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What is Bitcoin?

Bitcoin is a decentralized crypto-currency, being a form of electronic money. It is considered the first decentralized digital world currency, constituting an alternative economic system (peer-to-peer electronic cash system), and responsible for the resurgence of the free banking system.

Bitcoin allows financial transactions without intermediaries, but verified by all users, and which are recorded in a distributed database, called "blockchain", that is, a structure without an administrative entity for example, makes it impossible for any entity to manipulate issuance and the value of crypto-currency or to induce inflation by producing more money.

How does Bitcoin work?

From the user's point of view, Bitcoin is nothing more than an application or a computer program that provides a personal wallet of Bitcoin and allows anyone to send and receive Bitcoins. In other words, imagine that it is the wallet that you have in your pocket and where you keep your physical money. In this case, as is digital money, it is stored in a digital (virtual) wallet.

The Bitcoin network shares a public "ledger" called "Blockchain". This record contains all the transactions already processed, allowing that a user's computer checks the validity of each transaction. The authenticity of each transaction is protected by digital signatures addresses, allowing all users to have full control over the sending of Bitcoins.

Send, receive and withdraw (convert to physical money)

Each (virtual) digital wallet is identified by one (or more) unique address, therefore to receive Bitcoins, the other person only has to send Bitcoins from her wallet to your address, and vice versa, when you want to send to another person.

To make the withdrawal of Bitcoins, for example to your bank, there are numerous sites, Platforms and Apps, which, in addition to being wallets (where you accumulate your Bitcoins) also allow you to withdraw for physical money.

The best known and used is

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