Bitcoin is a decentralized digital currency that allows people to transfer funds between each other without a central authority. It operates on a peer-to-peer network where transactions are verified by miners who are rewarded with bitcoins. While bitcoin offers anonymity and accessibility, it also faces security risks like theft and price volatility due to its limited supply and speculative nature. Whether bitcoin can replace traditional currencies as a stable store of value remains uncertain.

1. Bitcoin
By JP Carey, Devon Carroll, Gustavo Rios, Nate Gorman

2. What is Bitcoin?
-Bitcoin is a technology that allows people to transfer funds
between each other separate from a central authority or bank.
-Open to the public: anyone can join and take part in this
unique money-transfer technology
-Connects people worldwide creating an international network
of “buyers”, “sellers”, and “miners”
-The first decentralized digital currency
-A “Krypto-currency”
-Not run by one single person, it is run by everyone

3. Bitcoin Video
• https://www.youtube.com/watch?v=Um63OQz3bjo

4. How are Bitcoins
Created?
-They are created through transactions made between buyers and
sellers world wide.
-Each transaction has to get approved by a “miner” who is separate
from the buyer and seller.
-Once the miner approves the transaction he connects it with other
transactions that he has also approved until he has enough to add it
to his “blockchain”
- The miner is rewarded a bitcoin when he adds a block to the
“blockchain”

5. Security Concerns
• Mt. Gox Disaster
• 460 Million Disappeared
• Not Insured
• Caused Bitcoin Prices to Drop 50%

6. Volatility
• Fluctuation
• Limited amount of Bitcoins in circulation
• Transactions
• Future Possibilities

7. Is Bitcoin a currency,
commodity, both or
neither?

8. What are the risks of using
Bitcoin and investing further in
this new technology?

9. Does Bitcoin have the potential to
replace the US dollar as the
international benchmark for
foreign transactions?