What is Bitcoin?

What is Bitcoin and how does it work?

Bitcoin is a crypto (or digital) currency which operates outside the control or oversight of banks. It runs on peer-to-peer software networks, a public ledger records every bitcoin transaction with copies held on servers across the world.

It was created in January 2009 by some ideas put forward in a white paper by Satoshi Nakamoto. However the creator of the technology is still unknown. There are no physical bitcoins, only balances stored on the public ledger.

Bitcoin is not actually legal tender but is widely accepted as a form of payment from holidays to cars.

Bitcoin is the largest cryptocurrency and the most well known, but there are 1000’s of other currencies in operation and new ones starting every day.

Live Bitcoin Price

Cryptocurrency Prices by Coinlib

Bitcoin started at 0$ in Feb 2011 it was comparable to the US dollar and over the next few months raised up to $30.

The bitcoin price today (12th Feb 2022) is $42,799.30

What is a Bitcoin wallet?

How to buy Bitcoin

What is Bitcoin mining?

What is Bitcoin made of?

Can bitcoin be converted to cash?

Bitcoin is like any currency and can be converted to any other currency via an exchange. For example if you use something like Coinbase you can buy bitcoin with your local currency then pay for something with bitcoin or if you have bitcoin you can convert it back to your currency the exchange will cost you a small fee.

Is bitcoin a good investment?

Bitcoin is a very volatile investment. If you purchased a bitcoin back at the start when they were less than $100 each coin would now be worth over $50,000 so yes, that would be good investment, however you could also have purchased a bitcoin for $50,000 and see it drop to $40,000 or lower. That would have been a very bad investment!