a market cap of over $10 billion U.S dollars last November - has been at the center of tremendous media attention over the past two years. What's the hype?