Around 2009 the new currency concept was introduced. The concept seemed rather blurred about the use of this currency but two years later, Bitcoin has emerged as an interesting trend. Created as a decentralized digital currency, more people and businesses start using Bitcoin. Even though the currency is still in the experimental stage of routine updates and often tweaking is done to fix it in all possible ways. Unlike other Bitcoin banking networks are not controlled by anyone. This network has a series of protocols protected by cryptography. This is a new payment system that does not have central authority other than cryptography (open source software that works with mathematical law) that handles creation and transactions, makes it impossible to deceive the system. Bitcoin shares public ledger (big book chain block) where each transaction is recorded making it a prominent three-triple bookkeeping system and transparent recorder. Using the peer to peer system and cryptographic key, transaction is processed between clients. Because the key cannot be described, this is a safer form of internet money rather than doing transactions with credit and debit cards.
Like every new trend appear, Bitcoin has advantages and disadvantages. But if the obstacles are removed, it might help the imaging of international financial returns. Bitcoin’s advantage is
Users have total control over money, they can send and receive a number of payments during the day. Because this transaction is not carried out by a bank or organization but between individuals it is easy to send files.
Transactions do not require money or very little money compared to other online money transfers that stick to a decent cost, the only service in Bitcoin is done by miners to facilitate the recording of transactions on the block and it is not too expensive.
This is the safest and can not be diversified cash transaction form where no personal information traded. Most people will choose this method because they eliminate the big hassles involved in other transactions.
Large markets and small businesses have accepted it widely because it helps transfer money faster and can be relied upon with very little administrative costs.
When other currencies are influenced by price fluctuations, the same thing cannot be said for Bitcoin.
Bitcoin losses are listed below even though they can be reversed. New rules and updates are constantly done by various trusted parties to help shape this.
There is no guarantee and no purchasing power provided.
Bitcoin prices are not stable, which can only occur when the number of users and businesses using Bitcoin increases.
The client program used as a wallet cannot guarantee or provide insurance in Bitcoin.
The currency is immature and get a better handle on the market.
The challenges faced by Bitcoin can be easily blocked. But the currency requires a stronger presence and a better guarantee of safety before it can be widely accepted by the public as the easiest form of online currency. The current concept is a successful online currency business which in the footsteps of the adventure has not been ratified and changed from the experimental currency. Even though Bitcoin’s future is nothing but speculation, it has a positive response from all users and maybe just the next big thing.