Bitcoin - a review (Part 1)

Bitcoin is a digital currency and is a peer-to-peer payment network that is based on the free source and uses the public logistics deal. No person or any bank has any authority to earn or make a bitcoin. This is completely free, which we can make ourselves with our own computer too.

Bitcoin currency can be compared to other traditional currencies such as dollars and euros, and there is a difference between these two types of currencies.

The most important difference is that bitcoin is a completely a digital currency that is limited to the Internet only, but it does not have any external physical existence. Similarly, behind this currency, there is no powerful central institution such as the central bank nor any government has declared it as a valid currency, therefore the United States Finance Ministry declared it as a decentralized currency, because a person can directly transfer the money to another person and no bank or government institution is involved. However, on Internet, bitcoin can be used like other traditional currencies.

Bitcoin was started in 2009 by Satoshi Nakamoto. It is called cryptocurrency because it is based on the principles of public cryptography.
This currency works on the base of mathematical logarithmic rule, for which a processor of the computer is used while the computer is connected with the Internet. The computer that has as powerful as the processor, so quickly it makes bitcoin by solving the question of logarithm.
Bitcoin is also remained as a special issue of research and spy, because it is particularly difficult to detect its owners and users because of its cryptography nature. That's why, it can also be used illegally.

In 2013, Silk Road website; which was involved in illegal activities, was closed by the US FBI, and 144,000 bitcoins were frozen; at the time it was worth $28.5 million while the U.S. government keeps more relaxation than other governments in the case of bitcoins. China has a ban on sale of yuan with bitcoin and it is not permitted to keep a bank account for the exchange of bitcoins.