The technology behind Bitcoin can be somewhat confusing, particularly for those who haven’t had any experience using crypto currency before. However, soon there won’t be any way to avoid learning about it. Bitcoin and blockchain technology are currently taking over the digital landscape, the online gaming market is being taken over by Bitcoin casinos, and Bitcoin is looking to dominate financial institutions and other industries in the future. This exciting crypto currency really could provide a whole new means of currency in the near future, which is why we think it’s important for newcomers to have a basic understanding of what crypto currency is and how it works.
Take a look at our infographic below to learn the basics of Bitcoin, find out what it can do for you, and learn some interesting facts about crypto currency that will get you just as excited about it as we are!
Bitcoin Stats
The history of the Bitcoin is a long and confusing one, but one thing that is known is that the creator/creators of the Bitcoin were known under the pseudonym Satoshi Nakamoto. The identity of the creator of Bitcoin is completely unknown; however, over the years several people have come forward claiming to be the mastermind behind it all. Australian entrepreneur Craig Wright, for example, claimed that he was the creator of the Bitcoin, although this remains unconfirmed.
Quite simply, Bitcoin is a virtual crypto currency which is developed through a ‘mining’ process. One of the biggest benefits of the Bitcoin currency is that it is decentralised, which means that it can be used all over the world without being touched by legal jurisdictions.
There are a huge number of stats and facts that you can draw up about Bitcoin, but with more and more blocks being mined every day, the numbers are constantly changing. One of the most interesting figures that you can find about Bitcoin is the fact that the number of Bitcoins that will ever be in existence is capped at approximately 21 million. Due to the creator/creators behind Bitcoin being unknown, there is a lot about Bitcoin that remains a mystery and we might never know the logic behind this cap and what happens once this cap is reached is something that many people wonder about.
Over time, as more Bitcoins are mined, the number of Bitcoins that are generated per block will decrease, with a 50% reduction every 210,000 (or ever four years). It is for this reason that the number of Bitcoins will never exceed over 21 million. The current value of all Bitcoins in circulation equates to around 14bn, and with 16.2 million bitcoins already in existence out of the 21 million, we are likely to see Bitcoin evolve further and further with every Bitcoin that is mined.
Volatility & Major Companies
Volatility is one of the major issues that has arisen with the use of Bitcoin over the past few years, but this is gradually beginning to steady out. As you can see above, 2011’s peak volatility percentage reached a whopping 16.11%, which is the highest it has been since it began. With the volatility beginning to settle down within the crypto currency, a number of merchants and companies have already begun accepting Bitcoin as a currency, including: WordPress, Expedia, Save The Children, Subway and many more!
Helpful Bitcoin Terms
If you are a beginner, there are a number of helpful terms that you are going to need to understand before you begin using Bitcoins. This will help to ensure that you have a thorough understanding of the terminology used so that your entire process is as smooth as possible. For example, you can’t begin to use Bitcoin without first knowing what a Bitcoin wallet is and how to use your public and private key. In addition to this, understanding the basics of Blockchain terminology can help you make the most of your Bitcoins and ensure that your entire experience with the currency is as smooth as possible.
How To Buy Bitcoins / What You Can Do With Bitcoin
If you’re a newbie to Bitcoin, then one of the first things you’re going to need to know is how you can purchase Bitcoins for your wallet and what you can do with them. The value of Bitcoin is relatively high, so in order to buy whole Bitcoins you’re going to need a bit of cash behind you. However, there are two common ways in which you can purchase the crypto currency. One of these ways involves carrying out a money transfer, which is the most common to purchase Bitcoins, and all you have to do is send your bank account information and transfer the money into your Bitcoin account/wallet. Alternatively, some services can provide you with the opportunity to turn cash into credit. It is with this credit that you can purchase Bitcoins through the Bitcoin exchange.
There are a number of different things that you can do with your Bitcoins. You can sell them through peer-to-peer trading at the BTC exchange, or through direct trades in exchange for a service or to others who you want fiat-currency from. You can also invest or save your Bitcoins with the possibility that their value will increase in the future; spend them at a Bitcoin casino or shopping outlet online; exchange them for cash in person or transfer; or store them in a Bitcoin wallet.
World’s Top 10 Bitcoin Friendly Countries / Who’s Got The Most Bitcoins
Bitcoin is growing dramatically in popularity around the world, particularly as it begins to take over the online gambling world. However, there are a number of countries, particularly in Europe, that are already ahead of the game. For example, Denmark, Finland, Estonia, The Netherlands and the UK are all leading the way towards accepting Bitcoin as a currency, with some countries even having their own Bitcoin cities and Bitcoin ATMs. The USA and Canada are not far behind, with a number of crypto currency users and the highest number of Bitcoin trading volumes in the world. It’s easy to see how quickly the Bitcoin currency is catching on.
However, while there are still a number of Bitcoins waiting to be mined, there are many people who already own millions of them! The Winklevoss Twins are some of the most famous Bitcoin enthusiasts, and they have confirmed that they own around $11 million worth of Bitcoins! However, it is creator Satoshi Nakamoto who is said to own the most Bitcoins and is estimated to have mined around 1 million Bitcoins.
The Bitcoin world is evolving and it will be no surprise to see it being accepted around the world as a standard currency in the next few years. With volatility levels already declining and an acceptance of the currency already present in a number of countries, Bitcoin is certain to begin taking over the world.
We hope our beginner’s guide to Bitcoin has given you a starting point on your way to diving into the elusive and exciting world of Bitcoin!
