Internet banking is an integral part of the modern financial system. It provides an opportunity to open an account in any bank, quickly transfer the necessary amount, save time and money as much as possible, and also transfer money to make payments in online stores. At the same time, Internet banking has major shortcomings that are difficult to fix:
- bank software vulnerability and risk of hacking;
- cash delay and the risk of charging late fees;
- the possibility of bankruptcy and complete loss of finances;
- susceptibility to hacker attacks.
The emergence of cryptocurrency on a global scale in 2009 was a real revolution in the field of high technologies, as there was an opportunity with almost 100% probability of ensuring the security of large transfers, creating business partnerships around the world to increase supplies and develop business. Bitcoin has become the most popular cryptocurrency to get a quick take off.
What is bitcoin and how does it work?
Bitcoin is a completely decentralized digital currency, which has free circulation only on the Internet, and its principle of operation is based on cryptography methods, as well as the calculation of unique mathematical algorithms. The unknown Bitcoin programmer Satoshi Nakamoto, or a group of gifted mathematicians who have successfully developed a completely new payment currency thanks to which you can avoid fear of the impact of government regulation methods, inflation or uncontrolled emission, became the creator and developer of Bitcoin.
The principle of operation of Bitcoin is simple – the funds are transferred instant, irrevocable, as well as completely transparent transactions through several generated blocks that can not be faked. This allows you to track their direction, to maximize confidence between business partners who are unfamiliar with each other, eliminating the risk of fraud. The number of bitcoins, of course, is 21 million.
How Bitcoin differs from ordinary money
Bitcoin is a numerical mathematical combination or an electronic file, and thanks to the transactions made, users’ wallets are replenished with the amount of several Satoshi as a reward. The key differences from ordinary money are as follows:
- bitcoin is not the physical embodiment of money in a virtual network;
- cryptocurrency is available online and does not depend on the state monetary system;
- cryptocurrency is impossible to withdraw or freeze the account;
- the transaction code is fully open and available at any time of the day or night.
Getting your Bitcoin address
Bitcoin address is a unique identification number, after receiving which it will be possible to send and receive bitcoins. The address contains 27-34 characters, has letters and numbers, and a QR code can become a worthy replacement for it, thanks to which you can not enter a long code for a long time, saving your own time. One user can create an unlimited number of wallets, it is impossible to track his owner by this number. To get a bitcoin address, you will need to use an electronic bitcoin wallet and go to the settings section. If this does not help, you can go to the balance wallet tab and try to copy it from there.
Bitcoin address is used to perform various operations with cryptocurrency. It is just a set of numerous symbols that can be transferred absolutely and safely to another user without the risk of losing your own savings. Formally, an address on a blockchain is a 160-bit hash from a public key, which is transmitted to another user for carrying out transactions through another, private hash address.
To solve this combination is almost impossible, because the cost of its solution may require excessively large capacities.This address is unique, as well as the fingerprint in the process of identification. This address is unique, as well as the fingerprint in the process of identification. Unprecedented security measures allow you to transfer large sums of money and not be afraid of difficulties in the transfer.
Address on the exchange
To get the address of a cryptocurrency wallet on the exchange, you will need:
- pass the initial registration with all the required data;
- after identification, you will need to go through the balance tab;
- sеlect the cryptocurrency you are interested in and generate a unique code;
- you will need to provide it to the client for transferring funds or making payments;
- another affordable way to get the required address is to scan a unique QR code.
Address on a bitcoin client on a computer
Creating a wallet for storing bitcoins on a computer is a computer program that provides the necessary full protection, as well as wide functionality for all Bitcoin holders. The program is installed on the computer and is used for storage, the possibility of sending, as well as obtaining the required number of cryptocurrency. Bitcoin clients are divided into:
- online wallets;
- mobile wallets;
- hardware storage.
Clients are downloaded from official sites, files are unpacked and all its elements are further installed on your computer. Bitcoin client address can be found after installing the program in the settings section.
How to use bitcoins
As the popularity of cryptocurrency has grown, so has the area of their use. Just a few years ago, bitcoins were one of the important speculative tools, in gambling and when buying online goods, which had a dubious quality. Now the area of use of bitcoins has increased significantly.
They can successfully pay in online stores or other large commercial platforms, get a decent education, travel around the world or even get a formal job, where payment will be made using bitcoins. Cryptocurrencies successfully accept the world’s largest corporations, online hypermarkets, and the degree of popularity of the decentralized peering currency increases every day.
Cryptocurrency trading on the stock exchange
Cryptocurrency exchanges are convenient platforms for selling or buying digital cryptocurrencies for others or for destined fiat money – rubles, euros, dollars. Conventionally, they can be divided into exchanges, in which the exchange takes place only for other cryptocurrencies or the exchange takes place for real world leading currencies having a physical equivalent.
