what is bitcoin

What is Bitcoin? I hear this question asked quite a bit in popular circles on Facebook. My friends, people, and perhaps you have been getting inundated with emails about Bitcoin and how it can earn you the Golden Goose, the Goose that’s forever laying you gold eggs; get in quick! I know you may perhaps be frustrated right now because the last thing you want to do is keep sending emails into your spam box, or even worse if you managed to somehow get sucked into one of these things. But let me be clear here, Bitcoin isn’t a fast money making thing. Whilst it may be for some people, and only for those people who know exactly what they are doing, you’re not going to make first contact with cryptocurrency and make copious amounts of money, you’re just not. Take me for example. I have been in this game for five years now and have only just began to understand what a reasonably low risk investment is.

What’s all the hype? – What is Bitcoin? What is this stuff?

Think of a corruptionless coin. Think of a coin that can visibly show you where everything is going at any one point. Think of a coin that is virtually uncorruptable and works without a glitch since the day that it was conceived 10 years ago. Think of a coin that has no central authority and is owned by you, me, the people. A virtually single-ownerless coin. We all know that the central banking system owns our money that we use every day; they can take it back whenever they like, or they can make it worthless. Not Bitcoin. Bitcoin has no owner, and everyone owns it. Whoever has the coin owns a stake in Bitcoin. That would be a pretty bad-ass coin, right? Yeah, you’d think the government would want to put a stop to that stuff right away. What is Bitcoin you ask? A central authority killer.

government

Why is the price so high?

Don’t be fooled. The Authorities don’t want cryptocurrency to exist. The last type of digital coin that was making great traction before Bitcoin, was stamped out. The owners were jailed for running a finance system that wasn’t in-line with the governments, and both of those people were discredited and lots of other horrible stuff.

Bitcoins owner is anonymous.

No-one knows who Satoshi Nakomoto is. I don’t think we’ll ever know who he is; mainly because if we were to find out then the government would do the same thing as it has done before. I’d make a bet that they’d jail him, discredit him and somehow get him to break whatever it was that he began. If they manage to find the root then they pull out the whole tree – and that’s not going to happen, and that’s why the price is so high. The government has no control over it. Giving power back to us.

It’s too big to stop. Could you imagine governments everywhere cracking down on everyone that owns Bitcoin? That would be monstrously hard to do; they just wouldn’t have the resources for such a feat.

Bitcoin is an investment

Yes, you heard me right my friend, it’s an investment. I know people that have locked up their bitcoin not to be touched for a few years whilst they ride out the extreme highs and lows of their prices. If you’ve just walked into the world of Bitcoin then I implore you not to see it as a get rich quick scheme. Instead of getting out your wallet, ask yourself more questions like, “what is Bitcoin?”

Think of it as a long term solution. It works differently for me but I’ll get into detail about that later. Think of Bitcoin as something to hold onto whilst you go about your daily life. Think of it as something you would do in the same fashion as you would buy a second home to sell at a later date.

investment

Bitcoin also sets a precedent

If you’re unfamiliar with Altcoins, then this word basically means, “alternative coins” which is basically “alternative to Bitcoin.” Way back five years ago there weren’t many other alternatives out there; there may have been Litecoin, and Dogecoin, and a few others, but nothing like we have now — there are literally thousands and thousand of Altcoins. Keeping track of all of them would be silly. Now I can hear you asking how do Altcoins get their value? Because it would seem silly to release a coin was absolutely zero worth; well these coins are weighted against Bitcoin in the market. You can trade these coins for Bitcoin, and more recently Ethereum. This means that Altcoins gain their value by the Bitcoin price that people on the market are willing to trade you with. Some coins have an enormously high value, whilst other coins start off lower than the lowest currency denominator in some Countries. It all depends on how much Bitcoin they cost. That’s how it works.

Bitcoin can also be a regular wage

I’ll be honest with you here; most of my work that I get paid for is transferred to me in Bitcoin. Most people that ask me the question, “What is Bitcoin?” usually don’t understand how I am paid by it. I do most of my work on the STEEM blockchain which earns me regular rewards. I’m no fan of normal currency because I feel there’s another downturn around the corner. The cost of living is super high and wages in regular jobs have stagnated for several years. The last time I had a pay rise when I was in regular 9-5 work was more than ten years ago, and I could imagine it would be worse for other people; their wages have remained the same whilst the cost of living has went through the roof. This is why I took to self employment and found Cryptocurrency. It’s the recessionless saviour everyone has been looking for, because when money plummets, and I think it will, then people are going to want to put their savings into something worthwhile so it isn’t affected by the recession. Get paid in Bitcoin and you’ll not have to worry about the cost of living. Just be warned about the volatility of the coin. In December 2017, 1 Bitcoin was worth over $19,000. In January 2018 the coin had plummeted to $5,000. So it’s not something you’ll want to hold for very long if you get paid by it like I do. Good to save, and good to earn. Just not good to hold for a short period of time.

bitcoin chart

What Bitcoin definitely isn’t

A get rich quick thing. If this is what you think then don’t bother. If you know anyone with long-term holdings then you’ll know the sweat they’ve had to endure over the massive rises and falls of that damn coin. Holding the coin isn’t for the faint of heart, and if you aren’t prepared to sit around for a few years with your coins, then I suggest you look somewhere else for quick riches – if that’s even a thing.

Sure a lot of people watched their $1000 investment soar into the millions as Bitcoin grew over time, they asked “What is Bitcoin?” a long, long time ago, and they waited a long time, and if you need money fast then don’t be fooled by anyone that tells you otherwise. Making money in this game is just as hard as it is in the real world. Research, blood, sweat and tears, and effort.

Lots of damn effort.

what is bitcoin

 

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