What is Bitcoin?

What is Bitcoin and how does it work?

The bitcoin is a currency as well as the real or the dollar, but quite different from the examples given.The first reason is that it is not possible tinker in the pants pocket and find one forgotten. It does not exists physically, it is totally virtual.

Bitcoin is a virtual(or digital) currency 

Created by Satoshi Nakamoto in 2009.It means bit currency is the currency that expresses the smallest unit of information in the computing content.

Bitcoin is not only a currency, it is also a protocol and software that enables instant peer-to-peer transactions (not involving intermediaries) and payments on a worldwide basis.Bitcoin also has low or zero processing rates.

The great difference of Bitcoin is that since it is not dependent on a central administrator body ,it is not possible for one of these organization to manipulate its value.Through the Bitcoin site,it is possible to acquire and transfer certain currency anonymously.

This decentralization and anonymity seem to differentiate strategies from other existing virtual currencies.Bitcoins are stored by their respective owners on their computers, which is seem by many as a disadvantage as they become more vulnerable to a possible attack by a hacker. 

Although Bitcoin doesn't have a physical format,economically speaking ,it is still considered as an asset .As of 2011,several organizations began to accept donations in the form of Bitcoin.In 2012,several stores already accepted Bitcoin as a form of payment.
Bitcoin essentially work on the Blockchain system.Blockchain system is a public ledger of Bitcoins that is designed to record all the transactions of Bitcoins.Thr chronological arrangements of Blockchain is enforced with cryptography and each new ledger update creates newly minted Bitcoins.
This whole process is designed in such a way that Bitcoins Wallets(created when the user register in the software) can calculate their total balance and new transactions can be verified.

Buyers and sellers can enter into the transactions by using their Bitcoins Wallets that are usually secured by a "private key".

 This private key is used to authorize the transaction by the owner of the wallet.Every transaction is conducted by adding the Bitcoin Wallets on a exchange, acting as a facilitator for sale and purchase of Bitcoins.
The value of Bitcoin follows the rules of the market, that is, the higher the demand,the higher the price.In the First five months of 2017 ,interest in Bitcoin exploaded.On January 1, the currency was traded at just over a thousand dollars.By the end of May ,it was worth more than $2400.