What is Bitcoin?
Bitcoin (BTC) is a decentralized digital currency that was introduced in 2009 by a person or group using the name Satoshi Nakamoto. Unlike traditional currencies, Bitcoin is not controlled by any government or central bank.
How does it work?
Bitcoin operates on a technology called blockchain — a public, distributed ledger that records all transactions. These transactions are verified by users called miners using complex computer algorithms. In return, miners are rewarded with new bitcoins (this process is called mining).
Why is Bitcoin valuable?
The value of Bitcoin is driven mainly by supply and demand. It’s known for its volatility, but many investors consider it “digital gold” — a potential hedge against inflation and economic uncertainty.
Key Facts to Know:
Limited Supply: Only 21 million bitcoins will ever exist.
Divisible: 1 Bitcoin = 100,000,000 satoshis (smallest unit).
High Risk, High Reward: Prices can rise or fall dramatically in short periods.
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