How to understand bitcoin?

A guide on how to understand bitcoin and cryptocurrency?

Although bitcoin is one of the most sought after terms (according to Google), it is a very technical topic for many people and may be too technical for non geeks. However, there are now hundreds of cryptocurrencies, and more and more people are starting to want to know how they work, perhaps because of the distrust of bankers, and that’s a whole other discussion.

It’s hard to get a non-professional explanation without using technical terms like “secret keys”, “digital keys”, “digital wallet” and “cryptocurrency”, so I’ll do my best to make things as simple as possible. can.

The concept of fiat money, that is, paper currency, has been formulated to make it easier for people to exchange goods or services to replace barter, as this is at best limited to exchanges between two willing parties, while money allows you to provide your services or goods. and then purchase any service or goods that you need from another or others.

So I would argue that bitcoin is the equivalent of 21st century barter because it works as an exchange of goods or services directly between two willing parties. Barter had to be based on every promise and trust to provide and deliver the promised goods or services.

Today with bitcoin or any other cryptocurrency each party will need a unique file or a unique key to share the agreed price among themselves.

Having a unique key or file makes it easier to keep a record of each transaction. However, this also poses problems.

Now, barter is a simple exchange of skills or goods, as I said, the modern equivalent, or bitcoin prone to security breaches, ie theft or hacking of files, here the equation for security is “cryptocurrency wallet”. your transactions.

Basically, you need a safe place to buy and store cryptocurrencies / bitcoins. That’s where you need a hardware wallet.

So now that you’ve written down / written down at what address how many bitcoins are stored and then updated each time a transaction is made, the file is known as “Blockchain” – and it keeps a record of all transactions made with bitcoins.

The next issue is to keep our files unique.

I will deal with this in my next article.

Bitcoin is thriving despite everything

Since it’s now in vogue, I’d like to announce that I’m launching my own cryptocurrency next week.

Let’s call it “kingcoin”.

No, it’s too useful.

How about “mothercoin”? I always had a soft spot to mixed breeds.

Yes, it’s perfect – everyone loves dogs.

This will be the biggest since the restlessness.

Congratulations! Anyone who reads this will get one matcoin when my new coin is released next week.

I’m going to evenly distribute 1 million matcoins. Feel free to spend them anywhere (or where anyone will take them!).

What is it? The cashier at Target said not to accept our matcoin?

Tell those who doubt that mutcoins have scarce value – there will only be 1 million matcoins ever. In addition, it is backed by the full faith and merit of 8GB of RAM on my desktop computer.

Also, remind them that ten years ago bitcoin couldn’t buy you even a pack of chewing gum. Now for one bitcoin you can buy a lifetime supply.

And, like bitcoin, you can safely store mutcoins offline, away from hackers and thieves.

In essence, this is an exact copy of the properties of bitcoin. Muttcoin has a decentralized book with cryptography that cannot be hacked, and all transactions are unchanged.

Are you still not sure that our mutcoins will be worth billions in the future?

Well, that’s understandable. The fact is that launching a new cryptocurrency is much harder than it seems, if not impossible.

That’s why I believe bitcoin has reached these heights in spite of everyone. And because of its unique network of users it will continue to do so.

Of course, there were setbacks. But each of these failures eventually led to higher prices. The recent 60% drop will be no different.

The miracle of bitcoin

The success of bitcoin lies in its ability to create a global network of users who are either willing to make transactions with it now, or keep it for later. Future prices will be determined by the growth rate of the network.

Even in the face of wild price fluctuations, the adoption of bitcoins continues to grow exponentially. There are now 23 million wallets worldwide, chasing 21 million bitcoins. In a few years, the number of wallets could increase to include 5 billion people on the planet connected to the Internet.

Sometimes the motivation of new cryptocurrencies was speculative; other times they sought to accumulate value away from their own national currency. In the last year, the emergence of new applications, such as Coinbase, has made it even easier to include new users.

If you haven’t noticed when people buy bitcoin, they talk about it. We all have a friend who bought bitcoin and then kept quiet about it. Yes, I’m to blame for that – and I’m sure quite a few readers too.

