When new trends arise it is always important to help users to know and understand what this modern trend is about and the case of bitcoins has not been the exception, many rumors and assumptions have been made by all the people, but today at CONSARCA, we clarify and explain what this new and ingenious method of payment is about.
In general we can say that bitcoin is a decentralized payment system that works without the need for a central authority or third parties to control the double spending of currencies. In particular, Bitcoin has three aspects that make it up:
1 – In the first place, bitcoin is an accounting unit of a payment system (that is: a currency) that allows online payments to be made instantly and irreversibly.
2 – In addition, bitcoin is a protocol that serves as a standard framework to perform electronic transactions person to person in a network of peers and peers, without servers and without the need for intervention by a third party.
3 – Finally, bitcoin is a network that serves to create a decentralized database, based on consensus, where anyone can carry out commercial operations.
How is a fiduciary currency enshrined?
Having said that, we can affirm that the expansion and growth of bitcoins is a matter of trust, since it plays a fundamental role when negotiating through this decentralized payment method.
What makes a certain currency widely accepted as a means of payment and deposit of value? In relatively recent history, the answer is generally given by the support or guarantee of trustworthy institutions (fiduciary money, usually backed by one or several states), or of an asset whose value is of widespread consensus and acceptance ( like gold or other precious material goods). The key seems to be, in short, in the generalized trust that comes from a sender of agreed rigor and quality, or in the confidence that is deposited in a clear, measurable and shared value that a certain good or asset can possess. We could agree that the problem is reduced to a question of confidence.
How to know if a bitcoin trading website is reliable?