What is Bitcoin?

what is bitcoin

What is Bitcoin?

Bitcoin (BTC for short) is a type of currency.

Just like Dollars, Pounds, Euros and Yen, we now have Bitcoin.

Bitcoin is not a physical currency that you can carry in your pocket or count in your hand. It is a digital currency. It exists only in computers.

Bitcoin is a type of cryptocurrency. There are many other type of digital currencies – all called cryptocurrencies. Bitcoin is currently the most popular and most valuable of the cryptocurrencies.

So you could buy Bitcoin using your Dollars from your bank account and then make a transaction where you paid in Bitcoin – so long as the seller takes payment in Bitcoin.

To use Bitcoin go to a site like Cex.io or CoinMama. Here you can buy Bitcoin  using your Debit card or Credit card and keep it in your online ‘wallet’. There are other sites that provide this service. Here are some good links:  CoinMama and Cex.io


You can use you debit card or credit card to buy Bitcoin.

Today, one Bitcoin will cost you around $1800. Or you can buy less. For example, spend $180 and purchase 0.1BTC

The Bitcoin is kept in your CoinMama or Cex.io ‘wallet’.

To make a payment, the seller of the item you want to buy will provide you with a code. Copy this code and log into your Bitcoin wallet where you can transfer the required Bitcoin amount using the code.

To receive Bitcoin, your wallet will issue you with a unique code which you can pass on to anybody who wants to pay you Bitcoin.

Two advantages to Bitcoin transactions are:

  1. It is fast (takes seconds for a transaction to complete and not days) and
  2. There are no payment processor fees or bank charges to consider.

An important disadvantage is that there is no facility for a refund when conducting a Bitcoin transaction.

A single Bitcoin used to cost less than a dollar each. At the time of writing, one bitcoin is now worth around $1700 to $1800. With such a rapid rise in value, you can see why Bitcoin ownership is highly desirable.

What is Bitcoin?

Do you have Bitcoin?

Have you conducted transactions in Bitcoin?

Are you a Bitcoin investor or Trader?

Comment in the box below.


Published by

Ugo Okonkwo

How to get money online - The strategies and techniques that I am using to make money online everyday.

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