Bitcoin (BTC) is making headlines nowadays and there are even more articles discussing it online. Despite that, finding a reliable source on it may be challenging resulting in the mystery of Bitcoin persisting with many people.
What is Bitcoin?
Bitcoin is a digital currency based on the blockchain technology. The only form it exists in is digital, it has an infinite number of issuers (henceits decentralization), and the number of BTC units is predefined and ultimately limited which bolsters Bitcoin's position economically.
Although most currencies nowadays have a digital form, Bitcoin is different for other reasons as well. Currencies such as USD, PLD or EUR have a single issuer--the central bank. Thus, a central authority decides how much money is in circulation at any given time, If a country is governed by a responsible politicians and bureaucrats, there is nothing to worry about. If, however, the government decides to print additional money to fund blatant populism, this can ultimately result in hyperinflation.
Bitcoin is safeguarded against these kinds of threats. Ultimately, only 21 million bitcoins will ever exist guaranteed by an algorithm coordinating the mining (issuance) of the coins.
Much the same way as the dollar or polish zloty, a bitcoin breaks down into smaller units as follows:
1 mBTC (miliBTC) = 0,001 BTC = 10 −3 BTC 1 μBTC (mikroBTC) = 0,000001 BTC = 10 −6 BTC 1 satoshi = 0,00000001 BTC = 10 −8 BTC (smallest unit)
Today, bitcoin can be used to pay for goods and services in a steadily growing number of locations. Worldwide, Bitcoin ATMs are proliferating rapidly. These ATMs allow one to purchase and sell bitcoins.
Is Bitcoin Completely New?
The answer is no. Sadly, however, when somebody hears about Bitcoin for the first time, nowadays they think of it as of something new and unproven. This is not the case--The first bitcoins were issued in 2009 by the anonymous creator of bitcoin going by the pseudonym Satoshi Nakamoto.
Today we can actually look at bitcoin as having reached maturity. At the same time, given how few people know about it, bitcoin is still a hot new thing that is best discovered before others notice it.
Bitcoin and the Law
Despite the televised controversies, there is no law in Poland that forbids using Bitcoin. There is also no particular law regulating it. When it comes to trading Bitcoin and other cryptocurrencies, the currently existing laws are what one needs to count on to safeguard the interests of Bitcoin and other cryptocurrency users.
Copyright © 2019 Polish Blockchain and New Technology Chamber of Commerce