FAQ

What is Bitcoin and Cryptocurrency?

Bitcoin is a type of digital currency in which a record of transactions is maintained and new units of currency are generated by the computational solution of mathematical problems, and which operates independently of a central bank.

While Cryptocurrency is a digital currency in which encryption techniques are used to regulate the generation of units of currency and verify the transfer of funds, operating independently of a central bank.

How does Bitcoin work?

A transaction is a transfer of value between Bitcoin wallets that gets included in the block chain. Bitcoin wallets keep a secret piece of data called a private key or seed, which is used to sign transactions, providing a mathematical proof that they have come from the owner of the wallet.

How does one acquire Bitcoins?

Seventh, you can get bitcoins by accepting them as a payment for goods and services or by buying them from a friend or someone near you. You can also buy them directly from an exchange with your bank account. Eighth, there is a growing number of services and merchants accepting Bitcoin all over the world.

Who controls the Bitcoin network?

Nobody owns the Bitcoin network much like no one owns the technology behind email. Bitcoin is controlled by all Bitcoin users around the world. While developers are improving the software, they can't force a change in the Bitcoin protocol because all users are free to choose what software and version they use.

Can I make money with Bitcoin?

Bitcoin is just like real money. For some strange reason, people tend to think that because Bitcoin is a new form of currency, there is some magical way you can earn Bitcoins or make money from it easily. ... Just like there's no easy, risk free way to make a quick buck there's no magical way to earn Bitcoin.

How difficult is it to make a Bitcoin payment?

Bitcoin payments are easier to make than debit or credit card purchases, and can be received without a merchant account. Payments are made from a wallet application, either on your computer or smartphone, by entering the recipient's address, the payment amount, and pressing send.

Is Bitcoin fully virtual and immaterial?

Bitcoins are crypto currency and is an online financial network. It can be termed as virtual but it cannot be termed as immaterial. Bitcoins are collected in Bitcoin wallets, which are virtual wallets. The transaction of Bitcoins, their sending and receiving is done either through wallets, through online banking or through vaults.

What are the advantages of Bitcoin?

Fewer Risks for Merchants. Due to the fact that Bitcoin transactions cannot be reversed, do not carry with them personal information, and are secure, merchants are protected from potential losses that might occur from fraud. With Bitcoin, merchants are able to do business where crime rates and fraud rates may be high.