What is Bitcoin? - A Definition and Explanation
When I first heard the term "Bitcoin" I had a quick, casual look at the technology, hoping to get a feel for how it would affect the way I spend my money. It quickly became apparent that it was the most intriguing financial tool I'd ever come across. I knew I had to understand how it worked and all I wanted to know was: "What is Bitcoin?"
In this article, I'm going to provide a definition of the word "Bitcoin" that will help you understand how it works. This definition will be inclusive of both its short and long terms. First, let's define "currency". We'll use this definition to define the actual financial service and currency of Bitcoin.
Currency is defined as money, which is issued by a central bank. You could even say that currency is nothing more than trust between a government and its citizens. When I hear "currency" I think of a national currency that is backed by the sovereign power of a country.
The end result of that trust is the issuance of the Bitcoin that can be exchanged for goods and services from a merchant. This exchange, the process of converting Bitcoin into actual cash or other types of goods and services, is what people are calling "selling" Bitcoin.
The next definition will be the definition of how Bitcoin works in the long term. As the US dollar has fallen in value against the Euro, the value of Bitcoin is steadily increasing every day.
In fact, you'll see that most of the "Bitcoin ATM" machines now available have a range of $10,000 to millions of dollars worth of Bitcoins available to purchase. This gives you an idea of just how important Bitcoin is. These types of businesses are continually growing as more people discover the fact that it's completely free, has no risk, and offers no fear of loss.
There is no doubt that Bitcoin is going to be the next financial revolution. What happens in the future is still in question, but from my personal experience I can tell you that I believe that the future is bright. Why not join me in this exciting time?
Consider this: "Bitcoin: Definition and Explanation." It might change your opinion.
Created on Jun 02, 2020