What is Bitcoin?

Bitcoin is a digital asset and a payment system invented by Satoshi Nakamoto. Transactions are verified by network nodes through cryptography and recorded in a public dispersed ledger called a blockchain. Bitcoin is unique in that there are a finite number of them: 21 million.

Bitcoins are created as a reward for a process known as mining. They can be exchanged for other currencies, products, and services. As of February 2015, over 100,000 merchants and vendors accepted bitcoin as payment.

How does Bitcoin work?

Bitcoin is decentralized. No single institution controls the bitcoin network. It is maintained by a group of volunteer coders, and run by an open network of dedicated computers spread around the world.

Bitcoins are transferred between users through bitcoin addresses, which are randomly generated strings of 27-34 letters and numbers.

Bitcoin transactions are verified by network nodes through cryptography and recorded in a public dispersed ledger called a blockchain.

What are Bitcoin's characteristics?

Bitcoin is a digital asset and a payment system invented by Satoshi Nakamoto.

Bitcoins are created as a reward for a process known as mining.

Bitcoins can be exchanged for other currencies, products, and services.

As of February 2015, over 100,000 merchants and vendors accepted bitcoin as payment.

Bitcoin transactions are verified by network nodes through cryptography and recorded in a public dispersed ledger called a blockchain.

Bitcoin is unique in that there are a finite number of them: 21 million.

What is Bitcoin mining?

Bitcoin mining is the process of verifying and recording bitcoin transactions in the blockchain.

Miners are rewarded with bitcoins for verifying and recording transactions.

What are Bitcoin addresses?

Bitcoin addresses are randomly generated strings of 27-34 letters and numbers.

They are used to transfer bitcoins between users.

What is a blockchain?

A blockchain is a public dispersed ledger that records bitcoin transactions.

What is Bitcoin's value?

As of February 2015, one bitcoin was worth $240.