Over the past few years, mankind has experienced huge advancements in almost every area of human endeavor. According to a cryptocurrency analyst at Wilkins Finance, digitalization has become a household word and its application is seen in everything including money, as we see in Bitcoin. Bitcoin is a cutting-edge experiment in technology and economics. It is a new digital payment system. It is an amazing technology, especially because it is a global currency that can be used by just anyone and anywhere on this planet. Bitcoin – also known as cash for the internet, cryptocurrency, digital cash or money, international payment networks or internet of money, is a beautiful innovation with the capacity to change the world and how money is seen and used.
In 2008, Satoshi Nakamoto designed Bitcoin. It was designed as a digital currency, with trust on the science of cryptography over central authorities like banks or governments as we have with paper money. It was built on the core foundational values of Decentralization, Open source code, and Peer-to-Peer networking. Hence, the simplest and most accurate way to describe Bitcoin is “a Peer-to-Peer Electronic Cash System”.
What do the three foundational values mean?
This means that Bitcoin is owned by no one and controlled by no one. Unlike paper money which is controlled by banks or the government, there are no middlemen. Transactions are irreversible, thus, your account cannot be blocked by any bank or government on account of any irregularities, as experienced with regular bank accounts and other payment options or platforms. Also, the value of this currency is dependent only on the law of demand and supply, not on government or any kind of policies.
Open source code
Bitcoin transactions are not completely anonymous; you can be linked to any Bitcoin transaction you make because all transactions are recorded in a public ledger called the Blockchain.
Bitcoin transactions are done on Peer-to-Peer basis, thus, encouraging the building of networks across the globe.
So where does the value of Bitcoin lie?
More people continue to subscribe to this means of transactions because of its value as:
Online payments and transactions have become more easy, thanks to Bitcoin. It is a currency accepted anywhere in the world as payment for goods and services, especially on the internet. Some people already use it for making daily purchases for things like coffee, clothes, groceries etc.
One Bitcoin which used to cost less than 1 dollar in 2011, now costs about eleven thousand dollars and this growth continues every minute as the demand for this currency increases. A lot of people have become rich from little investments made in Bitcoin a few years or months ago. The investment turnover in the past few years has been amazing, increasing demand and thus the price.
A low-risk transaction platform
With Bitcoin, there is a very low risk of fraudulent change backs as against other traditional means of payment and transactions.
A faster means of transaction
With Bitcoin, transactions that took weeks or months now take only about 10 minutes, anywhere in the globe. This is fast-changing the way business is done and the ease with which it is done, thereby increasing trusts in this cryptocurrency and thus the demand for it.
An accessible payment tool for anyone
One of the unique things about Bitcoin is the fact that anyone anywhere in the world can use this currency to do business with anyone.
A means of total control
One of the downsides of paper money, bank accounts, and other payment platforms is the fact that your money can be confiscated by authorities, in cases of irregularities. But with Bitcoin, you have total control of your money, anywhere you are, without the restrictions that authorities, banking halls, and location present.
Other innumerable uses
Apart from serving as a digitalized global currency, Bitcoin can also be used as a voting mechanism, global identification, crowdfunding platform, wills and contracts, decentralized domain names, and for the future markets. Just like the technology of the World Wide Web, the full and overall applications and or potentials of Bitcoin is yet to be discovered.
With Bitcoin, there are just so many possibilities and new things to explore. Bitcoin’s value is multi-directional and appreciates daily, a proof that there is only so much to gain and nothing to lose.