Things you probably didn't know about Bitcoin


16th Feb 2021 Technology

Things you probably didn't know about Bitcoin

Maybe you have heard about Bitcoin. You most likely know it is a cryptocurrency. But, there are things you've not heard about it. This article focuses on such things.

Bitcoin is one of the significant cryptocurrencies. People across the globe use it for investment and trading.

Despite having been around for a while, some people still don't know much about it. That's why sites like this reference try to shed more light on the Bitcoin topic by addressing some of the most common questions that people have about it.

But even with such information being available online, you may also want to learn more about this cryptocurrency. Here are some of the things you might not know about Bitcoin.

Bitcoin is not really anonymous

Bitcoin is not entirely anonymous. Government agencies and hackers can track every Bitcoin transaction if they want to. So, if a person can connect nodes to the Bitcoin network, it means the collected data can trace a transaction's origin.

Different rules apply to Bitcoin

Bitcoin is typically not controlled by any government. And this is one of the reasons why it is gaining increasing popularity. However, different countries have varying rules that apply to this cryptocurrency. For instance, this cryptocurrency is not considered a legal currency in some countries. What's more, some governments discourage people from using Bitcoin.

For instance, Japan and Australia treat Bitcoin like fiat currencies. Lebanon and Jordan have openly said they do not support Bitcoin usage. But, this doesn't prevent the citizens of these countries from trading or investing in Bitcoin.

Bitcoin supply is limited

At the time of its introduction, Bitcoin had a limited supply of 21 million. Currently, there are more than 16 million coins in circulation. However, people are still mining more Bitcoins.

Bitcoin is not the only digital currency

Bitcoin is the most popular cryptocurrency so far. It's also the digital currency that is covered the most by the media. But, it is not the only cryptocurrency available. For instance, Ether is also a well-known cryptocurrency. It also has a limited supply, just like that of Bitcoin.

However, this cryptocurrency exists in the Ethereum network. And this is not the case for Bitcoin. But, people use Ether for investing and gambling than daily purchases.

Bitcoin is popular than most people know

Bitcoin value is always increasing. Its price makes more people opt to invest in it instead of other assets. And, people are using different platforms and methods to invest in this cryptocurrency. Some governments are also venturing into the Bitcoin world. China tried to crack down on citizens that are purchasing and selling this cryptocurrency.

Some people call Bitcoin the new gold. The push by a country to mine this cryptocurrency can, therefore, compare to Gold Rush.

Bitcoin creator is unknown

Conspiracy theories surround Bitcoin creation. However, people are yet to reach a feasible conclusion. Many people think Bitcoin creator is a Japanese by the name Satoshi Nakamoto. That's because this entity published the article that explained Bitcoin before the time people started mining it.

Some people say that NSA created and runs Bitcoin. Others say that Nick Szabo, an American cryptographer and computer scientist invented it. However, these are just speculations because the real creator of Bitcoin is unknown.

The bottom line

Bitcoin is a popular digital currency that is attracting attention from different people and organizations across the globe. But, its world is complicated. Most people are yet to understand Bitcoin, its origin, and how it operates. Nevertheless, these are facts that you probably didn't know about Bitcoin. And, they have probably cleared some of the aspects you didn't know about this cryptocurrency.

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