Trading in Bitcoins or its analogs can bring tangible profits, because its price has increased since 2013 at 5500% – this figure is fantastic for any stock exchange.High volatility allows you to get a good return, but also has great risks of losing money. Qualified trading on the cryptocurrency exchange is associated with accurate forecasting and analysis of current economic factors.
Cryptocurrency arbitration is a fairly profitable trading strategy that allows you to successfully play on the difference in virtual money rates on various cryptocurrency exchanges. If you want to make a serious profit by playing on courses, then arbitration will be an ideal opportunity for this. A number of important factors contribute to this:
- the cryptocurrency market has a serious potential, but is still in its infancy;
- the exchange rate in different places may differ significantly, since all cryptobirds are decentralized to each other;
- stock exchanges work on slow web technologies;
- the rise or fall of quotations is often due to errors of an imperfect system.
By investing money in cryptocurrency arbitrage on different exchanges, you will definitely make a profit – now this strategy is almost win-win, it is only important to correctly assess current risk factors.
Payments on the Internet and the purchase of goods, services, real estate
The undoubted advantages of cryptocurrency, which consists in the ability to safely run their own business, now provide an opportunity to buy goods or services, invest in real estate and travel. Among the major global companies that sell and buy, you can highlight Ebay and Amazon hypermarkets.
Also, a cryptocurrency payment service is provided by Appstore, Dell, Tesla, WordPress. Further spread of payment using cryptocurrency is hampered only by an unstable virtual money rate and the possible financial losses of those who decided to invest significant amounts in the business, but this is also very serious; or receive payment without delay, immediately upon sale.
How to get bitcoin
Bitcoin production is currently taking place at a much slower pace due to the fact that about 2/3 of the cryptocurrency has already been mined, but even now the opportunity to get rich quickly attracts people all over the world. You can list the main ways to get Bitcoin:
- purchase in the online exchanger BWR;
- the acquisition of bitcoins on the cryptocurrency exchange;
- the implementation of mining using super-power computers;
- bitcoin earnings in the network for various types of work.
Purchase in our exchanger
In our round-the-clock BWR service, you can buy popular cryptocurrency names – Bitcoin, Ethereum, Ripple, Ehmo, NEO NEO, Lightcoin, automatically around the clock, replenishing the account in cash in dollars, euros and rubles, or make a transfer from Sberbank. We also provide the opportunity to exchange cryptocurrency for real money in the shortest possible time with minimum commissions. Among our other advantages:
- round-the-clock technical support;
- large reserve exchange machine;
- favorable rates;
- receipt of all funds in your e-wallet without time delays.
Purchase on the stock exchange
It is not easy to buy or sell a cryptocurrency, as it is often necessary to have strong theoretical knowledge and to follow a rather complicated algorithm that a beginner whose knowledge is at the initial level cannot learn! In general, the procedure is divided into the following steps:
- you need to go through a complicated registration;
- have money in your wallet;
- sеlect the cryptocurrency of interest;
- to redeem your application;
- get money.
Mining is the process of extracting bitcoins by performing complex mathematical tasks for the subsequent creation of blocks and chains, which will be used to transfer money. In 2010, almost anyone could get a bitcoin at his stationary computer, but now, when a significant number of bitcoins – 16 million – have already been mined, the solution of mathematical problems has become much more complicated, which gave rise to the emergence of powerful mining farms equipped with computers with several powerful video cards that are constantly engaged in the extraction of virtual money.
Already, many employers are ready to pay employees a salary in Bitcoins, transferring them to your virtual e-wallet account, which is quite attractive in terms of obtaining tangible profits. The most progressive countries in this regard were Japan, the USA, China, Germany, France. This method of obtaining cryptocurrency has important advantages:
- сoins immediately go into your e-wallet;
- no need to pay tax fees;
- you can get more profit with the growth of quotations.
A significant disadvantage of getting Bitcoins as a salary is a significant drop in quotations, it is necessary to exchange cryptocurrency for real money, and the rate may not always be profitable for you.
The future of Bitcoin and prospects
Cryptocurrency has no signs of financial “pyramid”, allows you to operate with significant amounts, is not subject to fraud and hacker attacks, instantly gets to anywhere in the world, suitable as a convenient means of payment and does not depend on the current economic situation.
Virtual money has a fantastic perspective for one or two decades to turn into the main settlement world money and “plug in the belt” the state as the main issuer. The dangers of cryptocurrency are the difficulty of forecasting a course, an attempt at state regulation in this area and the possibility of a complete ban on virtual money circulation, since the elite are not interested in receiving such a powerful competitor in the near future.