Bitcoin is one of the cryptocurrency which is basically a digital currency.

This form of currency and its storage is digital. The inventor of the Bitcoin for the first time is a group (not yet known for sure – red) programmers who use the name Satoshi Nakamoto.

Bitcoin can be used to purchase various services such as games up to the hosting website. For now, the number of services that accept Bitcoin is still quite limited.

Then why people are crazy about Bitcoin? Because most of them use to invest and get rich.

From time to time the price of the Bitcoin continues to rise and reached its peak at the end of the year 2017.

The price of the Bitcoin 2012-2017

If you buy ten Bitcoin is priced at $6 (about Rp80 thousand) per coin in January 2012 and you save up to now then ten coins you worth Rp 2.5 billion (exchange rate December 2017)

If you are interested in the Bitcoin however do not understand true then you came to the right place, as we will discuss various questions surrounding the Bitcoin frequently asked questions.

How does Bitcoin?
Bitcoin is basically a digital journal that records of who has how much does Bitcoin. The Bank generally also has a journal like this for A customer has noted how much money. What distinguishes this digital journal is Bitcoin is not stored in a particular party or agency.

In this digital, Journal of Bitcoin is stored on each person, or anyone who would like to have and to help process transactions (called maintainers). So when a digital journal is damaged and you have a backup of the entire other users. There is no single party in control of the journal, all of them participate.

But because everyone can have this digital journals so they can know the numbers and any transactions that occur. So let's say you want to be today's maintainers, then you can ask the journal entry to the network and download them, you can then see the contents.

However you cannot find out who the owner because the data is stored is Bitcoin address (imagine account number), without a name, address or other personal information.

When Andi sends Susi 1 Bitcoin (BTC), then an instruction will be sent to the entire network which holds a copy of this journal. The instructions are to move 1 BTC from Andi (reduce) to Susi (add). After this instruction runs then the whole journal in the network will get the update.

Bitcoin Ledger
The illustration shipping Bitcoin

To prevent counterfeiting instructions then the network requires proof that an instruction to move 1 BTC comes from the owner of the original Andi. It is the duty of the private key that only belong to Andi. Through the process of electronic computing, the network can verify and prove that the transaction was indeed Andi that send instructions.

Unlike the signature on the cheque that can be faked continuously, it will generate a private key signature varies each counterparty. The next transaction will generate the signature (the marker that this is the original owner) is different.

What are the advantages of conventional currency rather than Bitcoin?
Using bitcoin system decentralization. There is no single governing parties (such as banks) because of all the people participating in the process. This means neither side can decide on a party or create new policies that are aggravating the owner of this currency. For example a Bitcoin address can not be frozen by a party.
Purchase easy. Nothing like a banks need the steps and documents, you can have a Bitcoin in just 5 minutes.
Confidentiality is maintained. This may not be entirely true, anyway there is no perfect system. Can someone make a Bitcoin Address without providing a name or address. Imagine, you can create an account without a name or address, and promptly got an active account number.
Transparent. The unique thing is at the same time, everyone can see it and have a record of the journal. There will be a Bitcoin address information and at what amount. But there will be no information as to who the owner of the Bitcoin address. This example transaction Bitcoin received by Wikileaks
Bitcoin delivery very fast, and without conditions or limits on transfers.
Bitcoin transfer fees also very-very small, and has no administrative costs.
What can you do with Bitcoin?
First, you can use it to make payments on a variety of merchant, or transfer to fellow users. But lately, a lot of services like Steam gaming platform that used to receive payments with Bitcoin, but then