Perhaps subconsciously owners become crypto-evangelicals because persuading others to buy serves their own interests in increasing the value of their possessions.

The evangelization of bitcoin – the spread of the good word – has miraculously led to a rise in price from $ 0.001 to the recent price of $ 10,000.

Who would have thought that his pseudonym, fed up with the global banking oligopoly, launched an intangible digital resource that in less than a decade equaled the value of the world’s largest currencies?

No religion, political movement or technology has ever seen such growth. Again, humanity has never been so connected.

The idea of ​​money

Bitcoin started as an idea. To be clear, all the money – whether it was money used by primitive islanders, a gold bar or the US dollar – started as an idea. It’s the idea that a network of users values ​​it equally and will be willing to part with something of equal value for your form of money.

Money has no intrinsic value; its value is purely external – only what others think it is worth.

Take a look at the dollar in your pocket – it’s just a gorgeous piece of paper with a one-eyed pyramid, a portrait and signatures of important people.

To be useful, society must view it as a unit of account, and merchants must be willing to accept it as payment for goods and services.

Bitcoin has demonstrated an amazing ability to reach and connect a network of millions of users.

One bitcoin is worth all that the next person is willing to pay for it. But if the network continues to expand at an exponential rate, limited supply argues that prices can only move in one direction … higher.

The result

The nine-year rise of bitcoin has been marked by huge bouts of volatility. In January 2015, there was a correction of 85%, and in some others – more than 60%, including a colossal drawdown of 93% in 2011.

However, through each of these fixes, the network (by number of wallets) continued to expand rapidly. When some speculators saw their price go down, new margin investors saw the price and became buyers.

Abnormal volatility levels have actually helped bitcoin networks grow to 23 million users.

Hey, maybe we just need some price volatility in matcoins to attract new users …

Bitcoin Mining and Security, Part 2

Let’s summarize about cryptosecurity and, if you need to, check out Part 1.

Bitcoin security is important. Your bitcoin or any other cryptocurrency has a unique address, identification or private key. Therefore, you need to understand the importance of maintaining its security. If you lose it, it is difficult to recover, so you need to protect it as best you can.

I must make this clear, because security must be paramount and not easy.

There are countless stories of individuals who lost access to their computers (either through negligence or misconduct) and ultimately failed to recover their bitcoin or other cryptocurrency. This should be equivalent to leaving your wallet vulnerable through pickpocketing or negligence.

Fortunately, there is a way to double protect your assets. A secure hardware wallet ensures that if you unfortunately lose access to your computer or tablet, etc., (anyway) you will be able to recover your bitcoin, etherium, lightcoin, etc.

A hardware wallet allows you to recover your cryptocurrency on any other computer as it is basically a USB connection that you use to secure transactions.

The second level of security.

Trezor is an original hardware wallet that is easy to set up for your bitcoin security. There are other products, but by the end of this article I decided to deal primarily with the Trezor hardware wallet.

The main principle of security of Bitcoins Trezors is zero trust.

Using the Trezor screen, you can self-check and physically confirm each transaction directly on your device.

It also requires you to have a PIN code every time you log in. So ensuring that you are always present.

As a single-purpose device, the wallet has no other features.

Simple equates to extra security.

Trezor is no exception to the risk of malware or viruses, period. However, the fewer devices that Trezor communicates with, that is, there is no Bluetooth, Wi-Fi or Qr scan, so the simpler the communication protocol, the more secure your bitcoin security.

Also, the Trezor has no battery. When it is disabled, it is turned off and your coins are protected from any cyber attack.

I hope I have stressed the importance of bitcoin security. Key issues: zero trust and specific security. Also make sure your backup process is just as secure, i.e. if necessary, make sure your data is available to someone you trust.

What is Bitcoin and its characteristics?

Introduction to Bitcoin

Bitcoin is an advanced form of currency used to buy things through online transactions. Bitcoin is not sensitive, it is fully controlled and made electronically. You need to be careful when contributing to bitcoin, as its value is constantly changing. Bitcoin is used for various exchanges of currencies, services and products. Transactions are made through a computer wallet, so transactions are processed quickly. Any such transactions have always been irreversible, as the identity of the client is not disclosed. This factor makes it a bit difficult when deciding on Bitcoin transactions.

