Bitcoin is like a public ledger, which you can access anytime and checkout the tractions or coins as it is termed so that you which transactions have taken place. Since there is access to everyone to have a look into the ledger, there are always questions arising on security issues, but the block chain concept developed will help keep the same page as what transactions are made and not get affected by the hacking of one or more computers.
When a person wants to acquire bitcoins first he/she has to share their computer to the network by downloading the software from official website. Later the user has to setup a secured digital wallet to receive, store or spend the bitcoins, as the private keys required to access the bitcoins for transactions are stored in digital wallet only. The bitcoins can be bought by general users form bitcoin brokers using a credit or debit card. But these bitcoins are generated through a process called mining. In this process miners play a key role as they would always protect the network from collapsing and takes care of the transactions. To understand the concept of mining one must know about blockchain. A blockchain is an immutable public ledger where the transactions are updated continuously with regular time intervals. All the bitcoin transactions are recorded in the blockchain in a linear, time stamped series of bundled transactions called as blocks. In mining process the miner earns bitcoin gold for solving the transactions and maintain the block chain.
A Few Pointers to keep in mind
- Liquidity: It plays a major role in transactions or payment systems in terms of estimation, number of US dollar per year and in terms of logarithmic scale perspectives due the huge number of individuals are increasing importantly from the year 2013 and also with the use of crypto currency wallets
Wallets: It provides a desired means of storage capacity levels of all the credentials of ongoing or processed transactions will be saved on the respective user’s hardware accounts only. It even more these wallets are helpful in tracking out all the consumers’ addresses in a private and a public means of addresses. It is quite beneficial in using its essence of requirement in dealings with a number of people reluctantly in order to manage multiple numbers of user’s accounts that are somewhat complicated added by. It is quite advantageous and is convenient one to store all the credentials or personal information of the desired users compared similarly like a real wallet.
Existence of wallets in holding bit coins:
Initially software wallets; it eventually connects to the internet and correspondingly allows the means of holding all the bit coins along with the identity of the owner will also be assigned for further checking point of view by their corresponding clients.