What is Bitcoin
As the name suggests, bitcoins are a digital form of currency that can be transferred online between users. It has no physical commodity like gold or silver and is rather a peer to peer transaction system based on mathematics and encryption protocols. The transfer of bitcoins is done through the special software that is installed on every computer in the world. There is no third party involved in this transfer which makes it very private and secure.
This type of digital currency has been used as a payment system for quite some time now. The original use was to facilitate online money transfers but as the technology evolved, it was applied to different uses including real-world retail industry. Many leading currencies are now being traded on the bitcoin network including US dollar, Japanese yen, Euro, Swiss franc and Singapore dollar.
There are also other currencies that are being traded on the bitcoin network like platinum, palladium, gold and silver coins. One important thing to note about this digital currency is that you need to have a certain software in order to participate in the transaction. This software is known as the’bitcoin wallet’, and it is basically required to ensure that you are using the right digital currency to make the correct transactions. The bitcoin network is open to anyone who wishes to participate in this market. There is absolutely no third party involved thus it is an ideal way for people to make their own payments.