Bitcoin is known as the very first decentralized digital currency, they’re basically coins that can send through the Internet. 2009 was the year where bitcoin was born. The creator’s name is unknown, however the alias Satoshi Nakamoto was given to this person. Bitcoin accounts cannot be frozen, prerequisites to open them don’t exist, same for limits on how to get bitcoins .
Advantages of Bitcoin
Bitcoin transactions are made directly from person to person trough the internet. There’s no need of a bank or clearinghouse to act as the middle man. Thanks to that, the transaction fees are way too much lower, they can be used in all the countries around the world. Every day more merchants are starting to accept them. You can buy anything you want with them. How Bitcoin works. You should explore bitcoin mining. It’s possible to exchange dollars, euros or other currencies to bitcoin. You can buy and sell as it were any other country currency. In order to keep your bitcoins, you have to store them in something called wallets. These wallet are located in your pc, mobile device or in third party websites. Sending bitcoins is very simple. It’s as simple as sending an email. Invest in bitcoin to get great returns.
You can purchase practically anything with bitcoins.Bitcoin Anonymity.When doing a bitcoin transaction, there’s no need to provide the real name of the person. Each one of the bitcoin transactions are recorded is what is known as a public log. This log contains only wallet IDs and not people’s names. so basically each transaction is private. People can buy and sell things without being tracked.
Bitcoin innovation. Bitcoin established a whole new way of innovation. The bitcoin software is all open source, this means anyone can review it. A nowadays fact is that bitcoin is transforming world’s finances similar to how web changed everything about publishing. The concept is brilliant. When everyone has access to the whole bitcoin global market, new ideas appear. Transaction fees reductions is a fact of bitcoin. Accepting bitcoins cost anything, also they’re very easy to setup. Charge backs don’t exist. The bitcoin community will generate additional businesses of all kinds.
What Makes how to get bitcoins So Interesting?
Should I start Mining for Bitcoins? Is it a good time?The answer to this question is yes from my point of view. Why? One of the main reasons is that digital currencies are very volatile. Many would say that`s a bad thing but I think it`s not the case here because we are counting on that. Let me give you an example: The Bitcoin trading price is now $89 USD per Bitcoin. We are mining for Bitcoins now at this trading price and we could find ourselves cashing out a lot more later. A few weeks back the Bitcoin digital currency was trading at over $200 USD per Bitcoin! An this is not all. This is a one of a kind thing where you can earn money by doing nothing but leaving your Bitcoin mining rig turned on. Of course it all depends on how much are you willing to invest. What is a Bitcoin?Watch the video below to learn more about crypto currencies and Bitcoin. GPU Mining Rig vs FPGA vs ASICMaybe you`ve heard by reading on other articles that it`s the ASIC era in Bitcoin Mining. That may be somehow true but you should choose wisely. Here is a comparison: ASIC Miners - are fast, and at the moment it`s a sure bet to make the most money but the downside is that the companies that sell these machines are way behind schedule shipping the orders. (This means that if you order a ASIC miner now, it may take even 5-6 months to get it and in the mean time many other people will have these machines going thus increasing the difficulty and making mining less profitable.) FPGA Miners - this type of miners are not recommended anymore because of the high cost per hash power they provide. You will need many FPGA miners to make a good income per month and it will take even more time to break even with the money you`ve put into these machines. GPU Miners - From my point of view these type of miners are the way to go. You might ask yourself why? The GPU`s use more power! It`s true but even so the advantages are many. You can use these miners for other crypto currencies too, like Litecoin which at the moment is more profitable to mine than Bitcoin. Litecoin might be the coin of the future like Bitcoin was at the beginning. The exchange rate is now somewhere at $3 per Litecoin and if you start mining now and keep your coins you could even be a billionaire in a few years. GPU miners will be able to mine any new crypto currency and if at a certain point you don`t need it anymore you can always sell your mining machine, compared to FPGA and ASIC miners that will never serve any other purpose besides mining. Recommended GPU for mining: Gigabyte Radeon HD 7950 - This one is the best in terms of hash speed and power consumption. I use it in my own rigs and get ~700mh/s. I will write a guide on how to create a very good mining rig in the near future so check out this page often for updates. Getting started with Bitcoin1. Step one Download the Bitcoin Wallet Go to the official Bitcoin Website to download the Bitcoin-Qt After you download the wallet, let it run. It will download all the blockchains from the network. This may take from one to a couple of hours and it will be up to date. In your wallet you will be able to see your unique address that you will use to receive coins from the pools you use. Example of wallet address: 1KtAs4HBFzkdHC2ou4gxyGHwcL7aKzwTve 2. Download AMD GPU Drivers Go to the link below to download the latest AMD Catalyst Drivers for your GPU: http://sites.amd.com/US/GAME/DOWNLOADS/Pages/downloads.aspx Go to the link below to download the latest AMD Catalyst SDK Drivers: http://developer.amd.com/tools-and-sdks/heterogeneous-computing/amd-accelerated-parallel-processing-app-sdk/downloads/ 3. Download your mining software Cgminer is the best GPU miner I have found so far and is easy to configure. Download it here: http://ck.kolivas.org/apps/cgminer/ 4. Signup on one of the mining pools available Here is a short list of mining pools available at the moment: https://en.bitcoin.it/wiki/Comparison_of_mining_pools I recommend BTC Guild because it`s the largest and most popular and you are less likely to have any problems using it. Once you have an account with them there are detailed instructions on how to set up your mining software in under a minute and you are ready to start. 5. Signup on an exchange website The largest exchange website at the moment is BTC-E.COM You will need an account on a exchange website to withdraw your coins to USD or EURO. You can even exchange Bitcoin to Litecoin, Litecoin to Bitcoin, Feathercoin, Namecoin etc. 6. Check the profitability of various cryptocoins I always use Dustcoin.com to see the comparison charts. I recommend looking only for Litecoin and Bitcoin Information. There are many other coins listed but these two are the best. You will see that Litecoin is almost always more profitable to mine but you can take your pick. 7. Start your Cgminer with your chosen pool and you are ready to make some cash!
