Bitcoin is a decentralized digital$BTC
currency that operates without the need for a central authority, such as a government or financial institution. It was invented in 2008 by an anonymous person or group using the pseudonym Satoshi Nakamoto and released as open-source software in 2009.
Key Features:
1. Decentralization: Bitcoin runs on a peer-to-peer network, meaning transactions are validated and recorded by nodes (computers) worldwide, not a single entity.
2. Blockchain Technology: Transactions are stored in blocks, which are linked together chronologically to form a blockchain. This ensures transparency and security.
3. Limited Supply: Bitcoin has a maximum supply cap of 21 million coins, making it a deflationary asset.
4. Mining: New bitcoins are created through mining, where individuals or groups solve complex mathematical problems to validate transactions. Mining also secures the network.
5. Pseudonymity: While transactions are public on the blockchain, the identities of users are not directly linked to their wallet addresses.
6. Global and Borderless: Bitcoin can be sent anywhere in the world without intermediaries, offering low-cost, fast transactions.
7. Store of Value: Often referred to as "digital gold," Bitcoin is considered a hedge against inflation by many investors.
Use Cases:
Payments: Used for purchasing goods and services.
Investment: A speculative asset for traders and a long-term store of value for holders.
Remittances: Sending money across borders cheaply and quickly.
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