What is Bitcoin? Maybe you’ve heard about the enormous value of Bitcoins and want to know more or maybe a local business has decided to start taking this currency. Once valued for around $13 per Bitcoin, the values of a single Bitcoin can often exceed $1,000 at the time of this writing. For that reason alone, Wall Street analyst has Nicholas Cole has called Bitcoin the “gold for nerds.” Run outside of banks, some see bit coins as the future global currency that lets the power of money be controlled by people, not corporations.
Is that something you’d like to have for yourself?
Bitcoin Is Digital Currency
To answer the question, “What is Bitcoin?” one must look at the application of this digital currency. It is often used in online transactions, where no actual money ever trades hands. In comparison, Bitcoin is a lot like a PayPal account someone might use where there is a digital dollar amount available. This money can be spent either online and in other ways, but the person with the account never has the money in their physical possession.
That’s the one difference between Bitcoin and regular currency, however, because a PayPal account can access cash through an ATM. To access value through Bitcoins, one must either spend or trade them directly or use a broker to purchase or sell them with standard currency. Ultimately, there is one truth about Bitcoin that cannot be ignored: it has value right now because people believe that Bitcoins have value/
Because it is a digital currency, that belief could immediately change.
Bitcoin Is Dominant Because of Its Advantages
What is Bitcoin at its very core? It’s a tax-free system of monetary exchange that allows people to interact with people instead of needing a corporation or bank acting as a middleman. Although brokers are often needed for an initial Bitcoin purchase, this isn’t always the case as more retailers are accepting Bitcoins as a medium for purchase. In addition, Bitcoins are private and secure currency, meaning someone using Bitcoins won’t have to worry about their data being stolen like nearly 70 million Target customers do.
Maybe the best part about using Bitcoins is the fact that many purchases are surcharge-free. Even debit cards have a surcharge placed on them for use and credit cards can have a surcharge of about 3% in some areas. Add on sales taxes that can be upwards of 10% for some communities and for a $1,000 purchase, a Bitcoin user would save $130 on the transaction compared to a credit card user!
What is Bitcoin To You?
The future of bit coins may not be secure, but the tremendous increase in value that they have had over the past 12 months could mean the start of something incredible. If you’re looking for a solid and secure trading mechanism that will allow you to eliminate governments and corporations from your checkbook, Bitcoins could be the way to go for you.
What is Bitcoin? Your future financial security.