Bitcoin is the world’s first and most popular cryptocurrency. Many of you have heard its name many times. You may also have information about it. But earning money from the world of digital currencies requires first and foremost a complete understanding of the Bitcoin network. In this article, we will share with you the most important and useful information about the Bitcoin network.
Why was the Bitcoin network invented?
With the onset of the US economic crisis in 2008, people realized that government paper money could not be trusted. So Satoshi Nakamoto invented the Bitcoin network to eliminate the problem of trust. “We have to trust the central banks to give them our money,” he said. But the history of money is full of contradictions and unreliability. We give our money to the bank to keep for us. But they create credit bubbles with our money. Bitcoin was created to solve this problem.
Bitcoin network features
Bitcoin has a number of key features. The Bitcoin network has destroyed the need for trust. Bitcoin supply is limited and without inflation. It is not possible to cheat and spread fake money on the Bitcoin network. Bitcoin transactions are transparent and confidential. In the following, we will explain about all these cases.
How is it possible not to need trust?
You keep your bitcoin in your online and offline wallets. You can make your financial transaction whenever you want. You then provide your transaction receipt to the other party to the transaction. By watching this receipt online, he makes sure that he receives money in his wallet. In this way, we meet our financial needs peer-to-peer and without the need for a third party.
Limited supply of coins
When Satoshi Nakamoto designed the Bitcoin network protocol, he set an important rule for it. He said the total number of extractable bitcoins is 21 million. The law was created to prevent inflation from making Bitcoin as valuable as gold. The number of gold in the world is not unlimited. And every time someone digs for gold, the gold left on the ground becomes less. This will make extraction more difficult.
Transparent General Office
The Bitcoin network is based on the Chinese blockchain. The Chinese blockchain is like a big information office. All network transactions are clearly recorded in this office. All participants can also see them. A transaction cannot be changed after registration. So it is not possible to manipulate the bitcoin network.
All of these factors have made Bitcoin the most popular cryptocurrency.