Bitcoin (BTC) is a kind of digital currency, with a total amount of 265,438+0 million, which has the same characteristics as the Internet, such as decentralization, globalization and anonymity. It means that transferring Bitcoin to the other side of the world is as simple as sending an email, with low cost and no restrictions, so Bitcoin is also used in cross-border trade, payment, remittance and other fields.

The fluidity and finiteness of bitcoin determine that bitcoin can be used as a monetary function equivalent to a universal equivalent or as a monetary measurement method, but this measurement method is not a physical measurement method like gold, but a digital product.

Related concepts:

1 address

The address of the bitcoin world is something like this:1envyexab3jekreirbufuhdexmyenc. The address itself is just a string of codes, just like your bank account number 32 1000003288372, which is used to mark an account. Everyone can have countless addresses. The address is public.

2. Bitcoin records

How much money is in the bank account is recorded by the bank.

How much money is deposited in the bitcoin address is recorded throughout the bitcoin network. Every complete bitcoin data will record how many bitcoins are stored in the address of1envyexab3jekreirbufuhdexmyenc.

Every node participating in the bitcoin network can save a complete bitcoin data, and everyone has a backup at hand to prevent fraud.

3. Key (private key)

The key is another string that you only know. This key is used to manipulate the currency in the bitcoin address. Keys and addresses are a key-lock relationship. There is only one password for each address, and each password also operates a bitcoin address.

With the key, you can control the money in the bitcoin address and pay anyone. Keys must be absolutely secure, lost or deleted keys can never be found back, and the money in the corresponding bitcoin address will never be used.

The key needs to be kept absolutely confidential, and anyone who knows the key can steal all your bitcoins.

4. wallet

The transaction process of bitcoin will involve many complicated calculations. In order to simplify the operation, everyone made wallets. Wallet has client software on computer and online web version. The function of the wallet is to pay lightly, and the complicated calculation behind it is left to the wallet to complete.

5. Safety

If you use computer client software, it is recommended to use MultiBit, and Bitcoin -QT is also acceptable. These two programs are officially recommended by the Bitcoin community. The installation of these two softwares must only be downloaded directly from official website, and the check code must be checked before and after downloading. This is done to prevent someone from tampering with wallet software and stealing keys.

6. Mining

About every 10 minute, some new bitcoins will appear in the bitcoin network, and you can imagine spending money all day. Whose pocket these scattered money fall into depends mainly on whose computer is fast. The faster you calculate, the more likely you are to find the money. Mining is to calculate the hard-earned money by computer.