Programmer Robert McNally Put Together An Awesome Presentation On What Bitcoin Really Is
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Jul 26, 2021, 12:45 IST
Let's begin ...
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And start with basics.
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In 2013, Bitcoin *is* money — at least for some — and that population grows each day.
In this community, it has developed the same properties as regular cash.
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Though some prefer to think of it as more akin to gold, due to its durability and limited supply.
But technically, it is a cryptocurrency.
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That means there are no records or files on the transactees.
This is Bitcoin's principal benefit for many currency hawks or central bank doubters.
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There have been previous attempts at cryptocurrencies, but Bitcoin is unique.
In theory, no one controls it. And you can also take it anywhere, since it's just code.
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Here's how Bitcoins are made ...
Computers "mine" for it by cracking a predetermined encrypted program. This is a quite difficult task, which is what gives Bitcoin its inherent value.
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As Boromir would say ...
Does this look familiar? Plotted over millennia, it represents the arc of known gold stocks. Plotted over decades, it's also, in theory, true for Bitcoin.
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Here's what "miners" look like in real life.
One "block" of Bitcoins is created about every 10 minutes these days. We'll see how much one block is in a moment.
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Again, mining for Bitcoins requires a heck of a lot of dedicated computer memory.
Do Bitcoins look like anything?
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As previously stated, they're basically just code.
So how much is a "block"? It's been changing every day. This chart is now very outdated — Bitcoins traded as high as $94 last week.
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So who's actually accepting Bitcoins? When they first came on the scene, pretty much only programmers or gamers were.
But as its popularity — and value — grows ...
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So does the range of things you can buy with it.
And now, chances are your card shark buddy would allow you to pay off your debt in it.