This is my first article, so hopefully it will be approved, I’m going to share some points bitcoin and blockchain.
For those of you who don’t know what Bitcoin let me put it this way Bitcoin it is a currency that cannot be controlled by any bank or government, it is basically a virtual currency and can be purchased online for real money. So apart from decentralized currency, what are its benefits, you can transfer bitcoin anywhere in the world with no special fees, you can be 100% anonymous during your transactions thanks to a technology called blockchain.So what’s the big deal here, you might ask? Let me tell you, when it launched, it had absolutely no value, but now 1 bitcoin = $6689.35, which is quite an impressive growth, isn’t it?
So as it grows, you might ask, well, let me tell you how to maintain a blockchain, there has to be something called a ledger where all transactions have to be noted, and to become a block in the blockchain, a hashing function has to be solved and mining bitcoins by solving hashes is called bitcoin mining.
To solve the hashing function, people usually used video cards, but as time went by, Bitcoin mining became more and more complex, and special equipment called ASIC miner was introduced.
So people who spend their time and money mining bitcoins will be rewarded in bitcoins and as more and more people become part of this blockchain, its value will increase.
so how can i earn money bitcoin, there are two ways
1.you can trade bitcoins/altcoins (any cryptocurrency other than bitcoin is called an altcoin, yes there are thousands of them)
2.you can extract them yourself
Both of these methods have their advantages and disadvantages because no one controls bitcoin, it is very unreliable, one day it can be worth $10,000 and the next day it can drop to $100. Trading essentially means buying bitcoin with real money and praying for its value to go up, and selling when it does. This approach is very risky and you may lose money instead of making profit.
Or you can choose bitcoin mining, but here’s what you should consider: mining equipment is very expensive, and mining requires a lot of electricity, and the difficulty of mining is getting higher every day, so you won’t be able to make a profit without a high initial investment .
That said, Bitcoin trading and mining are two good ways to make money if you know what you’re doing.