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@ BITCOINSAFARITZ
2024-11-13 16:54:33
Bitcoin is a type of digital currency, also known as a cryptocurrency, that was invented in 2008 by an unknown person or group using the pseudonym Satoshi Nakamoto. Unlike traditional currencies issued by governments (like dollars or euros), Bitcoin is decentralized, meaning it operates without a central authority like a bank. Transactions are verified by network nodes through cryptography and recorded on a public ledger called the blockchain.
Here are some key characteristics of Bitcoin:
1. Decentralization: Bitcoin is maintained by a distributed network of computers (called "miners") rather than a central bank or government.
2. Limited Supply: There will only ever be 21 million bitcoins, making it scarce like a precious metal, which helps contribute to its value.
3. Blockchain Technology: Bitcoin transactions are recorded on the blockchain, a secure, transparent, and immutable ledger.
4. Digital Nature: Bitcoin exists only electronically and is stored in digital wallets. It can be sent directly from person to person (peer-to-peer) without an intermediary.
Bitcoin has been praised for enabling fast, low-cost, and borderless transactions but also criticized for its volatility and environmental impact due to the energy-intensive mining process.