What is Bitcoin and The Future of Bitcoin Digital Currency?

Do you want to know more about Bitcoin Cryptocurrency and how to trade Bitcoin online? In this course, we will teach you what cryptocurrencies are, how to trade cryptocurrencies, what Bitcoin is, how Bitcoin works and much more. Follow our website to read cryptocurrency news every day and use it to your advantage for the tading of digital currencies.

What is Bitcoin?

Bitcoin is the world’s first cryptocurrency. With this means is that it is the “original” when it comes to digital and decentralized currency. That’s the biggest appeal of Bitcoin, it does not get printed by a central bank, and therefore in theory cannot expand beyond a preset limit, which is 21 million Bitcoins. Because of this, there are several advantages.

The currency has a set limit as to how much can be produced. This keeps the idea of quantitative easing at bay, and allows for people to rely on a mathematical formula to understand that the market will not be flooded with Bitcoin. This system of payment is peer-to-peer, which means that end-users trade Bitcoin directly, without a bank for mediation. There is a public ledger called a blockchain that keeps a record of every transaction. Although it shows the amount of Bitcoin in every wallet, it does not identify those holders. This is what makes Bitcoin anonymous, which is a huge appeal to this currency.

As it was the first digital currency, it is the largest. The fact that it was the first one on the scene has kept it in the headlines. Currently, we are seeing a bit of a speculative bubble of sorts, and the future is unknown as to what happens next. Markets have run up extraordinarily fast, but the longer-term outlook for Bitcoin is strong as the cryptocurrency is rapidly gaining favor with retailers and traders.

There are several different exchanges that you can trade Bitcoin on, each with its own history. At the end of the day, being decentralized means that the price can be different on different exchanges. Ultimately, the popularity of Bitcoin has only recently exploded, as the beginning of 2017 started to see massive amounts of money flood into the market. Whether or not Bitcoin is used in the future as a viable currency still remains to be seen, but it is starting to pick up prominence. At this point, Bitcoin continues to find buyers on dips. Hedge funds are starting to get involved, but it should also be noted that governments are starting to take notice as well, which could work against the very idea of a cryptocurrency.