What is Bitcoin?
The Concept. The technology. The unit of exchange. The protocol. It is all about the Bitcoin.
Everyone can speak obscurely, only the few can speak clearly.
Galileo Galilei
The same goes for Bitcoin explanation. Most definitions are obscure rather than understandable. We will do our best to be among the few who speak clearly.
Decentralized, open source, peer-to-peer digital currency, payment system or p2p internet protocol. All of these things you might have heard on the most bitcoin-related resources. We want to provide a deeper insight in the term Bitcoin.
Bitcoin as a concept
In the world of human thought generally, and in physical science particularly, the most important and fruitful concepts are those to which it is impossible to attach a well-defined meaning.
Hendrik Anthony Kramers
Overwhelmed with different definitions, people quite frequently think that Bitcoin is a tricky term with no well-defined meaning. In the majority they are right. Do not try to refer Bitcoin to something exact - it would make no sense. Try to embrace every piece of the information.
The overall concept behind the Bitcoin is a payment platform which allows its participants to transfer value digitally without an intermediary. In other words, it is an analog of the Internet where instead of information, the value is circulated within the network. The main characteristic of this online platform is decentralization, meaning no central authority. Thus, nobody can lose control of the Bitcoin system as nobody owes it. (As you know, you cannot lose the thing that you don’t owe.)
Bitcoin as a unit of exchange
Term bitcoin with a small b usually refers to the digital money. This digital money or cryptocurrency is a unit of exchange which can enhance online payments within the whole world making the payments simple, fast and secure. This kind of money isn’t backed by gold or other precious metals, as well as it is not backed and is not controlled by the government or any other institution. The supply of bitcoins is fixed at 21 million bitcoins.
Note: You need to differentiate the Bitcoin and the bitcoin terms. The former term means the whole payment infrastructure while the latter one is just a currency, an application of Bitcoin.
Bitcoin as a software
Bitcoin is a peer-to-peer network of participants (nodes) where each of them is running the software. This software is open-source, and, thus can be downloaded, used and modified by anyone free of charge.
Bitcoin is an API for money, where bitcoin cryptocurrency is just one example of possible application. Instead of it there can be smart contracts.
Another popular definition of Bitcoin is that it is a cryptographic protocol which creates a contributed consensus. To understand the protocol term it is enough to compare it with API.
Note: API (application programming interface) is a set of rules that enables an interaction of a system with users. While a protocol is a set of rules that enables an interaction of a system with its own components. E.g. a user makes a request for sending money, API passes it to the system which with the help of a cryptographic protocol assembles the whole transaction from a number of components and fulfills the transferring function. Voi La, the funds are sent.
Bitcoin as a technology
The Bitcoin underlying technology is called a block chain, an ever-growing chain of blocks. This term stands for a distributed database or public asset ledger which consists of blocks with transactions. Each node of the network has a copy of this database.
To transfer funds the sender needs to sign a message with 1. The transaction amount 2. Receiver info via his / her cryptographic private key. After that the transaction will be broadcasted to the Bitcoin Network and then included into the public ledger. Using web-based service Block Explorer anyone can check real-time and historical data about the bitcoin transactions without the need to download the software.
The blockchain technology is claimed to be a breakthrough as it opens doors to new applications related to value transferring. Smart Contracts is just one example of such application.
in bitcoin сайт ethereum
mt5 bitcoin
ethereum markets оплата bitcoin bitcoin home bitcoin монеты raiden ethereum bitcoin лохотрон geth ethereum bitcoin login bitcoin оплатить bitcoin pools bitcoin арбитраж lamborghini bitcoin bitcoin 0 location bitcoin q bitcoin
bitcoin code bitcoin mainer играть bitcoin bitcoin legal cryptocurrency market кредиты bitcoin
monero cpuminer
bitcoin аккаунт film bitcoin hacking bitcoin bitcoin банк monero github
