Introduced in 2009, Bitcoin was the first cryptocurrency and is today a widely accepted payment method at online casinos and bookmakers. Bitcoin is a virtual or otherwise referred to as digital currency which first began to appear just over a decade ago in 2008. It has no physical presence in that there are no notes or coins which can be used in real-life transactions or withdrawn from a cash point and stored in wallets or purses.
Bitcoin first started designing and producing in 2008 as a Cryptocurrency company going by the name of Satoshi Nakamoto. After working on it for almost a year in 2009 the company was established and opened its doors to the world.
Bitcoin works as a digital currency so no central bank is needed, this company have designed it, so you can send it to and from each other on the peer to peer bitcoin network. This is then done and verified through network nodes.
All Bitcoin processes and transactions would need to be dealt with, actioned and completed online due to the fact as mentioned above it has no physical presence and only exists virtually. Bitcoin processes are done via secure network nodes and cryptology, transactions are recorded in a publicly accessible record or ledger, this is to ensure the process is accurate and correct and also for security and anti-money laundering purposes, this is known and referred to as a blockchain.
Dealings and transactions involving Bitcoin which improve or decrease the Bitcoin wallet financial value are known as mining, these processes at first were initially criticised due to the appeal on anonymity and fraudulent or even criminal behaviour and also theft, although over the years these feeling and attitudes have dropped off due to the number of genuine users and the soar it Bitcoins popularity. These would all be stored on the previously mentioned ledger
Bitcoin virtual wallets, slightly similar to the e-wallets we see such as PayPal or Neteller are required for anyone wishing to make use of or try their luck with Bitcoin. They would be linked to the personalised users chosen email address and protected by a private key, a bit like a PIN, linked to the Bitcoin address.
As Bitcoin transactions take place via a cryptocurrency exchange it is time-consuming and also somewhat impractical to apply the use of Bitcoin to real-life or retail settings. The problems encountered would include, for example, Delays by the blockchain where processes are made and checked, the inability to provide direct pricing in Bitcoin value and there would also be the need for the retailer to have to make use of a third party to perform the conversions to the users’ specific countries currency, which would incur the additional and realistically unnecessary financial cost or charges
Bitcoin has shown a sharp rise in use, trust and popularity since its launch, it is even the subject of a book written by Charles Stross named ‘Neptune’s Blood’ which was released in 2013. Also, it has gone on to be the basis of a film documentary shown originally in 2014 simply named ‘The Rise and Rise of Bitcoin.
Credit: Written by Jon M.