How I Became An Expert on Bitcoins
The Bitcoin currency was developed just a few years ago as a private initiative. However, as opposed to the usual forms of currency we use nowadays, it is not controlled by any central monetary authority. On the contrary, it’s underpinned by a peer-to-peer network of its user’s computers the same way a video chat operates.
For the Bitcoin currency, the Bitcoin is the basic unit and is subdivided into satoshis which are in turn equivalent to one hundred millionth of a bitcoin.
You can use Bitcoins to transact for services and goods by transferring them from one internet user to another at virtually zero cost. This permits you to make international transfers without needing to mess around with exchange rates and onerous bank fees.
For any Bitcoin user out there, he or she must have a Bitcoin safe which is an application that allows these users to store, send and receive bitcoins. Some of the Bitcoins safes that are available currently are the software safes, mobile safes, and internet Bitcoin safes.
Software Bitcoin safes can be installed on the PC to give you full control of it. As for mobile Bitcoin safes, they are usually installed on your smartphone or tablet and make it possible for you to use Bitcoin for daily transactions in shops and supermarkets by scanning a quick response (QR) code. The web Bitcoins Safes on the other hand usually store Bitcoins on the cloud servers.
Payments using Bitcoins is very easy, and all you need to do is just enter the receiver’s address on your computer or smartphone, the amount you want to pay and send. Smartphones may also obtain a receiver’s address by scanning a QR code or by bringing two smartphones that use the near-field-communication (NFC) technologies, a form of radio communication, close to each other.
Guarding Your Bitcoin Safes
One might compare Bitcoins Safes to wallets filled with cash. For you to ensure you Bitcoin funds are secure, it is imperative to stash small amounts of Bitcoins in your PC or Smartphone and the rest to an encrypted offline Bitcoin safe. This is to make it easier to recover your safe in the event your computer or smartphone is stolen.
Encrypting your Bitcoin Safes allows you to set a password that must be input before funds can be withdrawn. However, recovering a bitcoin password is impossible if it is lost and is why you want to be totally sure that you can recall your password easily.
To ensure that your Bitcoin funds are secure, it is advisable also to store your offline backups in storage media like USB flash drives and CDs.
It’s imperative to make sure that you have updated your Bitcoin Safes software to make ensure their security alongside transactions.