Steemit Crypto Academy S5 - Bitcoin, Cryptocurrencies, Public chains - Homework Post for Task 5
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(2) What Is Bitcoin and what was the Aim Behind Bitcoin Invention? Is Cryptocurrency Good For A Business To accept As Payment? Why?
What Is Bitcoin and what was the Aim Behind Bitcoin Invention?
We can say Bitcoin is the founder of all cryptocurrencies. Bitcoin was created on January 3, 2009, by an unknown person or group named Satoshi Nakamoto. Basically, Bitcoin can be considered as a Digital Currency that we can use as a payment method. It operates in blockchain technology. The creation of Bitcoin has given way to a world of new investment possibilities. since Bitcoin's launch its growth has been astronomical, today it is the biggest cryptocurrency with the largest market capitalization and has market dominance. After considering this information, we can say that Bitcoin is the strongest cryptocurrency in the crypto market. Bitcoin has given Birth to new other innovations such as Bitcoin Cash, Bitcoin games, and Bitcoin miners.
Below I have highlighted some of the main features of Bitcoin.
Bitcoin is the main foundation of Blockchain technology.
It was the first cryptocurrency among all other Cryptocurrencies.
It is the best cryptocurrency with the largest market capitalization and biggest popularity.
Bitcoin has come to represent a change in the traditional financial system to a new Digital World.
It has the dominance of the market with more than 40 percent.
Data Analysis of Bitcoin from https://coinmarketcap.com.
Above we can see in the screenshot, Bitcoin occupies the number 1 position in the ranking of cryptocurrencies. It has a price of $47,219.91 and its market capitalization is $893,715,055,774 with a trading volume of the last 24 hours of $31,009,527,306.
Now, the objective behind the invention of Bitcoin was to create a means of payment or digital currency that was independent of central controls. This is how Bitcoin was born a currency that is based on blockchain technology. So Bitcoin is a completely decentralized digital currency. It means that it does not depend on any other party. If I talk about the internal process of this decentralized technology, all connected servers are nodes that are involved in the verification and approval of the transactions that are executed.
After the crisis that hit the economy, Satoshi Nakamoto thought of a system that worked transparently, quickly, and safely. Bitcoin represents all of these solutions/ In fact, Bitcoin creation exceeds trhe limitations of the traditional financial system. In Bitcoin, we can transfer large amounts of money in a fast and safe way from person to person. It can be defined as P2P technology.
Below I have included an image of the Bitcoin Transaction confirmation way.
Is Cryptocurrency Good For A Business To accept As Payment?
In my opinion, definitely we can use Cryptocurrency for a Business to accept as payment. Because cryptocurrencies are the future of the world economy. Markets and new projects are gaining a lot of popularity day by day. Therefore. all the projects should follow new technology. I think those companies must involve adapting to the imminent adoption of cryptocurrencies as a means of payment. This is because there are many people who are getting involved in the crypto market. Then, it would be a means of beneficial payment for both parties.
As a means of payment, companies can increase the number of their customers to receive cryptocurrencies, provide services or pay for products. If an international company accepts payments in cryptocurrencies, these funds can be transferred without any delay or devaluation. Especially, salary payments can have liquidity and a portion of their income can be set aside for long-term investments with good profitability.
In general, it will be very beneficial to the economy, as companies will be able to import their inputs at a global price, thereby reducing many production costs.
Present Examples for Cryptocurrency Payment Methods.
Pavilion Hotels & Resorts
Microsoft Company.
Tesla Company
Amazon Company
PayPal
At present, Bitcoin can be defined as the best Cryptocurrency in the world. Because still most of the other cryptocurrencies are following the direction of Bitcoin. It means, if bitcoin goes for a down market, other altcoins also follow it and go down. Same like, if bitcoin goes up, other altcoins also go up. This is more likely to be directly proportional. This is because most of the other cryptocurrencies are respecting his main cryptocurrency. Therefore, even we have a lot of other Cryptocurrencies, we can not forget bitcoin. As an example, most experienced traders are always looking for a Bitcoin chart for better analysis.