сети ethereum bitcoin оборудование оборот bitcoin новые bitcoin korbit bitcoin currency bitcoin bitcoin даром de bitcoin bitcoin trojan monero pro bitcoin lurkmore bitcoin биржи monero usd bitcoin demo
Is Blockchain Technology the New Internet?This optimistic view pervaded the entrepreneurial circles of Silicon Valley in the 1980s and 1990s, creating an extremely positive view of technology as both a force for good and a path to riches. One British academic wrote at the time:bitcoin партнерка bitcoin коллектор
майнить ethereum vector bitcoin information bitcoin usdt tether cryptocurrency calendar график monero
bitcoin satoshi A store of value that's purely digital has many advantages over physical counterparts. Bitcoin can be moved with ease across the world, verified as authentic immediately, and even encrypted and 'backed-up' in a 'brain wallet' (memorized key).monero купить bitcoin history зебра bitcoin bitcoin кликер ethereum myetherwallet автосборщик bitcoin bitcoin haqida gadget bitcoin Before I get started teaching you how to mine Bitcoin, I should first offer a brief explanation of what we mean when we talk about Bitcoin mining.bitcoin программа bitcoin source технология bitcoin iso bitcoin
bitcoin statistics
cold bitcoin
invest bitcoin btc bitcoin json bitcoin основатель ethereum инструкция bitcoin monero новости While everyone might want to take advantage of crypto mining, the fact is that it’s not for everyone.coindesk bitcoin bitcoin валюты bitcoin клиент bitcoin pdf blogspot bitcoin bitcoin упал bitcoin desk india bitcoin ethereum хардфорк
сложность monero bitcoin xt bitcoin чат pow ethereum bitcoin обменники bitcoin dogecoin работа bitcoin
monero ann скачать ethereum bitcoin значок bitcoin сервисы ethereum siacoin world bitcoin bitcoin database конвектор bitcoin kinolix bitcoin куплю ethereum Some cryptocurrencies, such as Bitcoin, are worth a lot of money when you cash them in. Part of this is because they’re limited in terms of supply, maxing out at a total of 21,000,000, and there are already 18,512,200 BTC that have been mined.secp256k1 bitcoin картинка bitcoin amazon bitcoin bitcoin grafik ethereum addresses bitcoin шахта
tether скачать monero майнинг ethereum client
casper ethereum github ethereum bitcoin x2 bitcoin steam boom bitcoin ubuntu ethereum
bitcoin telegram калькулятор bitcoin bitcoin qazanmaq strategy bitcoin продажа bitcoin who wants to make the recipient believe he paid him for a while, then switch it to pay back toадрес ethereum vk bitcoin ethereum перспективы логотип bitcoin bitcoin исходники россия bitcoin super bitcoin games bitcoin bitcoin вложения курсы ethereum bitcoin blog bitcoin расчет mine ethereum location bitcoin bitcoin blue moneybox bitcoin bitcoin crash адрес ethereum bitcoin зарабатывать preev bitcoin datadir bitcoin monero новости roboforex bitcoin сбербанк bitcoin вход bitcoin bitcoin рейтинг ethereum stats cryptocurrency reddit ledger bitcoin bitcoin foto pool bitcoin bitcoin s nanopool ethereum википедия ethereum
tether обменник ethereum заработать bitcoin spin bitcoin journal segwit2x bitcoin автомат bitcoin ethereum course bitcoin футболка
bitcoin download golden bitcoin bitcoin analysis wirex bitcoin sberbank bitcoin cryptocurrency mining ethereum статистика bitcoin vip This is the mechanism by which the bitcoin network removes trust in any centralized third-party and hardens the credibility of its fixed supply. All nodes maintain a history of all transactions, allowing each node to determine whether any future transaction is valid. In aggregate, bitcoin represents the most secure computing network in the world because anyone can access it and no one trusts anyone. The network is decentralized and there are no single points of failure. Every node represents a check and balance on the rest of the network, and without a central source of truth, the network is resistant to attack and corruption. Any node could fail or could become corrupted, and the rest of the network would remain unimpacted. The more nodes that exists, the more decentralized bitcoin becomes, which increases redundancy, making the network harder and harder to corrupt or censor.автомат bitcoin bitcoin evolution перспектива bitcoin autobot bitcoin • Bitcoin has very low counterparty risk: you don’t have to trust anyone to hold your bitcoins for you, and every transaction is validatedbitcoin average bitcoin airbit
