Have Queries About Bitcoins? Get Answers Here

Have Queries About Bitcoins

Bitcoin uses peer to peer blockchain technology. Satoshi Nakamoto created Bitcoins in the year of 2009. It is mainly made for the internet. It is online cash and can be used by anyone. Nature of Bitcoin Cryptocurrency is deflationary. Bitcoin along with other cryptocurrencies are not controlled, monitored or owned by any government or financial institution. It has been estimated that by the year 2140, 21 million Bitcoins would be mined. So to register visit this site at  Profit-Edge.com if you want to trade bitcoins!

You can use Bitcoins to buy furniture, games and other online products. There are many companies like Microsoft, PayPal, Overstocks, Whole Foods, Etsy, Starbucks, Newegg, Home Depot and Rekutan that accept Bitcoin for online transactions. 

Why Would You Choose Bitcoins Over Traditional Currency?

If you want to maintain anonymity while buying things, Bitcoins are the best option for you. As Bitcoins are not under any regulatory body or country, you can make international payments easily and you do not need to pay a high commission for the same. No fees are charged in Bitcoin transactions, which make them popular among small-scale businessmen. You can also invest in Bitcoins and make profit.

How much does Bitcoins worth?

At the onset when Bitcoins came in online mode, the value of 1 Bitcoin was $0.05. Presently the price of one Bitcoin is somewhat around $100. The highest worth of Bitcoins was reached in the year 2013 (April) when each Bitcoin reached $266.

What is the mining rate of Bitcoins?

In every 10 minutes, 25 Bitcoins can be mined presently which is allowed by the Bitcoin network. After every 4 hours, the rate of mining becomes half of the initial rate. You can divide the value of bitcoin currency up to 8 decimals. If needed this decimal system for Bitcoins can be changed within the Bitcoin protocol. 

How can you acquire Bitcoins?

There are 4 ways by which you can get Bitcoins:

  • BTC exchange- Here, you need to wire the flat traditional currency to exchange in BTC form.
  • BTC owners: You can buy Bitcoins from other BTC owners.
  • Mining – You need to invest a huge amount to opt for this method of acquiring Bitcoins.

How can you send or receive Bitcoins?

You need to scan the receiver’s QR code with your smartphone to send or receive Bitcoins. The PIN is needed to make a transaction and it is known as your private key. The transaction details can be seen immediately in the network, as all crypto transactions are recorded in a public ledger. 

Where can I keep Bitcoins?

For added security, Bitcoins can be stored in wallets. These wallets have 2 parts- private key and public key. As the name suggests, only the owner can access his or her wallet by entering a private key. You need to be careful regarding the private key because if anybody gets to know about it, he will possess all your Bitcoins. 

What are Bitcoin wallets?

There are 3 types of wallets:

  • Online wallets- These are safe but susceptible to hacking and network failures.
  • Paper wallets– Here the private or public key is printed on a piece of paper that is stored in a private place. It would not have any record of your key in the hard drive or in an online database. Though there is the least chance that they can be hacked, they are susceptible to other risks like theft and damages caused by fire or water.
  • Offline wallets- You can download the local wallet app on your smart devices or desktop. Always keep a backup of the hard drive as it can fail. These wallets are prone to both theft and hacking. There are safeguarding methods to keep them safe.

Tips For Bitcoins Safety And Security

  • If you are going for online services, always use 2-factor authentication.
  • Passwords must be strong. Do not use passwords that are easy to guess like your mobile number, date of birth, house number, the birthday of your close ones etc.
  • Encryption of wallet files is a must.
  • Your computer must always have a package of antivirus software.
  • A paper wallet should be kept in a secure place that would be known by you only.

So, keeping the above points in mind you might like to go for Bitcoins which would allow an innovative, easy, cheap, and safe mode of transaction.