What is Bitcoin? What makes it different from normal currencies? – Ultimate Guide

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What is Bitcoin? How to make money with them?

Bitcoins full guide– Hi friends, welcome back again. Today we are here with some useful information for those still not aware about Bitcoins. Also many people have questions about them. Keep calm and Read this full post to clear all your doubts.

What is Bitcoins
Bitcoins ultimate guide

The topics include are, About Bitcoins? What makes it different from normal currencies? How it’s Work? Bitcoin Values and Regulations? Where do they come from? How can track them? How To Buy/Sell them? How to store them? How to make money with them?

More About Bitcoins?

Bitcoin is a form of digital currency, created and held electronically. No one controls it. They aren’t printed, like dollars or euros – they’re produced by people and policed by millions of computer users called ‘miners’.

Bitcoins ( BTC )  are, simply long strings of digital code (or coins) that have money value.

What makes Bitcoins different from normal currencies?

It can be used to buy things electronically. In that sense, it’s like conventional dollars, euros, or yen, which are also traded digitally.

However, bitcoin’s most important characteristic, and the thing that makes it different to normal money, is that it is decentralized. No single institution controls the bitcoin network. This will attract people because no bank will control their money. 

How Bitcoins Work?

These are completely virtual coins designed to be ‘self-contained’ for their value, with no need for banks to move and store the money.

How Bitcoins Work
How Bitcoins Work

Once you own bitcoins, they behave like physical gold coins, but actually they are digital not physical. And they possess value and trade just as if they were piece of gold in your pocket.

You can also use your bitcoins to purchase goods and services online, or you can sell them away or keep and hope that their value increases over the years.

Bitcoins are traded from one personal ‘wallet‘ to another. A wallet is a small personal database that you store on your computer drive, on your smartphone, or your tablet, or somewhere in the cloud. UnocoinZebpay etc are popular wallets for Indian customers.  

Bitcoin Values and Regulations

The very important thing is that Bitcoin value increasing day by day. So it can be take as an advantage for users to make money with some initial deposit. A single bitcoin varies in value daily; you can check places like coingecko, coindesk to see today’s value.

There are more than two billion dollars worth of bitcoins in existence. It will stop being created when the total number reaches 21 billion coins, which will be sometime around the year 2040. As of 2017, more than half of those had been created. The equivalent value of 1 coin at the time of writing this article is given below. 

Today’s Bitcoin Price (3-11-17) :

1 bitcoin = $7,289.12 = Rs. 471229.19

Their value is completely unregulated. There is no national bank or national mint, and there is no depositor insurance coverage. Also there is no precious metal behind these digital coins.

Where do they come from?

Around the world, people are using software programs that follow a mathematical formula to produce bitcoins. The mathematical formula is freely available, so that anyone can check it.

Bitcoin mining
Bitcoin mining

These virtual coins are produce by ‘miners‘, the massive network of people who contribute their personal computers to the Bitcoin network. Miners act as a swarm of ledger keepers and auditors for Bitcoin transactions.

Miners are paid for their accounting work by earning new bitcoins for each week they contribute to the network.

How Bitcoins Are Tracked?

It holds a very simple data ledger file called a blockchain. Each blockchain is unique to each individual user and his/her personal bitcoin wallet. Any person can track their bitcoins by this wallet service.

For every Bitcoin transactions, it touches the digital address of every wallet, the system does NOT record the names of the individuals who own wallets, simply the same user will see the same amount of coins in every wallet services. That means a particular user has only one origin of bitcoin source which connects to every network. 

All bitcoin transactions are recorded and made available in a publicaly, helping ensure their authenticity and preventing fraud. This process helps to prevent duplicate transactions also.

How To Buy or Sell Bitcoins

You can buy bitcoins from either exchanges like UnocoinZebpay or directly from other people via marketplaces.

How to buy sell bitcoins
How to buy sell bitcoins

You can pay for them in a variety of ways, ranging from hard cash to credit and debit cards to wire transfers, or even with other cryptocurrencies, depending on who you are buying them from and where you live.

You can directly trade another person to sell or exchange bitcoins. Also you can convert it into another type of digital currency or even bank cash using the available wallet and exchange services.

How To Store Bitcoins

You will need a place to store your new bitcoins. In the their world, which are called a ‘wallet‘. Just Consider or imagine this wallet act as your bitcoin bank account.

Bitcoin Wallets
Bitcoin Wallets

There are lots of wallet and exchange services available with different features. You can choose one of them based on your needs. You can read about most popular and trusted wallet services for india like UnocoinZebpay

<h5>How To Make Money With Bitcoins</h5>

We all know that bitcoins price is increasing daily. So you can make money by investing money to buy them from a valid exchange service. Then store it until you get enough profit when sell them to traders or exchange service. 

You can also convert it in to bank cash or any other digital currency based on the service used. 

So, that’s all about bitcoins. Hope this article helpful to you.  Feel free to comment below for any doubts, we will clear it as soon as possible. 

Please share it with your friends if you like this guide and we will come back soon with another great article! 

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Tags: exchange rate, buy sell, track, is it legal, online trading, current value, Indian rupee, BTC tricks, blockchain, btc wallets

     
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