Bitcoin (BTC) is a “Digital Currency or Cryptocurrency” which is based on open-source software. Coining in the name does not mean that it is really a coin. It’s a variety of digital or virtual tokens, which can be achieved by solving quite a complex algorithm. We can not see or touch it, it is only kept in digital mode i.e. in a digital wallet. This currency is traded on fixed computer networking only.
Bitcoin was invented by Satoshi Kamamoto, a programmer in January 2009. The purpose of making Bitcoin was not to change it as a currency but it was to prove that money transaction are also possible without any bank or third party because it is based on “Peer to Peer Network”.
How did the Bitcoin system work?
If we have to send money to another person, we will have to send it through the bank and the Reserve Bank of India and the Indian government control the currency of Rupee. But Bitcoin is a decentralized currency that no bank or government controls. There is no regulator for business in this. Despite this, people want to take advantage of this fast by trading.
Just as there is a bank account, there are Digital Bitcoin wallet for transactions and the way the bank account number is the same as Bitcoin’s 27 to 24 alphanumeric character’s Wallet address by which we send Bitcoin to any person or get it.
How to buy Bitcoin in India?
There are eleven trading platforms for buying and selling of Bitcoin in India in which famous names are Unocoin, Zebpay, Locbliutocoin and Bitcoin ATM.
Zebpay has made provision for immediate transfer by linking bank account through Android and iPhone app.
You first need to sign up and update your KYC information and documents such as PAN card.
After verification of the account, you can transfer money from your bank account to Zebpay’s account, which will show you in Zebpay’s Rupee Wallet.
This allows you to buy and sell Bitcoin and transfer your money back to your bank account.
Not necessarily you bought the entire unit of Bitcoin. You can buy Bitcoin in parts too. As the hundredth of rupees are called money, the ten millionth part of the Bitcoin is called Satoshi. You can invest a minimum of 1000 rupees in Bitcoin.
The numbers of total Bitcoin in the world are already certain that they are completely based on the internet and no agency controls this currency. Apart from this, the governments of most countries have not accepted this posture. Therefore, it can fall as fast as possible.
Use of Bitcoin
Most of its usage is used to send money from one country to another. Generally, it takes a lot of time to send money from any country to another country and banks charge fees up to 10%. Apart from this, there are many rules and regulations from different countries. But in one second you can send Bitcoin to any person sitting in any corner of the world and its fees are also minor. All transactions are encrypted so this is a safe way.
However, e-commerce companies like Flipkart, Amazon and MakeMyTrip run a voucher program for Bitcoin consumers, but Bitcoins do not accept. For this, exchange the convertible currency into general currency.
Apart from Bitcoin at this time, there is some cryptocurrency such as Litecoin (LTC), Ethereum (ETH), Ripple (XRP), Bitcoin Cash, Ethereum Classic in India which is quite popular among the people. Seeing the Bitcoin, the price of these currency has also gone up sharply, but nobody gets bitten by Bitcoin.