Bitcoin is popular Crypto currency that enables instant payments to anyone,anywhere in the world.Bit coin system works without central bank or single administrator.It is the first Decentralized digital currency. Officially there are no authorized persons for bitcoin.But there is a name SATOSHI NAKAMOTO as the founders of bit coin.The meaning of SATOSHI- “wisdom (or) reason” and NAKAMOTO – “central source”.
working of a Bitcoin
Bitcoin works on the principle of Black chain Technology.The journey of a bit coin starts with Transaction that you make from your wallet that is embedded in the software.It will provide you an address that will be given for every transaction that you desire to make.You will have a QR code for making transactions to others.It is the most secured way to get our transactions done.
- FAST P2P TRANSACTIONS
- WORLDWIDE PAYMENTS
- SECURE (STRONG CRYPTOGRAPHY)
- LOW PERCENTAGE OF FEE
- OPEN (FULLY DECENTRALIZED)
Sending bitcoin is as simple as sending an email.
Working of Bitcoin :
Bitcoin works of Block chain network.
These are the different steps that are takes place in the Bitcoins
- Transactions: Transactions are broadcast to the network.
- Miners:These are used for adding Bitcoins transactions to global public ledger that is used to know about your previous transactions.
- Block:Miners create a block and includes Its transactions.
- Proof of work:Miners use there computational power to validate and record transactions to there Global public ledger .
- Verification:Miners verify proof of work.
‘Bitcoin core’ is the name of the software that will give the access to the application.It is an open source software where anyone can directly download it from the internet and use it on there computers or mobile phones.This enables to use the currency.
a transaction is a transfer of value between bitcoin addresses that get included used to digitally sign transactions to provide a mathematical proof that they are valid.Bitcoin wallets keep a secret piece of data called the private key or seed which is used to sign transactions to provide a mathematical proof that they came from the owner of the wallet.
A digital signature prevents the transactions from being altered by anyone once it has been signed.All transactions are broadcast between used and usually begin to be validated and confirmed by the Bitcoin network within a few minutes and mostly within an hour.