Characteristics of Bitcoin

Bitcoin is faster: Bitcoin has the ability to arrange installments faster than any other mode. Usually, when one transfers cash from one side of the world to another, it takes the bank a few days to complete the transaction, but in the case of bitcoins it only takes a few minutes. This is one of the reasons why people use bitcoin for various online transactions.

Bitcoin is easy to set up: Bitcoin transactions are made through the address owned by each customer. This address can be easily set up without going through any of the procedures that the bank performs when setting up a record. Creating an address can be done without any changes, credit checks or any requests. However, every customer who wants to contribute should always check the current value of bitcoin.

Bitcoin anonymous: Unlike banks, which keep a complete record of their customers ’transactions, Bitcoin does not. It does not track customer financial records, contact information or any other relevant information. A wallet in Bitcoin usually does not require any essential data to work. This characteristic evokes two points of view: first, people think it’s a good way to keep their data from third parties, and second, people think it can cause dangerous activities.

Bitcoin cannot be refused: When someone sends bitcoin to someone, there is usually no way to return the bitcoin unless the recipient feels the need to return them. This feature ensures that the transaction will be completed, which means that the beneficiary cannot claim that he has never received cash.

Bitcoin is decentralized: One of the main characteristics of bitcoin is that it is not under the control of a particular administration specialist. It is managed in such a way that every company, person and machine involved in the inspection of exchange and mining are part of the system. Even if part of the system fails, remittances continue.

Bitcoin is transparent: Although only the address is used for transactions, each Bitcoin exchange is recorded in a blockchain. So if at some point someone’s address was used, they can find out how much money is in the wallet through Blockchain records. There are ways you can increase the security of your wallets.

What you need to know about Bitcoin Black

What is Bitcoin Black?

Bitcoin Black is basically a cryptocurrency of people created by people for people. It will be adopted for use as an equal payment system that returns power to the people.

When we talk about bitcoin, bitcoin has failed to do so, the real value comes from the real use of the ecosystem and the empowerment of people. Transactions with bitcoins are slow and expensive, and we can say that bitcoin is somewhat centralized. Bitcoin takes power from people because they are heavily manipulated and through cycles that deny participants cryptocurrency in general.

People are buying bitcoin to get rich, not to be involved in the ecosystem. The interest elite is taking advantage of bitcoin and causing depletion by strategically increasing the price and attracting entry for the dream of wealth and dropping coins in their favor. In fear of adoption. Bitcoin is completely controlled, pumped and manipulated at will, for a variety of reasons.

Bitcoin Black is focusing on addressing these issues because the coin is a fair distribution cryptocurrency discarded at 1 million wallets before IEO, all funds will go to community-voted community groups to advance the project with a focus on fair distribution, mass. acceptance, ease of use, education, ease of access, simplicity and community.

The goal is to make it a true decentralized autonomous network that returns power to the people. He does not belong to a group, but belongs to many branches of the community.

Coin distribution

Bitcoin Black focuses on initially having at least 1 million wallets, and no more than 0.5% of deliveries belonged to one founding member, making it a truly decentralized cryptocurrency.

The project has a pre-sale of 2.5% of the total supply, which is almost 900 million coins.

If we look at the IEO, 7.2 billion IEO coins will be donated to several community funds to help the community advance the project in the future.

Appropriate means for manipulation (about 5%). Part is used for the Stability Control Fund to rule out the possibility of early manipulation at small volumes and maintain currency stability.

Finally, the reward for introducing the app will be 14.4 billion coins.

Introducing 30 million members with increasing number of new users. A way to bring a coin to every schoolyard / university / workplace and community.

General proposal

The maximum reserve is 36 billion coins.


Participants helping to share Airdrop will require 3.6 billion coins.

A simple social platform for one-click sharing. Share a social message containing an introduction to encrypted video and a download link for a program that will allow your friends to download it. The platform is currently active and well functioning.


The best innovation is commission-free transactions. You can send bitcoin black to anyone for free. Transactions are instant and you can send money as easily as sending a message.

Wallets are easily accessible and very easy to use.


