Bitcoin Currency
Holding Bitcoin In Hand. Credit: Depositors

Bitcoin is a global consensus and has many benefits for its users

Author at TechGenyz Bitcoin

In the introduction to what is Bitcoin, you come to know how to buy bitcoins, where and how to buy them, now I will explain the inner workings of it. 

To put an example very simple and easy to understand. Imagine Bitcoin as a large fish tank where, from the outside, you can move the one inside if you have the necessary keys to move them, but nobody can ever enter or remove anything from the fish tank, so the total amount of bitcoins in this fish tank will be unalterable, but if the possession of the bitcoins. Unlike the Dollar and the Euro, which have unlimited issuance.

The Bitcoin Network is based on a “peer to peer” or user-to-user system that has allowed us to break a problem in all previous payment methods, the need for a third party. Before the invention of Bitcoin, when you wanted to make an online payment, you had to resort to platforms such as Paypal, Neteller, Banks, etc. to make payments.

With Bitcoin, this changes as there is no organism behind this free currency, it is the network itself generated by users (thousands of computers around the world) who make sure to track, control and record transactions.

Thanks to a multipart crypto system that it is probable to make sure that no one can cheat you and that the coins is secure against any type of attacks, fake attempts or any type of repetition. Hence also comes the Latin motto that some coin users coined in their earliest days: “Vires in numeric”, that is, “The force is in the numbers.”

It may seem strange at first since we are not used to these types of concepts and getting bitcoins money is as simple as sending and getting an email in your account. In this method, not only is the Bitcoin system transformed, it is not only secure but also simple and convenient.

Anyone can review it and make sure everything goes well. In fact, only in this way has the currency earned the trust of so many people around the world who use it for their business, shopping or sending money to their families. btc online platform allows participants to issue bitcoins and manage transactions collectively and automatically. 

The operation of the Bitcoin network for computer scientists

The explanation of the exact operation and the technical details are beyond the purpose of this simple guide you can find them in this bitcoin forum. On the other hand, they are freely available on the internet and can be consulted by anyone who is curious and wants to learn more about the Bitcoin network and verification and security mechanisms.

This article is a good starting point, where it is also explained how the Bitcoin system prevents “double spending”. If you have advanced computer skills, you may also be interested in reading about the technology behind this coin, the Blockchain. On the other hand, if this is the first time you have heard of cryptocurrency.

Where are the bitcoins kept?

Although it is unnecessary to use Bitcoin know this, I think it is very important to explain for anyone to get a more accurate idea of its operation and to feel that way more familiar with this system. After all, it’s about our money!

The bitcoins that we receive at our Bitcoin address do not represent any file from our computer, any metal, paper or string of text, but in fact it is a value that our address may have. In the same way that your bank account does not represent money that is literally there, but it is a value that your bank gives to your account.

Bitcoin addresses work the same way. Each address corresponds to a value that can go up or down according to the transactions we carry out. This is when the peer-to-peer network we mentioned in the previous chapter comes into operation. The interconnected nodes are in charge of registering the new address value and disseminate the information of said transaction throughout the network, being endorsed unalterably thanks to a complex cryptographic security system.

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