Bitcoin is based on the notion that money is an item, or some kind of record, accepted as payment for goods and services and debt repayment or socio-economic grouping in a given country. Bitcoin uses cryptography, or mathematical equations, to monitor the production and transfer of money, instead of depending on governments and central banks. Six Reasons Tron Is A Good Investment In 2020 is one of the authority sites on this topic.Transfers can be collected by anyone for loans, sales, transactions or any other form of payment, using a mobile, cell phone, tablet or laptop. This is all possible without a financial institution being needed to serve as an intermediary or a recording agent.
Bitcoin, developed in 2009, is a digital currency invented by an MIT student named Satoshi Nakamoto as open source software. There’s a lot of talk about whether Satoshi is a real individual, or a group of people using a pseudonym. Bitcoin is minted by a mining process in which specialized computer hardware completes complex mathematical equations and is rewarded with a block of bitcoins. That process takes about 10 minutes and 25 bitcoins are rewarded by the current block. In 2017, the block reward will be halved to 12.5 bitcoins, and again approximately every four years later. By 2140 about 21 million bitcoins will be in nature.
This week, Bitcoin has seen a flurry of activity with business owners from all stripes getting on board. Bitcoin is popping up everywhere from small businesses in New Orleans to the NBA’s Sacramento Kings embracing Bitcoin for ticket sales and team paraphernalia, to casinos in Las Vegas. Venture Capitalist Chris Dixon predicts that Bitcoin could hit $100,000 if it is the main ecommerce (Wired) tool. A major online retailer’s CEO was quoted as saying “Other retailers won’t want to miss out, Bitcoin demand is increasing by 30 percent a month.” The same retailer saw a 5 percent rise in revenue on the first day that Bitcoin was accepted. Zynga Games, one of the largest online gaming companies with responsibility for Farmville, Castleville, and a host of others have started accepting Bitcoin for financial transactions in games. Colorado’s legal marijuana dispensary industry turned to Bitcoin (ZeroHedge) after five Major Banks said no to money from marijuana dispensaries and growers. Also recently the IRS has introduced a program that helps Bitcoin to pay taxes. Bitcoin ATMs have sprung up in cities like Toronto, Ottawa and a shopping mall in Bratislava Slovakia. The New York City Bitcoin ATM was recently put on hold until a public hearing can be held under the jurisdiction of the New York State Department of Financial Services.
After flirting with the $1,000 valuation just after the New Year, Bitcoin has been steadily trading at around $950 over the past fortnight on the Mt. Gox exchange and is wonderfully backed by the 50-day moving average that suggests Bitcoin is still firmly bullish. This surprised most analysts who believed the regulatory news coming from China, India, and Russia would burst the bubble of bitcoins. But with over 30 years of market analytics experience, Michael Robinson believes most analysts are wrong. He suggests that the strong correction we saw at the beginning of December, combined with the clear support of the moving average of 50 days, shows that Bitcoin is an exceptionally healthy market and will only continue to increase value.