Cryptocurrencies are on the rise with over 6,000 existing digital currencies available today. Bitcoin (BTC) remains the most popular, along with Bitcoin Cash (BCH) and Litecoin (LTC); all three cryptocurrencies accepted at Sloto’Cash.
Quick Navigation
• Advantages of Blockchain
• How does the Blockchain work?
• What is a Blockchain?
• What is the future of Blockchain?
• Who invented the Blockchain?
• How Bitcoin Works
• How to get Bitcoin
• How to use Bitcoin
• What is Bitcoin?
• Who created Bitcoin?
• How Does Cryptocurrency Work?
• How to buy Bitcoin and other crypto?
• What is Cryptocurrency?
• Why Cryptocurrency?
Advantages of Blockchain
Whether it is for digital trading or for supply chain, Blockchain is a powerful tool in today’s computerized world that is used by government, healthcare and the online gambling industry. Some of its main advantages include:
- No intermediaries: One of Blockchain’s strongest features is its decentralization from financial organizations in order to authenticate transactions in a safe manner. NFT’s are an example of how efficient it can be to trade digital art pieces online without recurring to a dealer.
- Public network: Since no one owns the Blockchain, its transactions are publicly published in the network. This makes it invulnerable to any type of failure as information must be verified by many combined elements in its system. This is ideal for Governmental organizations to operate safely.
- Anonymity: Blockchain makes it impossible to trace transactions made in its network thanks to the validation of person-to-person transactions without the need for personal information. Online casinos can offer users a simple and secure way to keep their identities safe from harm.
- It’s efficient: Opposite to traditional paper-heavy processes which are time consuming, the Blockchain deals with all steps automatically and without human error faster than ever. Insurance companies can benefit from automating manual processes and reducing costs.
How does the Blockchain work?
More than a catchy name, Blockchain owes its name to the way it stores its data in blocks that are linked together by cryptography to form a never-ending chain; with every new transaction, the chain grows bigger.
Every block in the chain records information on the time and sequence of the transaction within a safe network. Furthermore, each block contains a hash (a unique identifier) that link together to prevent any data to be altered.
One of the main reasons for using Blockchain is because of its efficient way of confirming and authorizing transactions securely; and while each block within the chain contains a digital signature, a timestamp, and other important information, it doesn’t include the identities of the individuals involved in the transaction.
The digital signature then is merged with the peer-to-peer network, which is a large number of individuals who act as authorities to reach a consensus on transactions and authorize the deals.
The digital signature then is merged with the peer-to-peer network, which is a large number of individuals who act as authorities to reach a consensus on transactions and authorize the deals.
Blockchain is the main platform where cryptocurrencies such as Bitcoin and Ethereum operate, but it can also store other types of information, such as product and data tracking – for example, the healthcare industry uses it to store sensitive patient data.
What is a Blockchain?
The blockchain is a log for recording transactions and assets, such as digital artwork and cryptocurrency, that can be checked by anyone in the world. For example, people who trade Bitcoin through the Blockchain will leave a record on every time they perform it. Thanks to it, people are able to transfer money and make purchases without having to resort to a bank or a credit card company to serve as an intermediary.
Most popular cryptocurrencies such as Bitcoin, Ethereum, Litecoin and Tether, use the Blockchain technology's data structures that have inherent security qualities, and are guaranteed to be genuine and reliable.
Imagine the Blockchain as an ever-growing Lego room with hundreds of thousands of new blocks being added every day. Because each transaction made in real life is recorded on a digital block that has a timestamp, tampering with the Blockchain data is impossible.
There is a popular saying on the Internet that Blockchain can be more secure than performing online payments through credit cards, and that’s correct true because of the coding nature of these networks. Users are not required to provide any sensitive information when purchasing any amount of cryptocurrency.
Another interesting thing about Blockchain is that its existence is not only about Bitcoin. It may also be used for medical research, tracking prescription drugs, and data sharing.
What is the future of Blockchain?
In today’s digital world, every new technology evolves over time as developers add new features and purposes to serve the needs of industries and users. Blockchain, for example, started as a decentralized system for recording and documenting transactions of digital currencies, such as Bitcoin.
However, while cryptocurrencies enjoyed an intense growth during the last five years, the Blockchain technology has become a quickly-growing area focus for companies across different industries. In fact, cryptocurrency is already taking over many public services such as payment processing, digital ID’s, tax regulation and compliance, and even digital voting.
One of the most valuable uses of cryptocurrency that is being developed is through healthcare, in which patient information can be stored in an incorruptible, decentralized, and transparent database – keeping their data secure. Another growth area of Blockchain that will continue evolving in the near future is its ability to perform cross-border payments and to use it to buy, invest and even build a credit score on cryptocurrencies.
Recent studies have shown that 81% of business leaders believe that Blockchain has achieved mainstream scale that allows it to be adopted into their business models. Even countries, such as El Salvador have done in recent years, can implement cryptocurrencies to increase the economy and improve its internal market.
Who invented the Blockchain
The Blockchain was created in 2008 by Satoshi Nakamoto, but the real identity of this pseudonym is still a mystery, 14 years later. Nakamoto was possibly not even one single person, but a group of people who developed Bitcoin and devised the first Blockchain database.
