The Bitcoin Breakdown

The newest form of currency uses up and coming technology that is still not clearly understood, it is called Bitcoin. Bitcoin is a type of currency that has no form and cannot be held, this type of currency is accessed digitally only. No one controls Bitcoin and it is affected by the amount of work that is put into to get Bitcoins.  To get Bitcoins a person must put in time to attain more of this type of digital currency.

Bitcoins may be baffling, but with a bit more knowledge you can begin to use your very own Bitcoin wallet.

Bitcoin Basics

When new users obtain Bitcoin wallets they are given personal digital addresses, these addresses are important because it is what is needed to receive Bitcoin currency. Once given a web address users are allowed to send and receive Bitcoins at whatever time!

The benefit of using Bitcoin is it allows users to provide a signature which stops users from spending more Bitcoin money than needed. Bitcoins use special mathematics that cannot be easily copied, making it impossible to break into.

Bitcoin also has its own bookkeeper, like what an accountant would have to keep records of all money spending. Bitcoin has all its money activity recorded for the public to view. Whenever there is a transaction with Bitcoin it is quickly stored and for future reference, this helps with calculating how much spending should be made.

The Retail Factor

According to Charge.com, there are more and more ways that retailers have begun accepting bitcoins. Primarily, digital wallets using NFC technology are becoming the standard. Phones simply exchange the information at the time of the transaction, and the customer’s wallet is deducted the cost of the transaction.

The modern credit card processor has NFC technology built in for these kinds of transactions. Major retailers are the first to adapt this kind of technology, but it’s becoming more affordable. Individual stores will soon accept bitcoins as well.

The trouble only comes when looking at international laws and regulations. Bitcoin relies on international acceptance of the currency to be able to use it, so there may be some countries that take an aggressive stance towards it. Although it would be possible to continue using bitcoins online, usually under a VPN, it would be impossible to do so in a retail environment.

Hopefully, regulations will change and Bitcoin will become a more accepted form of currency accepted the world over.