Revolution in technology has made some significant changes in the economy around the world. The result of such revolution has created a digital currency called bitcoin. Bitcoin was first created back in 2008 by Satoshi Nakamoto. What bitcoin offers its users is the promise of lower transaction fee than the one in the traditional transaction. It has an online payment process which administrated by a deconcentrated authority, unlike that in the government currency procedures.
Just to make it clear, bitcoins are not physical as they are the balances that are kept on an authorized public ledger in the cloud storage. Transactions that happen through bitcoin are verified and managed by massive and powerful computing technology.
Bitcoin refers to the type of cryptocurrency in which currency balances are kept by public and private keys. These keys are the long strings of numbers and letters which are combined by using a mathematical algorithm. The public key is there to serve as an address on which other people can send bitcoins. Private Key is just like bank’s ATM pin which is meant to be kept private for safeguarding the transactions. Bitcoins are not really backed by government or banks out there. Despite the fact that bitcoin is not a legal trend, it is still gaining high popularity and is also promoting the ideas of other currencies which are called Altcoin.
The bitcoin system allows its users to do transactions directly which are from peer to peer without involving any middle person for transactions. Bitcoin is a digital asset which is used in exchange for various goods and services. This digital asset is easily divisible and portable. This digital currency increases the efficiency of financial services so that the public could get more freedom and power.
Bitcoin’s worth in 2017 is $1223 which is actually an increased amount for the year 2016 which was $770. The mining network of bitcoin determines its price as more difficult t is the more costly would be the production of new bitcoins which lays an impact on the final worth.
What is a Blockchain
The blockchain is comprised of an unendingly growing list of blocks which are the records that are secured through cryptography. Each block in the blockchain has a hash pointer that is linked to the previous block, transaction data and timestamp as well. A blockchain basically serves as a public distributed ledger which keeps the record of transactions from peer o peer which is a verifiable, authentic and permanent way. As a public ledger, the blockchain procedure is managed as a peer to peer collective network which requires a protocol for new blocks validation. Once the data in a block of blockchain is recorded it cannot be edited any further unless there is an alteration made in subsequent blocks. This alteration could cause collision of various joint networks in the blockchain. The blockchain is a secure way and has achieved the status of decentralized authority. The blockchain is considered as potentially stable and suitable as it can record various types of data like medical records and other records of management activities which involves identity recognition, documenting provenance, transaction information and the traceability of food management records.
The first time when the idea of blockchain was given was back in 2008 by Satoshi Nakamoto. In the year 2009, this idea was practically implemented first on bitcoin where blockchain serves as an open ledger for the transaction from peer to peer. The Blockchain bitcoin invention made it the first public ledger of transactions which was also able to solve the problems of double spending. The transactions or solving issues related to transactions are independent of a central authority or check. The blockchain bitcoin design is an inspiration for other transaction applications.
Blockchain serves as a wallet for the bitcoin currency and transaction. The use of bitcoin through blockchain becomes safe and organized. This also helps you to backup your bitcoin currency safely with unauthorized access.
Blockchain Bitcoin Recent Developments
From the day blockchain and bitcoin is introduced to public, certain developments have occurred. These developments are;