NEWBIES lesson of the day: Bitcoin Characteristics

Lesson 3

This lesson is borrowed from the Nov 22 report. It feels appropriate to note some characteristics of Bitcoin before the lessons move forward.

Bitcoin is a global digital decentralized currency that is entirely digital and cryptographic by nature that began in 2009. It uses cryptography to verify transactions through nodes located around the globe. The transactions are then recorded on a public ledger called a blockchain. If one explores the elements of bitcoin versus our current form of money, you begin to see some of its benefits.

Some aspects about Bitcoin that we will quickly explore.

1. Decentralized

2. Fast and easy to send

3. Open-Source

4. Permissionless

5. Transparent

Decentralized

One of the most powerful bitcoin traits. Since its nodes are distributed globally by millions of miners, no one entity can stop it. Therefore, the free market is the only way bitcoin price is determined.

Fast and easy to send

Bitcoin can be sent across the globe at a low price. With the Segwit upgrade, millions of dollars in Bitcoin can be sent for less than $5. Furthermore…