Bitcoin is a new
currency that was created in 2009 by an unknown person using the alias Satoshi
Nakamoto. Transactions are made with no middle men – meaning, no banks! There
are no transaction fees and no need to give your real name.
Bitcoin is a form of digital currency, created and held electronically.
No one controls it. Bitcoins aren’t printed, like dollars or euros – they’re
produced by people, and increasingly businesses, running computers all around
the world, using software that solves mathematical problems.
It’s the first example of a growing category of money known as
cryptocurrency.
Why
Bitcoins?
Bitcoins can be used to buy merchandise
anonymously. In addition, international payments are easy and cheap because bitcoins
are not tied to any country or subject to regulation. Small businesses may like
them because there are no credit card fees. Some people just buy bitcoins as an
investment, hoping that they’ll go up in value.
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