What is Bitcoin?

It is said that the creator of Bitcoin is a person named “Satoshi Nakomoto”. It is not clear whether Satoshi Nakumoto is really a person or a group of people who started producing Bitcoin under this name.

About the identity of Satoshi, it has been said that he is a Japanese person born in April 1975. Of course, in his published works, Satoshi has used British English without any problems, which has raised doubts about his Japanese identity.

On the other hand, according to the timing of Satoshi’s posts, it is assumed that he did not post at midnight GMT, which makes it more likely that Satoshi is English.

After the birth of Bitcoin, there was no more news from Satoshi Nakumoto. Some time later, other cryptocurrencies such as “Litecoin”, “Ethereum” and… were also introduced to the world.

Before August 15, 1971, most of the world’s currencies were backed by gold and silver. Before the advent of paper money, coins were made of precious metals and their popularity was high among the public.

But metal, goods or valuable items are not the basis of Bitcoin, and in fact its value is only due to people’s opinion on the value of Bitcoin. The same argument holds true for the US dollar, the British pound, the euro, and all modern currencies.

◊  Also read this article: Free price action training from zero to one hundred

Bitcoin is a digital asset implemented on the blockchain network. Blockchain is an information sharing system where everyone in the network has access to the information stored in the ledger.

In the banking system, only the bank knows about the asset transfer and all its details, but in the blockchain, this information is recorded in a central ledger that everyone has access to.

In each sharing, the sender’s code, the receiver’s code and the amount sent are specified and recorded in the book, and it is possible to refer to it forever. The current size of the Bitcoin ledger has reached more than 320 GB.

Each wallet has a strong security system consisting of two codes, a private key and a public key. Every transaction that takes place in the cryptocurrency network is signed with your private key, which is generated based on a very strong cryptographic system.

It should be noted that only you have access to the private key, but once the transaction is registered in the central office, people can view that transaction based on the public key.

High security, digitality and no need for storage space, non-taxation, transaction guarantee, high transaction speed, and low fees are some of the advantages of Bitcoin.

The lack of specific institutional oversight is one of the disadvantages of Bitcoin, because in case of problems, no body will be accountable to the people who have invested their money in Bitcoin.

Bitcoin has created new conditions in the world economy, some of which can be mentioned:

1. Eliminate the central bank to create money

2. Removing the focus of the economy on gold

3. Controlling the devaluation of the dollar and inflation

Among the factors affecting the price of Bitcoin are:

• Bitcoin supply and demand
• Government laws regarding Bitcoin
• News coverage in news and media
• The spread of other cryptocurrencies
• The amount of credit and acceptability of Bitcoin

To be able to enter the cycle of Bitcoin transactions, you must go through these steps:

1. Install a cryptocurrency wallet
2. Find a reputable Bitcoin dealer
3. Choose a bitcoin exchange in Iran
4. Authenticate on the online exchange site
5. Transfer the money to the seller and also provide your wallet address
6. Receive bitcoins from the seller and transfer them to your wallet
7. Back up your wallet

Creating and encrypting Bitcoin is an extremely heavy process and requires powerful equipment. For this reason, few people are able to mine Bitcoin. Of course, there are services on the Internet that give you free bitcoins in exchange for what you do.

Some of these services include: Crypto Tab Browser, adBTC website, BIT FUN website, CLAIM FREE BTC website, SatishiHero website, Earnings-Club website and so on. Also, in an article, Rahvard team has explained in detail the method of obtaining free digital currency.

◊  Also read this article: Free digital currency training from zero to one hundred

A number of Iranian digital currency exchanges have been launched to deal with sanctions and provide a safe environment for transactions in Iran. Trading through Bitcoin means dealing with sanctions and meeting domestic needs without the need for currencies like dollars.

The liberation of the country from the economic crisis and dealing with sanctions through the use of Bitcoin has multiplied the importance of Bitcoin for Iran. Currently, about 4.5% of the world’s Bitcoin mining is done in Iran.