Black bitcoin has a fairly massively distributed currency with a widespread supply that will create less volatility through synchronized pumps and dumps and lead to a more stable price. Black Bitcoin will be the next bitcoin. You can sign up for airdrop by clicking here. I wish someone else in 2008 included me in Bitcoin airdrop. Bitcoin Black will change lives and we want to talk about it as much as possible.

Bitcoin risks

Bitcoin risks that investors should be aware of

The only risk is bitcoin volatility

Everyone knows how unstable bitcoin is, and those who invest in it will see that the value of this cryptocurrency fluctuates quite sharply. If you can’t handle the rise and fall of bitcoin, then investing in bitcoin is not for you. There is little you can gain if losing your capital will cause you to lose sleep. I can’t stress the importance of using your discretionary spending money to play in the cryptocurrency market.

What are discretionary costs?

This is money spent on travel, food, entertainment, hobbies and sports.

You will never spend money on rent or money that has been set aside for your retirement on entertainment such as a day of racing, so you should also not use that money to play in the cryptocurrency market.

Risk two – Hacking

A company called Cryptopia, which was a platform for online bitcoin trading, contained funds invested in bitcoin. It was hacked, and everyone who had bitcoin invested in cryptocurrency lost their money. There have been some sad stories about the large amount of money lost by some individuals.

Again, you should never play cryptocurrency on funds you can’t afford to lose, or put too many eggs in one basket, as many of these investors seem to have done.

Another thing I should add is that the actual amount of money lost by crypto investors is likely to be greatly inflated due to rising bitcoin prices. If someone invested $ 1,000 in bitcoin, and in a few years it grew to $ 10,000, just to make him lose the lot. It will be recorded that this man lost 10 thousand, but in fact he lost only 1 thousand.

Risk Three-Lost Passwords

The Australian has a blocked bitcoin wallet because he can’t even remember his password. The website where he has bitcoin will forever lock him out of his wallet if he makes ten unsuccessful attempts to log in. He made eight. He has more than 300,000 bitcoin wallets.

The lesson is to write down your password and keep it locked in a safe place.

Another tip is to diversify your portfolio so that if something goes wrong, you don’t lose too much in one go.

Risk four government controls

Governments have the ability to ban cryptocurrencies; China has done just that. Several agencies in China have joined forces to ban what they describe as “illegal” cryptocurrency activities. This does not mean that other countries will follow suit, but it simply illustrates that governments do have the right to do so.

Risk five – taxation

Two things in life are certain, death and taxes. You can be sure that at some point the tax will want a piece of your bitcoin pie. Be it in the form of a capital gains tax or an increase in the value of bitcoin. Keep in mind that if you are subject to capital gains tax on your bitcoin, you will be able to claim a tax refund on any capital losses. Here you will be able to advise a good accountant.

Regardless of the form of capital growth in which you invest, you must always remember that if there is a possibility of capital growth, there is a possibility of capital loss. Investing in cryptocurrency is risky, so it should not be emphasized that the money you invest in bitcoin should be money that you can afford to lose.

This is how Bitcoin works in the world of cryptocurrency

If you don’t know, bitcoin is a type of decentralized cryptocurrency network. In this process, transactions are based on a 16-character encrypted address. Simply put, it’s like your social security number. As for security, only you can transfer funds, because you have an address that includes a two-factor check. In fact, bitcoin consists of a network of several independent computers that are responsible for generating, distributing and verifying money transactions. Let’s find out more.

How do you acquire Bitcoin?

If you want to purchase bitcoin, make sure you have installed the wallet app on your computer. With this app you can send and receive as many bitcoins as you want.

To purchase bitcoin, you need to deposit funds into your web wallet, which acts as a bridge between sellers and buyers.

Once the exchange has accepted your currency, your next step is to place an order, which is similar to buying stocks.

How does Bitcoin work?

In essence, Bitcoin is an international decentralized peer-to-peer network. The following is a description of how Bitcoin works.

1. First of all, mines create bitcoin using computers to solve mathematical functions. And then comes the process that checks the transactions.

2. The next step is to use traditional currencies to exchange bitcoins. In fact, it works as a gateway to the world of cryptocurrency, especially for non-miners. You could say it’s like buying stocks through a trading app.