What Are Bitcoins?Having first come to light in around 2008/9, Bitcoin is an ‘online only digital currency’ with no central bank controlling its actions. Each Bitcoin is contained within your 'wallet' on your PC. You are able to buy things using Bitcoins or trade them at various Bitcoin exchanges. Think of it like this. - Each Bitcoin is individual (i.e. has its own individual number so to speak). - When storing a Bitcoin a person has a ‘wallet’ which is not online. It is in an offline wallet folder on your computer or hard drive etc. - In order to trade Bitcoins you simply send them over to another persons wallet. All of which is anonymous (i.e. no names or addresses involved)... As such, you have the basics for what some have called an ‘online currency’... What makes Bitcoin so interesting is its method of generation. Instead of the designer of Bitcoin being in control of the creation of new coins, a complex cryptographic algorythm is in place so that a fixed number of coins are created. Each month the total number of coins being created by this algorythm will decrease until eventually the number of Bitcoins in existence will be a fixed 21 million. Whilst 21 million may seem a lot of Bitcoins to be in existence, it is really not when you consider that it is a global digital currency and there are over 6 billion people in the world. This is reflected in the fact that prices are currently over $300 for just ONE Bitcoin! Where Can I Get BitCoins?There are a few ways that you can get hold of Bitcoins. The first is through what is called Bitcoin mining. As mentioned earlier, there are new coins created (up to a fixed number each month). These are distributed between Bitcoin miners who will run high processing power PCs to help solve the current blockchain. However, it would be unrealistic to try and do this on a normal pc. It would cost more in electricity than would be returned in Bitcoins. The majority of miners making profit through Bitcoins will run specially designed mining 'rigs' that are hundreds of times better than a normal PC. This brings us to the other way of getting hold of bitcoins; through bitcoin exchanges. There are a number of Bitcoin exchanges that you can use to buy or sell Bitcoins. We are not going to reccomend any here but if you do a quick search on Google and check for reviews you should find one that suits your needs. Also, you can send Bitcoins directly to other people very simply using your wallet. Another fun way of earning Bitcoins is through gambling or the playing of games on certain websites. One example of this, Primedice, lets users gamble Bitcoins on a simple roll dice game. There are however many other different games that will let you earn when you compete against other people. Coin Flapper is a great example of this. This flappy bird clone lets you compete against other players in a tournament style game. The person that ranks top will win a small BTC prize. It all sounds far too easy and good to be true. A decentralised currency which is not being controlled by one government (and so is thus unregulated). It would also consequently mean that if your countries currency started to hyperinflate and become worthless (much like what happened in Zimbabwe) your Bitcoins would still be safe as they are not linked to any country. It must be said that whilst it is rare for a currency to become totally worthless, it has happened on numerous occasions in the past. Personally though, we would still reccomend gold as a safer option if your worried about the value of your currency. The Bitcoin market fluctuates too much to be seen as a 'safe' investment for your money. What Are The Problems With Bitcoins?Massive Price Increases & Fluctuations – It was not so long ago that the Bitcoin was worth under $100 each. However, over the past few years Bitcoins have seen massive price increases and falls and is thus not seen as stable by investors. Many traditional investors shun the idea of cryptocurrencies being a good investment for their money. Hacks on Bitcoin Exchanges – Over the past few years there have been a number of hacks on Bitcoin exchanges and in some cases have even forced the exchange to close down as a result. A good example of this is the 'MtGox' which was once one of the largest Bitcoin exchanges in the world. In July 2014, it was announced that MtGox was going into liquidation as 850 000 Bitcoins had been stolen. At the time many were confused as to how this could happen. The equivalent of $450 million cannot simply just disapper. Limited Availability – There are only so many bitcoins being released each month and so the limited availability is in part the reason why the prices have increased so much. We cannot discount the fact that some of the price increases may be purely down to speculative investors though. With only 21 million Bitcoins ever being created and the date of completion to be sometime in 2020 it would look like the prices of Bitcoins wont be going down at all. Given all these negatives... Should I Invest In BitCoins?Personally, we believe that Bitcoins can never be seen as anything more than a speculative investment for your money. Whilst, there will be some people who have made a lot of money through owning Bitcoins, the prices fluctuate alot and consequently traditional investors are put off by the idea. The one attractive prospect to purchasing Bitcoins for us was the fact that there will only ever be 21 million created. Once the supply stops, there is a chance that the price may start to increase as the demand increases as well. However, this is all speculation and we cannot swear to you that they are going to increase in price. There could of course be some other event happen which could cause their price to increase dramatically.