What is Bitcoin And How Do You Collect it
What is Bitcoin and how can you collect it.. Bitcoin is a virtual currency that has a physical value, meaning that it does not exist and we cannot touch it.
Bitcoin is used in encrypted, illegal, and commercial transactions, and it is also used to provide money without a name, and the identity of the real owner remains unknown, and that is not subject to accountability.
Recently, many countries have also had to deal with Bitcoin.
In addition, these countries dealt with it officially, in a way that serves their interests in the market and between companies.
Bitcoins stands for the currencies used in the system, referred to as “BTC”.
An example of this is “100 BTC”, and moved around the internet.
But now its existence can be considered almost physical, due to the use of physical currencies that are in circulation and contain a number linked to the so-called Bitcoin.
Contents
1 The mechanism by which Bitcoin works
2 How to collect and use bitcoin
3 Create a bitcoin wallet
4 Bitcoin mining
5 fee card for bitcoin mining
6 Bitcoin and energy consumption
7 bitcoin mining pools
8 Bitcoin ATMs
9 gift cards
10 ways to save with bitcoin gift cards
The mechanism by which Bitcoin works
The mechanism by which the Bitcoin currency works is to hide the identity of the sender, and also the identity of the recipient is hidden.
The coins that are used in Bitcoin are kept in the Blockchain, which is a ledger managed by the user of the Bitcoin.
Some of the shortcomings that the currency suffers from is the inability to be regulated by central financial agencies.
This difficulty in regulation makes it difficult for countries to recognize them, and this causes them to rise and fall according to the supply and demand of users.
How do you collect and use bitcoin?
Create a bitcoin wallet
In the beginning, before buying bitcoins, you must create a wallet, in order to collect bitcoins.
A digital wallet are special codes and keys that we use to access your Bitcoin address, so that you can use it for other transactions.
It is necessary to note that we cannot access Bitcoin without the
code, and there are many types of wallets, which are as follows:
*. Computer wallet, and this wallet enables us to control the funds and their safety.
*. The wallet for the mobile, and through this wallet it is possible to pay and purchase any commodity, by scanning the QR code.
*. Internet wallet, and through this wallet the required keys are stored on the network by a server, but
*. The problem with it is that it can be breached, or the bitcoin in it can be seized by the operating company.
*. Hardware wallet This wallet is designed to store your bitcoin keys.
*. Paper wallet, this wallet consists of two QR codes, the first code is the public key which is the bitcoin address used for receiving, and the other is used to spend the saved coins.
Bitcoin mining
To do this process we need very powerful computers, because these devices will do a lot of mathematical operations that take years to solve.
In addition, the device must be able to work for days on end, without interruption to carry out these operations.
This process came to be called mining, because it is very similar to the time it takes to mine gold to extract it, and thus similar to the time it takes to extract Bitcoin.
We can also call mining the process of solving mathematical equations, using a giant computer, and those who work in the field of mining are rewarded with Bitcoin.
Bitcoin mining fee card
The difficulty of the mathematical equations varies according to the Bitcoin network, and depending on the speed of the solution.
Since the process was initially dependent on the central processor in the device.
Until the miners discovered a way to do this process, through the graphics card, because it enables them to carry out the process faster.
Bitcoin and energy consumption
To do this process, large electrical energy must be used, and thus generate very high heat.
Bitcoin mining is a product that was launched as an alternative to a computer, but its electricity consumption is still very high.
One of these products is the ASIC chip, which is an application-specific integrated circuit, and this chip is specifically designed to perform the mining process.
The ASIC chip reduces power consumption and speeds up the mining process.
Bitcoin mining pools
These pools were created to eliminate the difficulty in the mining process, and this process is done by gathering miners to find better solutions than what one miner might do.
These workers are rewarded individually, according to the amount of work done by each metal.
Buy bitcoin
The number of options for doing this process is increasing recently, but making a purchase is not easy, as one who has no experience in this field would expect.
Some bitcoins do not require access to the network or the use of a bitcoin wallet to obtain it, and we can buy the digital currency according to our need.
Bitcoin ATMs
Currency ATMs are a very new concept, and these machines provide a more private buying experience.
These devices have begun to appear in a large way around the world, and the number of devices is constantly increasing.
The currency of these devices when dealing with them ranges between (3% and 8%), in addition to the normal exchange rate.
However, this experience provides users with more privacy to purchase bitcoins.
To make a Bitcoin purchase all we have to do is insert the cash into the Bitcoin ATM, scan the QR code of the wallet or through a paper receipt that will provide you with the necessary information and codes on how to transfer the money to your wallet.
se process, and this is commensurate with the popularity that Bitcoin has gained.
These exchanges may even reach countries where bitcoin has been banned, or countries where it is illegal.
Exchange machines can be found through the mapping service provided by the company, for example Coin ATM Radar.
Gift cards
These cards are anonymous and are used because they are cheaper than cash, so you use bitcoin to buy gift cards.
The gift cards themselves can be redeemed for bitcoin.
All we have to do is buy gift cards for retail stores, and then we log into the Bitcoin exchange where these cards are accepted by some sellers, for example (Bcksful, local Bitcoins), and then we complete the purchase process.
The seller may want to verify the card, by seeing an actual image of the gift code on the back of the card, as well as the store receipt from which we purchased.
While in some cases the seller will suffice with a code through the network, or through an electronic code.
This process is considered secure and the card information can be given to the seller. This is because once you start the purchase process, the amount of coins you want to buy will be in the possession of the website automatically.
How to save with bitcoin gift cards
Gift cards are sold at 60% of their value by many retailers.
Therefore, this process of buying bitcoin can save a lot of money.
Given the varying value of the cards, they can be considered an excellent way to store bitcoins.
And with any method of buying over the Internet, we must beware of those who try to defraud in this area, and who try to steal money from us.
So make sure you only deal with trusted people.
Thus, we have answered the question, what is Bitcoin and how can you collect it?, the way to collect Bitcoin, the way to save it and get to know the ATMs, and the way to make and mine Bitcoin.