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What is Bitcoin? Complete Guide to the World's First Cryptocurrency

Bitcoin is a revolutionary digital currency that has changed the way we think about money. In this article, we will explain everything you need to know.

Andigi Editorial
Andigi Editorial

A team of experts in digital technology and artificial intelligence. We bring current news and in-depth analysis from the world of AI.

8 min read
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Bitcoin - golden coin with BTC logo

Introduction to Bitcoin

Bitcoin (BTC) is the first and most famous cryptocurrency in the world. It was created in 2009 by an anonymous developer or group of developers operating under the pseudonym Satoshi Nakamoto. Bitcoin represents a revolution in the field of finance and technology.

How Does Bitcoin Work?

Bitcoin operates on technology called blockchain – a distributed ledger that records all transactions in the network. Each block contains:

  • Hash of the previous block
  • Timestamp
  • Transaction data
  • Nonce for proof-of-work

Key Features of Bitcoin

1. Decentralization

Bitcoin is not controlled by any central authority – there is no bank or government that can manipulate the money supply.

2. Limited Supply

The maximum number of Bitcoins that will ever exist is 21 million. This property makes Bitcoin a deflationary asset.

3. Transparency

All transactions are publicly verifiable on the blockchain, while user identities remain pseudonymous.

4. Security

Cryptographic security and the distributed network make Bitcoin extremely resistant to attacks and fraud.

How to Get Bitcoin?

There are several ways to acquire Bitcoin:

  1. Buying on an exchange – the easiest method for beginners
  2. Mining – requires specialized hardware
  3. Accepting payments – accepting BTC for goods or services
  4. Peer-to-peer trading – direct purchase from other users

Advantages and Disadvantages of Bitcoin

Advantages:

  • Independence from the traditional financial system
  • Low transaction fees for international transfers
  • Protection against inflation
  • 24/7 availability

Disadvantages:

  • High price volatility
  • Regulatory uncertainty in some countries
  • Energy-intensive mining
  • Irreversibility of transactions

Conclusion

Bitcoin represents a fascinating technological and economic innovation. Whether you decide to invest or just follow the developments, understanding the basics of Bitcoin is essential in today's digital age.

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Andigi Editorial

Andigi Editorial

A team of experts in digital technology and artificial intelligence. We bring current news and in-depth analysis from the world of AI.

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