crypto:bitcoin_guide
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What is the Bitcoin (BTC) Crypto Token?
Bitcoin (BTC) is the world’s first and most well-known cryptocurrency. Launched in 2009, it was designed as a decentralized alternative to traditional currencies (like the US Dollar or Euro) and banking systems.
Unlike traditional money, Bitcoin isn't printed by governments or held by banks; it exists entirely on a digital network powered by its users.
- Key Features of Bitcoin
Bitcoin’s unique value comes from several core characteristics defined in its original “White Paper” by its anonymous creator:
- Decentralization: No central authority (like a Central Bank) controls Bitcoin. Instead, it runs on a global network of computers called nodes.
- Fixed Supply: There will only ever be 21 million bitcoins. This scarcity is why many investors refer to it as “digital gold.”
- Blockchain Technology: All transactions are recorded on a public, digital ledger called a blockchain. This ledger is transparent and nearly impossible to hack or alter.
- Divisibility: You don’t have to buy a whole Bitcoin. The smallest unit is a Satoshi (named after the creator), which is 1/100,000,000 of a BTC.
- How Does It Work?
Bitcoin operates through a process called Mining, which uses a mechanism known as Proof of Work (PoW).
- Transactions: When you send BTC, the transaction is broadcast to the network.
- Verification: “Miners” use powerful computers to solve complex mathematical puzzles to verify these transactions.
- The Reward: The first miner to solve the puzzle adds a “block” of transactions to the blockchain and is rewarded with newly created Bitcoin.
- Security: Because every node has a copy of the ledger, any attempt to “fake” a transaction would be immediately rejected by the rest of the network.
crypto/bitcoin_guide.1767232863.txt.gz · Last modified: by deathrequiem