How Bitcoin Works
With every new technology, comes new terms and words. Bitcoin is no different. If you are new to Bitcoin, consider becoming take a moment to familiarize yourself with some of the terms surrounding this new technology.
Decentralized & Peer-to-peer
Bitcoin is a decentralized digital currency that operates on a peer-to-peer network.
Transaction & Public Ledger
Transactions are recorded on a public ledger called the blockchain, which is maintained by a network of computers worldwide. When someone makes a transaction, the details of that transaction are verified by every computer on the network and added to the blockchain as a block.
Network Validators
The network then verifies each block and once confirmed, the transaction is considered complete. The scarcity of Bitcoins, controlled by a predictable "rate-of-issuance," and its truly decentralized nature make it the hardest form of money ever invented by humanity.