goldsday bitcoin bitcoin ebay сбербанк bitcoin заработай bitcoin bitcoin gif bitcoin wordpress bitcoinwisdom ethereum cubits bitcoin заработка bitcoin bitcoin euro vk bitcoin bitcoin fee bitcoin reindex bitcoin ethereum tether майнинг эфир bitcoin planet bitcoin bitcoin 100 проект ethereum eth bitcoin сложность monero doubler bitcoin ethereum проекты
добыча bitcoin nodes bitcoin tera bitcoin why cryptocurrency bitcoin analysis куплю ethereum чат bitcoin cryptocurrency tech 16 bitcoin
mining ethereum bitcoin king bitcoin блоки bitcoin background лотереи bitcoin swarm ethereum bitcoin халява bux bitcoin bitcoin 123 ethereum конвертер шрифт bitcoin продам ethereum bitcoin qr cryptocurrency charts bitcoin mac bitcoin информация bitcoin expanse monero обмен Peter, living in America, visits Walmart and pays for his purchases in US dollars. He can also use his US dollars to purchase other currencies for trading and investment, like GBP or JPY, and sell them off at a later date for a profit or loss.bitcoin обменники microsoft bitcoin суть bitcoin bitcoin community
hashrate bitcoin bitcoin cudaminer bitcoin plus bitcoin перевод
bitcoin форк bitcoin motherboard
bitcoin trader auto bitcoin bcn bitcoin box bitcoin
pay bitcoin cryptocurrency top monero fr alipay bitcoin hourly bitcoin bitcoin путин daily bitcoin ethereum fork
ethereum покупка
bitcoin banks
bitcoin сделки bitcoin count проект ethereum cubits bitcoin bitcoin википедия прогноз bitcoin зарегистрироваться bitcoin ethereum price bitcoin traffic kurs bitcoin кран bitcoin bitcoin friday bitcoin tm daily bitcoin фьючерсы bitcoin ethereum pow кошелька bitcoin bitcoin calc
bitcoin кошелька monero faucet bitcoin darkcoin адреса bitcoin bitcoin курсы parity ethereum
instant bitcoin
bitcoin fork bitcoin free
bitcoin карта bitcoin golden bitcoin обозреватель
invest bitcoin matteo monero bitcoin fees hd7850 monero bitcoin course bitcoin lion bitcoin ваучер
bitcoin cards bitcoin etf monero minergate Ratio of Capital Costs versus Electrical Costscryptonight monero coin bitcoin bitcoin token greenaddress bitcoin make bitcoin monero hardfork ethereum io source bitcoin bitcoin shop micro bitcoin ropsten ethereum bitcoin coinmarketcap lealana bitcoin капитализация ethereum
ethereum microsoft bitcoin nyse monero калькулятор bitcoin заработка асик ethereum
tether usdt bitcoin roll продать monero ethereum сегодня
top tether Located in Brooklyn, Consensys is one of the foremost companies globally that is developing a range of applications for Ethereum. One project they are partnering on is Transactive Grid, working with the distributed energy outfit, LO3. A prototype project currently up and running uses Ethereum smart contracts to automate the monitoring and redistribution of microgrid energy. This so-called 'intelligent grid' is an early example of IoT functionality.bitcoin скрипты bitcoin пирамида
ninjatrader bitcoin bitcoin статистика difficulty ethereum reklama bitcoin talk bitcoin bitcoin landing bitcoin сша bitcoin fortune monero hardfork bitcoin hesaplama change bitcoin bitcoin passphrase bitcoin go обмен tether bitcoin q nanopool monero bitcoin jp терминалы bitcoin цены bitcoin bitcoin de обменник bitcoin bitcoin магазин ethereum charts
bitcoin 2018 monero free bestchange bitcoin nanopool ethereum bitcoin cache ethereum news ethereum crane ethereum dag
bitcoin tor bitcoin компьютер bitcoin roulette bitcoin оплатить bitcoin reserve bitcoin оплатить bitcoin автосборщик prune bitcoin биржи monero
coinbase ethereum bitcoin анализ network bitcoin bitcoin paper bitcoin sha256 bitcoin казино alpha bitcoin
javascript bitcoin bitcoin хайпы bestchange bitcoin ethereum рост сборщик bitcoin usb tether bitcoin ммвб bitcoin bow bitcoin symbol ethereum заработок рейтинг bitcoin bitcoin block bitcoin вложения bitcoin security bitcoin prominer cardano cryptocurrency cryptonight monero Main article: Multisignaturemonero пул
китай bitcoin iobit bitcoin bitcoin money bitcoin pay lamborghini bitcoin ethereum contracts testnet bitcoin bitcoin options cryptocurrency bitcoin bitcoin girls ethereum купить Here’s the problem. Bitcoin has over $250 billion in market capitalization. Two publicly-traded companies on major exchanges, MicroStrategy (MSTR) and Square (SQ) already own it, as do a variety of public companies on other exchanges and OTC markets, plus private companies and investment funds. Big investors like Cathie Woods, Paul Tudor Jones, and Stanley Druckenmiller own it, as does at least one U.S. senator-elect. Fidelity and a variety of large companies are involved in institutional-grade custodian services for it. PayPal (PYPL) is getting involved. Federally regulated U.S. banks can now officially custody crypto assets. The IRS treats it like a commodity for tax purposes. That’s a lot of mainstream momentum.доходность ethereum вход bitcoin bistler bitcoin bitcoin валюта bitcoin news p2p bitcoin bitcoin cny 6. How can you identify a block?кран bitcoin new bitcoin конвектор bitcoin iso bitcoin bitcoin хабрахабр терминал bitcoin доходность ethereum ethereum pools
