2. What is the bitcoin means?
Bitcoin is a digital currency (also called crypto-currency)
that is not backed by any country's central bank or
government.
Bitcoins can be traded for goods or services with
vendors who accept Bitcoins as payment.
3. Bitcoin-to-Bitcoin transactions are made by
digitally exchanging anonymous, heavily
encrypted hash codes across a peer-to-peer
(P2P) network.
The P2P network monitors and verifies the
transfer of Bitcoins between users.
Bitcoin Peer to Peer networking
4. Digital wallet
Each user's Bitcoins are stored in a
program called a digital wallet, which also
holds each address the user sends and
receives Bitcoins from, as well as a private
key known only to the user.
5. How we get that bitcoins?
You can purchase Bitcoins at an online exchange
You can obtain them from an individual who has them
You can accept Bitcoins as payment
You can earn them by supporting the process of
verifying transactions in the Bitcoin system, called
mining.
6. How are new Bitcoins created?
In order for the Bitcoin system to work, people can make their computer
process transactions for everybody.
The computers are made to work out incredibly difficult sums. Occasionally
they are rewarded with a Bitcoin for the owner to keep.
People set up powerful computers just to try and get Bitcoins. This is called
mining.
But the sums are becoming more and more difficult to stop too many Bitcoins
being generated.
If you started mining now it could be years before you got a single Bitcoin.
You could end up spending more money on electricity for your computer than
the Bitcoin would be worth.
8. Is it secure?
Every transaction is recorded publicly so it's very
difficult to copy Bitcoins, make fake ones or spend
ones you don't own.
It is possible to lose your Bitcoin wallet or delete
your Bitcoins and lose them forever.
There have also been thefts from websites that let
you store your Bitcoins remotely.
The value of Bitcoins has gone up and down over
the years since it was created in 2009 and some
people don't think it's safe to turn your 'real'
money into Bitcoins.
9. Common Modes of Bitcoin Theft
Stealing Private Keys.
Exploiting Wallet Vulnerabilities
Operating Fraudulent Exchanges and
Investment Funds.
Attacking Legitimate Exchanges Directly
Attacking Dark Web Marketplaces.
10. Advantages of Using Bitcoin
It can be used in any country without the need for currency conversion
Sending money to a business or individual costs less per transaction
There are no limits to the number of transactions you can initiate each month
Your account cannot be frozen or suspended
Transactions are irreversible, unlike PayPal payments
You can keep Bitcoins in a digital wallet that is accessible from your phone,
tablet, or computer
11. Disadvantages of Using Bitcoin
Exposure to Bitcoin-Specific Scams and Fraud
Black Market Activity May Damage Reputation and Usefulness
Susceptible to High Price Volatility
No Chargebacks or Refunds
Potential to Be Replaced by Superior Cryptocurrency
Environmental Ills of Bitcoin Mining
13. What Is a Cryptocurrency Airdrop?
Airdrops can be defined as the process whereby a cryptocurrency
enterprise distributes cryptocurrency tokens to the wallets of some users
free of charge.
Airdrops are usually carried out by blockchain-based startups to bootstrap
their cryptocurrency projects.
Also, established blockchain-based enterprises like cryptocurrency
exchange platforms and wallet services can also carry out airdrops as well.
14. What are the other types of crypto currency?
Zcash
Ethereum
Ripple
Bitcoin Cash
Cardano
Litecoin
Stellar
NEO
IOTA
Dash
Monero
Tron