Bitcoin is normally associated with the dark web. However, this is a common, misperception. In fact, while its value ranges, Bitcoin is continuously growing in popularity among ‘average’ Internet users. It hit an all time high just in January! However, while people have heard of Bitcoin, they don’t exactly know what it is...well today we’ll be removing the smoke screen on this currency.
So, What Is Bitcoin?
Bitcoin is a virtual currency or ‘cryptocurrency’. It’s numbers or complicated, lengthy code, on the Internet that cannot be exchanged for hard cash but that has monetary value. Bitcoins are the result of intricate mathematical calculations that are monitored by ‘miners’ (millions of Internet users worldwide).
How Does It Work?
While Bitcoins have no hard cash value, they function a lot like physical money. Once traded, your digital money has value and can be traded. Goods and services can be purchased with Bitcoins. They can even be saved in case their value increases over time. Bitcoins are traded using wallets that are stored on your Internet accessible electronic device or in the cloud.
Bitcoins have ever-changing value, a lot like stocks. It’s possible to keep an eye on Bitcoin value by going on sites like Coindesk.
Bitcoin is both decentralized and unregulated. Unlike conventional currency, there is no central bank or mint for Bitcoin.
A Catalyst For Crooks
While Bitcoin is not necessarily a tool for making the black market thrive, it has been used by criminals as a means for shifting money around under the radar. The reason Bitcoin became so famous is because criminals bought millions worth of Bitcoins and were able to move money around without being detected by police. This demand for Bitcoin caused its value to escalate quickly.
While this currency has been used for shady transactions, it is potentially more fraud proof than bank cards because of the amount of complex coding that goes into making a single bitcoin.
Wanna learn more about Bitcoin? Check out this article here!