Bitcoins And The World Of Digital Currencies
Technology has not only made the world a global village nut it has also made work easier for most people. The world has moved from paper money to liquid money transferred electronically. This has facilitated the expansion of businesses globally as at a touch of a button, one can order for goods and pay for them from one end of the earth. Bitcoins, for example, have made buying and selling of goods easy.
Bitcoins are a form of digital currency developed in 2008 by Satoshi Nakamoto. They are developed using software that works using a mathematical formula. There are those people who feel skeptical about using the bitcoins for security reasons. It is important to note that the all transactions are recorded in a public ledger known as the block chain. Here, everybody can access the data and can tell the number of bitcoins that are in a particular account. However, as an account holder you are protected because one cannot tell the owner of the account.
Every bitcoin spent is recorded in the software. This means that you cannot double spend as every bitcoin is traced and when it is spent the systems makes a record of the transaction.
There was crime that started as there is no limit as to how you can use the account. This is what attracted the attention of regulators as there were cases of fraud and tax evasion. The government saw the bitcoin as a good place where a lot financial growth can come from, but still saw the need to protect the users from abuse.
For merchants, bitcoins are a good way to transact as it is cheaper than using other forms of payment services. This has attracted many merchants. Another reason that makes it attractive for merchants is that it is not the vendor, but the buyer who caters for the transaction fees meaning that they save money as vendors.
The software has influenced the growth even in other areas like the Satoshi Slot that is a based on the bitcoins theme. Even many casinos have taken bitcoins as a good form of doing business where a player can make his deposits using bitcoins and also redeem his profits using bitcoins.