Before purchasing Bitcoin, let’s understand What it is Bitcoin?
Bitcoin is a decentralized digital cryptocurrency that the pseudonymous Satoshi Nakamoto invented in 2008. In the past few years, Bitcoin has evolved from being murky money of the digital underworld to an increasingly mainstream digital currency.
In 2008, “Satoshi Nakamoto” (a pseudonym for a person or group whose identity is a mystery) wrote a paper outlining Bitcoin’s design. The rules state that the number of bitcoins in circulation will grow at a decreasing rate towards a maximum of 21 Million coins.
The currency is now maintained by an open-source community that has no central authority that regulations can target. Currently, nearly 18.82 Bitcoins are in circulation as of 13th September 2021.
How do you buy a Bitcoin?
- Before Bitcoin can purchase, a user must install a virtual “wallet” (Binance, KuCoin, Bitbns, CoinDCX, Gate.io & much more) onto a personal computer or mobile device. The wallet, similar to unique finance software, keeps track of your bitcoin balance and all transactions.
- To buy a Bitcoin, real money must be deposited through an online payment company or transferred directly from a bank account into an account on a third-party website that connects Bitcoin buyers and sellers.
- Once the funds are available, a buyer can place an order for a Bitcoin, similar to trading stocks, through an exchange-listed in step 1.
- Bitcoin can also purchase from third parties such as Coinbase, which sends the coins directly into a virtual wallet.
What is Blockchain?
The Blockchain is best known as the general ledger where Bitcoin transactions are recorded. A Blockchain is a data structure that makes it possible to create a digital register or transactions and share it among a distributed network of
What is Smart Contract?
Smart Contracts are computer protocols that facilitate, verify or enforce a digital contract. The idea is that these programs will eventually replace lawyers and banks when handling everyday legal and financial transactions.