What is Bitcoin and how does it work?

What is Bitcoin and how does it work?

Bitcoin is a digital currency which operates free of any central control or the oversight of banks or governments. This is called decentralized. Instead it relies on peer-to-peer software and cryptography. A public ledger records all bitcoin transactions and copies are held on servers around the world.

How do you make money from Bitcoin?

The most efficient ways that will help you know how to make money with Bitcoin:

• Mining. Mining by staking or proof of work.
• Buy & Hold Bitcoins. HODL!!!
• Accept Payments in Bitcoin. We accept crypto here!
• Earn Bitcoin by becoming an Affiliate. Ledger pays in Bitcoin.
• Lending Bitcoins. Crowd loans are another option too.
• Micro Earnings. Taking courses and training classes.
• Trading. Day Trading or Swing Trades are the most common.

How does Bitcoin work simple explanation?

Each Bitcoin is basically a computer file which is stored in a ‘digital wallet’ app on a smartphone or computer. People can send Bitcoin (or part of one) to your digital wallet, and you can send Bitcoin to other people. You can buy Bitcoin using ‘real’ money. You can sell things and let people pay you with Bitcoin.

Is Bitcoin a Fungible Token

Bitcoin and other cryptocurrencies are the most prominent uses of blockchain technology, and they’re examples of fungible tokens.

An asset is considered fungible when its units are interchangeable with one another, meaning they are indistinguishable. For example, we may consider Bitcoin fungible because each unit of $BTC is equivalent to any other unit, meaning they have the same quality and functionality.

Fungible tokens or assets are divisible and non-unique. For instance, fiat currencies like the dollar are fungible.