3. Whether you are an individual or a businessman, you can create wallets to send or receive bitcoins. If you have used a PayPal account, you can easily use this type of wallet as well. The good thing about cryptocurrency is that it is based on a secure network. In addition, it makes all transactions completely secure.

Is it possible to mine bitcoin at home?

If you are interested in mining Bitcoin at home, the description below can help you get started.

Cryptocurrency mining

Cryptocurrency mining is an approach that involves confirming cryptocurrency transactions and making entries in a blockchain book. If you want to authorize or retrieve cryptocurrency transactions, you will have to compete with many other minors by making complex calculations. This type of processing requires a lot of processing power.

Once the transaction is done, the system rewards you with bitcoins or any currency you extract.

Can you use your laptop to mine bitcoins?

The good news is that you can use your laptop to mine Bitcoin. However, the million dollar question is: can it make you enough money? Short answer: no. While you can mine with a laptop, you won’t earn more than a penny that isn’t worth it.

In other words, you need an extremely powerful computer with multiple video cards to enjoy the highest mining speeds.

So, if you are interested in mining or investing in bitcoin, you can follow the advice given in this article.

A step-by-step guide to Bitcoin mining for beginners

Bitcoin mining is the act of checking the transactions that take place on each blockchain. This authenticates each transaction and then shares the transaction publicly on a peer-2 network for all to see. Bitcoin miners are the people who are responsible for checking and validating each transaction before it is added to the block to create a blockchain. Once Miner places the next block on the blockchain, he / she can qualify for a reward, which is usually in the form of bitcoins. The more mathematical calculations you solve, the greater the reward.

You don’t need to be a professional software developer or coder to get involved in bitcoin mining. Below is a simple step-by-step guide for a beginner on Bitcoin mining.

Get Bitcoin mining equipment

Bitcoin mining equipment

The world of mining is becoming more and more complex as mining uses higher computing power. The higher the level of mining, the harder it is to make a profit, as investment in equipment is very large. Bitcoin mining is very competitive and you need to do adequate research before investing in equipment. Previously, you could use your personal processor to mine bitcoins, but due to the complexity of mining, this method is more unviable. You need to buy a specially built computer, the main purpose of which – the extraction of bitcoins.

Buy a Bitcoin wallet

Bitcoin wallet

You should have a wallet that is a local or online resource for storing your digital currency. The wallet comes with a public wallet address and private key or password, which are the most important details to note. If your wallet is self-contained, you will need a copy of the wallat.dat file so that you do not lose your investment. It acts as a backup wallet if something unfortunate happens to your car. You can even get wallets for your mobile devices. A highly recommended wallet is a wallet with your own host or a locally made wallet.

Find a pool to join

Mining pool

It is recommended to join the mining pool or choose single mining. The Mining Pool is a group of miners who come together to share resources and share rewards. The pool guarantees you a faster return if you combine computing power to achieve greater results. Each pool has its own rules, method of rewarding and mining fees. You need to find the one that best suits your needs. Mining itself is challenging and you will never get a return on investment.

Get mining software for your computer

Mining pool

There are different free mining programs depending on the equipment you use. The mining program helps to monitor and control your equipment. Some common mining programs are CGminer, BFGminer and EasyMiner. If you are in a pool, it is advisable to consult with them when connecting your pool to your program. Programs run on the command line and may require a batch file to run properly.


After all this you are ready to go. Run the mining program and start by entering the username and password of your pool. You will notice that your machine slows down when the miner is running.

It is important to monitor the temperature closely as the software causes your equipment to heat up. Some programs, such as SpeedFan, can keep the temperature under control. You don’t want to risk literally undermining your investment even before you start working. After a while you should check how much you earn to see if your investment is worth it.

Let security feel more secure

In any case, first of all – cryptocurrencies that can be exchanged between people or associations that recognize them. Cryptographic types of cash are not a particularly relevant concept – they have existed since the 1980s, and since today, there have been several.

One of the most troubling problems with previous cryptographic types of cash was the “double cost” problem. It follows that a person would spend a unit of money, it was possible to manage systems to such an extent that when introduced he had the opportunity to keep this unit with him, allowing him to spend that money again.

