What Is Bitcoin
Most Bit-coiners suck a lot when it comes to explaining bitcoin; they start with “Bitcoin is a cryptographic”, “Bitcoin is a decentralized” WTF!! Is that what the layman wants to hear?
Bitcoin is a new kind of currency that isn't regulated by any government.
Bitcoin is gold that resides on the internet. The value of 1bitcoin will depend on how much people need bitcoins. So just as the scarcity of gold and the difficulty involved in mining gold makes it very valuable, the scarcity of bitcoin and the difficulty to mine bitcoin it also makes it very valuable.
I describe bitcoin as “a digital version of gold.” eGold.
BITCOIN AS A CURRENCY
Currency is a medium of exchange for goods and services, and nothing more .When something is scarce and people want it, it can automatically be used as money. In the past, before Paper Money was born gold was cut into flat chips and used as money (Again scarcity of gold).
Bitcoin is an electronic currency (eCurrency) as people have begun to accept it as a form of exchange for goods and services. Unlike any other normal modern day currency; USD, EUR, GBP etc. where there is a central authority that controls the printing of these currencies and inflation rate bitcoin is de-centralized (there is no central authority/bank/server) Again, just like gold. There is a fixed amount of gold in this world (Planet earth) we just keep mining maybe we can find all. Also there is a fixed amount of bitcoins that can exist. We just keep mining maybe we can reach the limit.
What has really made bitcoin attractive is the fact that there is no server, there is no central bank you have full control over your funds. The question many people ask now is how the bitcoins are generated or created. How are they are minted since there is no central bank.