Bitcoin Basics

For someone unfamiliar with Bitcoin, the first question that comes to mind is, “What is Bitcoin?” And another common question that is often asked is related to the price of Bitcoin. It started at under 10 cents per bitcoin after its launch in early 2009. It has risen steadily and recently hovered around $4000 per Bitcoin So this is one of the most significant perceptions of value about Bitcoin price or Bitcoin rate and has created many, many millionaires over the past eight years.

The Bitcoin market is global and citizens of China and Japan have been particularly active in its purchase along with other Asian countries. However, recent Bitcoin news has seen the Chinese government try to crack down on their activities in that country. This action briefly lowered the value of Bitcoin but it soon rebounded and is now close to its previous value.

Bitcoin history chart is very interesting. Its creator was an anonymous group of brilliant mathematicians (using the pseudonym Satoshi Nakamoto) who designed it as “virtual gold” in 2008 and released the first Bitcoin software in early 2009 during the height of the US economic crisis. They knew that to have lasting value, there had to be a finite supply like gold. So by creating this they have limited the supply to 21 million bitcoins.

Bitcoin mining refers to the process by which new bitcoins are created. With conventional currency, the government decides when and where to print and distribute it. With Bitcoin, “moneyers” use special software to solve complex mathematical problems and are issued a fixed number of Bitcoins in exchange.

A question then arises, is Bitcoin mining worth it? The answer is no for the average person. It requires very sophisticated knowledge and a powerful computer system, and this combination of factors makes it inaccessible to the masses. This applies even more to Bitcoin mining in 2017 than in years past.

Many people are wondering, who accepts Bitcoin? This question is asked in different ways, which stores accept bitcoins, which websites accept bitcoins, which retailers accept bitcoins, which places accept bitcoins and where can I spend bitcoins.

More companies are beginning to see the value of adopting cryptocurrency as a legitimate payment option. DISH Network, Microsoft, Expedia, Shopify stores, Newegg, Payza, 2Pay4You, and some other big companies. The two main holdouts at this point are Walmart and Amazon.

Ethereum is Bitcoin’s strongest competitor in the cryptocurrency market and many are wondering about Bitcoin vs Ethereum question. Ethereum was created in mid-2015 and has gained some popularity but still lags behind Bitcoin in terms of usage, acceptance and value.

A question that often comes up is related to Bitcoin scams. This writer has a friend who bought from a company that promised 1-2% growth per day. The company website did not list any contact information and after a few months the website disappeared one day and my friend lost all the money he had invested which was hundreds of thousands of dollars.

To get started you need to know how to buy bitcoins, how to buy bitcoins or how to buy bitcoins with a credit card. Coinbase is a very popular site to do this. Their fee is 3.75% and the purchase limit is $10,000 per day. This will probably be the easiest way to buy bitcoins.

Others want to buy bitcoins with a debit card. Coinbase also offers this service and has clear step-by-step instructions on how to proceed with your debit or credit card.

Those who want to buy bitcoin immediately. This is Paxful, Inc. Can be done at and through W. Union or any credit/debit card.

Other common questions are what is the best way to buy bitcoins, the best way to get bitcoins or where to buy bitcoins online. The easiest way is probably to buy it through a digital asset exchange like the previously mentioned Coinbase. Opening an account with them is painless and once you link your bank account with them you can buy and sell bitcoins very easily. This is probably the best place to buy bitcoins.

Learn what a Bitcoin wallet is and how to use it. It’s simply the Bitcoin equivalent of a bank account. It allows you to receive bitcoins, store them and send them to others. What it does is store a collection of Bitcoin privacy keys. Usually it is encrypted with a password or otherwise protected from unauthorized access.

There are different types of digital wallets to choose from. A web wallet allows you to send, receive and store bitcoins in your web browser. Another type is a desktop wallet and here the wallet software is stored directly on your computer. There are also mobile wallets that are designed for use by a mobile device.

The question of bitcoin stocks or how to buy bitcoin stocks comes up sometimes. The most common way to get ahead in this area is to buy Bitcoin directly and not its stock.

There is an entity called the Bitcoin Investment Trust which is an investment fund designed to track the market flow of Bitcoin. Some analysts, however, are calling it a risky way to enter the marketplace.

The Bitcoin exchange rate USD has been a closely watched benchmark both on a daily basis and long-term over the past 8 years since its introduction to the world’s financial markets. A popular company to get the most current rates on Bitcoin valuations is XE. They show Bitcoin to USD valuation and complete Bitcoin price chart, Bitcoin price chart and Bitcoin to USD chart. If you ask, “How much is a bitcoin?” You will always know from their continuously updated charts.

Similar questions related to bitcoin rate history, bitcoin price chart live, bitcoin to dollar exchange rate, bitcoin dollar chart and bitcoin 5 year chart. The previously mentioned website, xe, is a good source for answers to these questions.

Regarding Bitcoin Cash, ie. To get USD from selling Bitcoin, Bitwol is one company that enables you to do this. WikiHow is another company that will walk you through the process.

Bitcoin Projected Value is a topic that is often discussed. In January 2015, the price of one bitcoin was $215. Currently it is around $5000. This was an unprecedented increase and far greater than most experts had predicted at the time. Currently, a common answer when reviewing expert forecasts around the world seems to be that the top value will last around $10,000, and one expert even estimates it will reach $100,000.