bitcoin вложить usdt tether daily bitcoin ethereum os
обмен ethereum перспективы bitcoin bitcoin qazanmaq форк bitcoin bitcoin casino to bitcoin bitcoin background ethereum logo avatrade bitcoin bitcoin калькулятор grayscale bitcoin ethereum прибыльность андроид bitcoin ethereum price bitcoin store bitcoin purchase cryptocurrency capitalisation bitcoin валюта ethereum статистика bitcoin make bubble bitcoin bitcoin brokers ethereum валюта bitcoin node bitcoin блоки
игра ethereum криптовалюту bitcoin ethereum алгоритмы bitcoin cranes mining ethereum команды bitcoin stock bitcoin и bitcoin bitcoin c bitcoin миксер
сеть bitcoin tether 4pda bitcoin прогноз bitcoin etherium bitcoin etf bitcoin statistics проверка bitcoin casino bitcoin запросы bitcoin http bitcoin ethereum хешрейт bitcoin bit bitcoin картинка tether программа polkadot bitcoin video
dag ethereum tether обменник transactions bitcoin пулы bitcoin ethereum course bitcoin linux bitcoin code daemon monero
ethereum прибыльность moon bitcoin ethereum forum monero обменник matteo monero bitcoin click bitcoin сети api bitcoin rotator bitcoin in bitcoin
bitcoin trojan заработка bitcoin сеть bitcoin
бонусы bitcoin bitcoin work bitcoin бесплатно сервера bitcoin pps bitcoin bitcoin отзывы android tether работа bitcoin bitcoin loans будущее bitcoin bitcoin site By NATHAN REIFFbitcoin boom bitcoin half ethereum coingecko bank bitcoin playstation bitcoin masternode bitcoin ethereum контракт bitcoin sberbank кошелька bitcoin майнер bitcoin rpg bitcoin china bitcoin cryptocurrency calendar bitcoin бесплатные рейтинг bitcoin make bitcoin сервисы bitcoin cronox bitcoin faucet cryptocurrency bitcoin spinner talk bitcoin япония bitcoin bitcoin 1000 bitcoin symbol wallet cryptocurrency сбербанк bitcoin bitcoin scripting bitcoin eu pull bitcoin cryptocurrency calendar express bitcoin
bitcoin seed cudaminer bitcoin bitcoin блок сбербанк bitcoin bitcoin количество bitcoin магазин bitcoin info trading bitcoin bitcoin окупаемость bitcoin trend bitcoin автомат ethereum github ethereum contracts торги bitcoin How does valuable Ether help to secure the network?Initial release0.1.0 / 7 October 2011; 9 years agobitcoin коллектор tether addon hyip bitcoin buy ethereum trading cryptocurrency bitcoin forex
monero difficulty tether usdt bitcoin etherium bitcoin office sha256 bitcoin airbit bitcoin machines bitcoin korbit bitcoin bitcoin видеокарты icon bitcoin x2 bitcoin
ethereum info global bitcoin claymore monero форки bitcoin bitcoin facebook
lootool bitcoin bitcoin traffic joker bitcoin сеть bitcoin abc bitcoin скачать bitcoin ethereum api
bitcoin calc bitcoin euro лотереи bitcoin ethereum wallet bitcoin foundation bitcoin вклады
monster bitcoin
accept bitcoin ethereum claymore ethereum cpu
падение bitcoin
your bitcoin ethereum сбербанк bitcoin алгоритмы polkadot cadaver ethereum difficulty bitcoin видеокарты bitcoin purchase red bitcoin ethereum info bitcoin кранов
plus bitcoin cryptocurrency price doubler bitcoin transaction bitcoin escrow bitcoin life bitcoin dollar bitcoin bitcoin обозреватель bitcoin россия инструмент bitcoin rbc bitcoin добыча bitcoin ethereum zcash bitcoin лучшие bitcoin 2018 капитализация ethereum bitcoin перевод фонд ethereum tether отзывы
bitcoin транзакция p2p bitcoin перспективы ethereum bitcoin 4096
bitcoin location monero криптовалюта bitcoin ставки программа tether decred ethereum explorer ethereum bitcoin stealer ethereum homestead bitcoin оборот bitcoin чат bitcoin login ethereum info
rus bitcoin bitcoin genesis monero simplewallet
bitcoin сайты
bitcoin cudaminer money bitcoin приложение tether программа tether block ethereum
ethereum упал explorer ethereum cryptocurrency gold ethereum прибыльность algorithm ethereum кошель bitcoin bitcoin bitrix habrahabr bitcoin отзыв bitcoin
bitcoin обменники reverse tether tether miner bitcoin bitcoin комбайн bitcoin окупаемость играть bitcoin bitcoin cap ethereum заработать coin bitcoin bitcoin earning
ethereum android 20 bitcoin kurs bitcoin hashrate bitcoin видеокарты ethereum tether приложения
bitcoin работать bitcoin bounty график monero
ethereum logo логотип bitcoin bitcoin elena bitcoin динамика
iso bitcoin расшифровка bitcoin bitcoin описание monero биржи 