What is bitcoin

Advantages and disadvantages of  bit coin

Gold has the characteristics expected of good currency, which stops circulating because people prefer to get rid before others that do not trust. What is bitcoin in addition to the monetary qualities of gold, adds other related to its nature: it cannot be confiscated (unless they access your passwords ), admits anonymity and can be transferred electronically. Its electronic nature brings advantages and disadvantages that we will see below.

Advantages of bit coin

Global : it does not belong to any state or government and can be used all over the world, regardless of geographical and political barriers

Emission limit

The decreasing and predictable increase of the monetary mass, allows you to improve the purchasing power of users.

Divisible currency:

 Currently it can be used up to 8 decimals although there is no limit so in the future more decimals could be used.

Transactions in real time

In less than one hour the transaction can be made.

Irreversibility of transactions

There is not a third party in between that can reverse a transaction. In any case, there are services that guard the bit coins until the party that receives them has fulfilled its part of the agreement.

Impossible to falsify

As it is defined, it is not possible to build a false bitcoin or to make a double expense without the network detecting it.

Anonymity

Nobody is obliged to reveal their identity, which makes bitcoin especially useful for use in countries where totalitarian regimes rule.

Cheap :  bit coin has lower transaction costs than the use of credit cards, transfers or Paypal. Making a payment with  bit coin eliminates unwanted intermediaries.

What is bitcoin

Sure :  bit coin has a strong cryptographic support that protects it from fakes and can be stored in multiple locations simultaneously. The technology on which the bit coin protocol is based is several times more secure than that used by banks and credit cards.

Transparency

All transactions are recorded in an open access register.

Micropayments : given its divisibility and low transaction costs, it is an ideal currency for micropayments.

It works 24 hours a day : for operations in bit coins there are no schedules or holidays.

It accumulates in a tiny space : a huge fortune could be saved in a USB memory, which can be saved or moved without relying on third parties.