Bitcoin solved this problem through a fragmented structure called Blockchain. Since there is no central region that would be governed by a specific country or authority, the blockchain thinker Bitcoin is incredibly busy to hack, and to some extent excessive.

To combat all these security issues, unlike the cryptocurrency exchange Cryptobulls Exchange, which is the best stage for trading, offers you a wide range of digital currencies that have created a powerful security structure to counter errors and culprits in the smooth operation of exchanges. Your security is paramount and this is their main policy they are working on.

At Cryptobulls, they run security, so you don’t need to do that because they go along with industry rules and regulations.

Your phone will be confirmed, if you join us, we will send you an SMS, if you click the connection, each of your points of interest will enter the security system.

Not only that, we give a 2-factor check to give unauthorized access.

Just use your mobile phone to get a one-time login password. In case you are facing any problems, they are available all day, every day. You can contact them and their team will help you solve your every problem.

Various exchanges and online wallets have already experienced security breaches, and such organizations tend to still not provide enough insurance and security to be able to use them to store cash like a bank.

Either way, with such a well-defined stage you will get different types of Bitcoin wallets to create highly pegged exchanges. What’s more, you will receive a two-factor confirmation.

So that you sit down to start exchanging with Cryptobulls Exchange and feel safe like never before.

Smart bitcoin strategies for hoarding gold bars

I heard about bitcoin a couple of years ago in 2013 and never expected it to grow into the strong cryptocurrency we have today. At the time of writing, it is trading at a price higher than gold. This has opened up a lot of opportunities for me as I am already in the market to accumulate this digital currency and gold bars on a daily basis.

With experience, I gained knowledge and developed techniques for using this cryptocurrency and building a circle of wealth on a continuous basis of gold acquisition using its power.

The following points are the methods I use to accumulate bitcoins and gold bars.

  • Find a company that sells gold bars

  • Open a bitcoin wallet online

  • Start mining bitcoin online or offline

  • Buy gold bars for bitcoin

The above are the basic steps to perform this process, and certain techniques are required for it to succeed. In my opinion, this is the best bitcoin strategy for accumulating gold and delivering it to the threshold every month.

Find a company that sells gold bars

There are many online companies that sell gold bars online, but very few offer incentive programs once you become their customer. You need to look for a company that offers much more than just selling gold bars. This company should offer quality products, such as selling gold bars of small sizes 1 gram, 2.5 gram and 5 gram. The gold itself should be 24 carat gold, which is the highest quality you will get. Incentive programs should allow you to receive commissions once you refer people to the company.

Open a bitcoin wallet online

You will need a place to store bitcoins as soon as you are ready to start working in the cryptocurrency market. There are many online bitcoin wallets available to the public for free. Look for a company that offers a bitcoin wallet and standalone storage to protect it. There are many hackers trying to sneak into the wallets of internet users and steal all their bitcoin. If you store your bitcoin offline, you will never fall victim to internet hackers.

Start mining bitcoin online or offline

There are two main ways to get bitcoin. Mine bitcoin online or offline. Mining bitcoin online is very easy and much easier than offline methods. I personally use both methods to test the profitability of each. Joining an online bitcoin farm will be a great way to get started.

You also have to be very careful with this option because there are thousands of scammers who claim to have a bitcoin farm but don’t actually do so. These guys create Ponzi schemes and steal from you only as much as they can. There are also reliable and real companies that run bitcoin farms every day, which I personally use.

You can also mine bitcoin offline by purchasing a bitcoin miner, which is computer hardware that you install at home. This equipment then connects to the Internet and starts mining bitcoin. This bitcoin will then be automatically sent to your online wallet.

Buy gold bars for bitcoin

Now that you have bitcoin coming in every day, there are very specific ways you need to follow to buy gold bars at your chosen company. You need to tie your bitcoin wallet to your Visa card. This card should also be offered from your bitcoin wallet company of your choice. Use this card to buy gold bars at any time if your online wallet has enough bitcoins.

The above are the very basic steps I use to make this process a success, and I’ve never looked back since I started doing it.