Everybody is talking about bitcoins, and you may be wondering how you can also enjoy the benefits that come with using the system. As a start off, it is important that you understand what bitcoins are. Bitcoins are a form of digital currency that was developed in 2009 by Satoshi Nakamoto. They are developed through software that operates using a mathematical formula.
This invention has triggered innovation in many areas. There is a bitcoins themed experience game called the Satoshi Slot that has been triggered by this innovation. The system operates just like any other type of payment services like Western Union or the Visa. The difference between bitcoins and these other forms is that there is no central body of administration that regulates their operation.
With bitcoins, there is a lot of freedom and the limitations are less. You are not limited to using your bitcoin account. Initially, when the system begun, it was working well but it became prone to abuse through cyber crime. There were even those people who could use the system so as to evade paying taxes. This called for government regulation. There are rules to protect the users and also to catch those people who try to escape paying tax by using the system.
All the transactions that go on in the bitcoins market are recorded in a public ledger that is known as the block chain. This is information that any person who is interested can access. However, one cannot tell who the owner of a certain account is. This means that your privacy is protected.
As indicated there above, there is no central body that regulates the bitcoins market. This means that one can double spend. The software has however taken care of that by recording the transactions in the block chain. The software records when a particular bitcoin has been used. This tells you that your interests as an account holder are well protected.
In developing the bitcoin, there was no intention to use the bitcoin to replace the dollar. The bitcoin has however taken the digital world by storm, and many people are using this form of currency even in the international market.