The world is abuzz about bitcoin these days and that has many people wondering what bitcoin actually is, why it’s so hot right now, and what it all means for the future of ecommerce. The following article will hopefully help demystify this ultra-hot cryptocurrency. What is bitcoin? Bitcoin is a form of digital currency and a worldwide payment system. Unlike traditional currency, such as minted coins or printed bills, bitcoin is created and held electronically. And unlike traditional currency that is controlled by a central bank, no single entity controls bitcoin and, by extension, no single authority can manipulate the value or destabilize the network. Bitcoin is exchanged electronically by users via cryptographic addresses. Third-party sites, called exchanges, help facilitate these transactions. Where does Bitcoin come from? The process by which bitcoins are generated is called mining. Using powerful computer processors, individual miners or groups working together essentially solve a...
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