Bitcoin is a decentralized digital currency that operates independently of banks and governments, utilizing blockchain technology to secure and verify transactions. Here's a breakdown of key information about Bitcoin:
*Key Characteristics:*
- *Decentralized*: Bitcoin operates without central authority control, allowing peer-to-peer transactions.
- *Limited Supply*: Only 21 million Bitcoins will ever be mined, contributing to its value.
- *Security*: Transactions are recorded on a public ledger called the blockchain, making them transparent and resistant to tampering.
- *Anonymity*: Bitcoin transactions are pseudonymous, with funds linked to addresses rather than real-world identities ¹ ².
*How Bitcoin Works:*
- *Mining*: New Bitcoins are created through a process called mining, where powerful computers solve complex mathematical problems to validate transactions and add them to the blockchain.
- *Blockchain*: A public ledger that records all Bitcoin transactions, ensuring transparency and security.
- *Transactions*: Bitcoin can be sent and received using a digital wallet, with transactions verified by miners and added to the blockchain ² ³.
*Bitcoin's Price and Adoption:*
- *Current Price*: $109,554.02 (as of July 3, 2025).
- *Market Cap*: $2.13 trillion (as of July 3, 2025).
- *Adoption*: Over 296 million Bitcoin owners worldwide, with 17% of American adults having invested in or used Bitcoin ⁴ ².
*Uses and Benefits:*
- *Store of Value*: Bitcoin's limited supply and security features make it an attractive store of value.
- *Fast and Low-Cost Transactions*: Bitcoin enables fast and cheap transactions, especially for international transfers.
- *Financial Inclusion*: Anyone with an internet connection can access and use Bitcoin, providing financial services to the unbanked