Bitcoin - Characteristic
Bitcoin - the digital gold
Gold - it has no value on it. Its values comes from the fact everyone thinks that it is valuable and its become valuable. Gold has characteristic that make it a better 'store of value'.
1. It is rare and limited supply.
2. it is malleable. - can be into smaller unit and most importantly they are still the same value after become into a smaller unit.
3. it is stable and doesn't degrade.
4. easy to recognise
As for bitcoin, Bitcoin has all the same characteristics and MORE
1. it has limited supply ( only specific amount of Bitcoin exists and still producing)
2. it can be made into smaller units without losing unit value (1 Bitcoin = 100,000,000 Satoshis)
3. Its technology make it very stable and wont degrade
4. * you can move Bitcoin anywhere you want within minutes.
5. Bitcoin has value as a payment system
Bitcoin as internet?
Bitcoin is similar to internet. It's not owned by anyone, so anyone can use it as they please! This is referred to 'decentralised'. It is also allows for permissionless innovation. Every bitcoin hold by anyone works the same. Its like email and internet. It's one big global transaction ledger and the world's first truly global currency.
How to get Bitcoin?
There are actually a number of ways you can get Bitcoin.
1. You can earn it by providing goods or services and asking people to pay you in Bitcoin - just like traditional money.
2. you can also buy it from a Bitcoin broker or exchange provider. This is similar on how you would buy foreign currency at your bank or shares online. - most people get their bitcoin by this way
3. you can also get Bitcoin by mining them. It has become very difficult to do for average person. Most mining is now done by huge companies with expensive and highly specialized equipment which a typical person and computer cannot compete with.
Gold - it has no value on it. Its values comes from the fact everyone thinks that it is valuable and its become valuable. Gold has characteristic that make it a better 'store of value'.
1. It is rare and limited supply.
2. it is malleable. - can be into smaller unit and most importantly they are still the same value after become into a smaller unit.
3. it is stable and doesn't degrade.
4. easy to recognise
As for bitcoin, Bitcoin has all the same characteristics and MORE
1. it has limited supply ( only specific amount of Bitcoin exists and still producing)
2. it can be made into smaller units without losing unit value (1 Bitcoin = 100,000,000 Satoshis)
3. Its technology make it very stable and wont degrade
4. * you can move Bitcoin anywhere you want within minutes.
5. Bitcoin has value as a payment system
Bitcoin as internet?
Bitcoin is similar to internet. It's not owned by anyone, so anyone can use it as they please! This is referred to 'decentralised'. It is also allows for permissionless innovation. Every bitcoin hold by anyone works the same. Its like email and internet. It's one big global transaction ledger and the world's first truly global currency.
How to get Bitcoin?
There are actually a number of ways you can get Bitcoin.
1. You can earn it by providing goods or services and asking people to pay you in Bitcoin - just like traditional money.
2. you can also buy it from a Bitcoin broker or exchange provider. This is similar on how you would buy foreign currency at your bank or shares online. - most people get their bitcoin by this way
3. you can also get Bitcoin by mining them. It has become very difficult to do for average person. Most mining is now done by huge companies with expensive and highly specialized equipment which a typical person and computer cannot compete with.
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