Every country has its own currency. Estonia and the Eurozone have the Euro, Russia has the Rouble and the USA have US Dollars. We exchange money in banks or specialized foreign exchanges, transfer it worldwide and invest it. In our times of technological innovation it is safe to say that most, if not all money transfers are conducted through the Internet. Is it then such a great surprise that an online currency such as Bitcoin has emerged? Interest in the currency has grown towards the end of 2013 due to significant spikes in the currency’s value, but let’s start from the beginning. In 2009, an unknown programmer by the name of Satoshi Nakamoto put forward a whitepaper that proposed a creation of new form of digital currency.Read more
The bitcoin network isn’t controlled by one central authority. Every machine that mines bitcoin and processes transactions makes up a part of the network, and the machines work together.Read more
In centralized financial systems—such as the U.S. Federal
Reserve system—government and banks control the supply of currency. They
essentially "print" units of this currency, which is called fiat.
When centralized entities operate in this fashion often times the
"fiat" system can be inflationary. By contrast, a lot of
cryptocurrencies like bitcoin have a capped supply, although some digital
assets do not. This means currencies like bitcoin are produced by a
cryptocurrency protocol at a predetermined, set rate. The supply is capped at a
specific amount. Bitcoin's cryptographic financial system is built on a
peer-to-peer, open source, and decentralized network. The currency is not
controlled by one person or organization, and their specifications are not easily
altered without consensus on the network.Read more
Every country has its own currency. Estonia and the Eurozone have the Euro, Russia has the Rouble and the USA have US Dollars. We exchange money in banks or specialized foreign exchanges, transfer it worldwide and invest it. In our times of technological innovation it is safe to say that most, if not all money transfers are conducted through the Internet. Is it then such a great surprise that an online currency such as Bitcoin has emerged? Read more
Cloud (or remote) mining – is the process of using hardware power to mine cryptocurrency (such as Bitcoin or Litecoin) remotely. This mining model came to existence due to the fact that the increasing difficulty of mining has made it unprofitable for mining enthusiasts to mine Bitcoins at home. Cloud mining gives people a unique opportunity to begin mining cryptocurrency without the need for a large initial investment in hardware or technical knowledge. Despite the simplicity of the cloud mining model, it is worth elaborating on a few details, specifically it’s important to highlight that remote mining comes in two forms: hosted or cloud based mining.Read more