In fact, the idea of Blockchain had been proposed since 1991, when Stuart Haber and W Scott Stornetta described a cryptographically secure chain of blocks where document timestamps could not be tampered with. However, the world would wait 17 years to see the first real-world application of Blockchain.
Blockchain is a response to the traditional third-party banking institutions such as banks and payment processors such as Paypal. With the Blockchain, users were now able to store and verify their digital transactions through a global network that transcends people, corporations and institutions.
On October 31, 2008, Nakamoto published a white paper to guide users around the principles of the new and revolutionary technology that Bitcoin and the Blockchain would become.
With the creation of the Blockchain, Bitcoin was able to thrive as the first modern cryptocurrency by using this public server for all its network transactions. Fast forward 24 years and you can find over 9,000 other cryptocurrencies in the marketplace.
How Bitcoin Works
The purpose of Bitcoin was to create an alternative payment system both free of central control and safe enough that it could be used just like traditional currencies to send money over the Internet. It works by storing all of its transactions data in blocks that are linked together using cryptography; each block contains a cryptographic hash of the previous block, a timestamp, and transaction data, thus creating what it’s called a Blockchain.
But where do Bitcoins come from? For example, with paper money, every government decides when to print and distribute money. However, Bitcoins are created when users, called “miners”, operate special software to solve math problems. These users are then issued a certain number of new Bitcoins in exchange.
Bitcoin mining is also what makes this cryptocurrency’s network secure. By having a global network of computers run the Bitcoin code, miners ensure that transactions are legitimate and are added correctly to the Blockchain.
Regular users who wish to use Bitcoin as a digital currency to make transactions online make a currency exchange and save their cryptocurrency in wallets, where they can view their balance and send or receive Bitcoin. These wallets communicate with the Blockchain network to locate someone’s Bitcoin in order to use it for buying or trading.
How to get Bitcoin
Bitcoin has skyrocketed in the last few years, with its price soaring from 1 BTC for just over $500 to $30,000 in a matter of five short years. However, in order to buy or invest in Bitcoin, users need to understand the dynamics of this cryptocurrency, as it is volatile as well as very profitable. The first step is to set up a wallet that provides the interface that lets a person access their Bitcoin funds.
To buy Bitcoin, users need an online exchange where buyers and sellers meet to trade their local currency for digital coins. There are a number of cryptocurrency exchanges that can be used depending on where the user is located in the world; however, people usually need to set up their profiles and fund their accounts before being able to invest in Bitcoin.
These Bitcoins are then stored in wallets that store the passkeys which are used to sign for a users’ cryptocurrency transactions. A Bitcoin wallet contains a public key which acts as the wallet address, and a user’s private keys needed to sign cryptocurrency transactions. Thus, the person in control of their private key is the only one that can oversee the coins associated with that public key.
How to use Bitcoin
There are about 1 billion people around the world using cryptocurrencies in 2022, including roughly 46 million Americans (around 22% of the adult population) who own a share of Bitcoin – the first and most popular digital coin available in the market. However, it is important to keep into consideration that even though Bitcoin is a highly volatile currency, it can bring profit to its users.
First, you have to find a cryptocurrency wallet to store all of your Bitcoins; this wallet contains the private keys needed to access your Bitcoins on the Blockchain. Thus, whenever you are looking to make a transaction with Bitcoin, you will need to enter the payment amount and the vendor’s public key through the wallet app of your liking.
One of the benefits of using Bitcoin regularly is that it does not require users to store any of their personal or financial information. These funds are then available to be spent however a user wants to, either purchasing goods or using services online without providing any data other than the wallet’s addresses and the amounts of the transfer.
There is a growing number of online retailers that accept Bitcoin as a form of payment, and the implementation of Bitcoin ATM’s has made it easier for this cryptocurrency to attract new users. These ATM’s allow people to turn their cash into bitcoin instantly, which is subsequently linked to their wallets.
What is Bitcoin?
The word Bitcoin might not have meant anything to most people ten years ago, but with the popularization of the Blockchain as a means of ensuring secure transactions within the worldwide web, it now has become synonymous with cryptocurrency. In fact, Bitcoin is now the most recognizable from the more than 19,000 cryptocurrencies in existence today. But how did it come to be?
First proposed in 2008 in a white paper by Satoshi Nakamoto – a pseudonymous person or team who set the bases for this technology – Bitcoin allows users to operate their business free of any central control such as bank or credit card companies, through peer-to-peer software and cryptography.
Every Bitcoin transaction in existence has been recorded by a public ledger, and copies are permanently held on servers around the world. These copies are collected together into digital blocks that together form the Blockchain.
While traditional coins are kept in wallets, virtual currencies such as Bitcoin are held in digital wallets that can be accessed by users through apps and other online tools. It can also be exchanged for cash just like any asset; two people anywhere in the world can send Bitcoin to each other without involving a third-party institution such as a bank.
Who created Bitcoin?
Bitcoin was first proposed in 2008 by an anonymous group or person who operated under the pseudonym of Satoshi Nakamoto, and while several people have claimed to be the real Mr. Nakamoto, it has never been confirmed. In the 2008’s white paper called ´Bitcoin: A Peer-to-Peer Electronic Cash System´, both the Blockchain and Bitcoin principles were first drafted.
What was so innovative about Bitcoin was how this currency can exist in a decentralized environment without the need of a third-party institution to regulate its trade. In fact, Nakamoto stated that the root problem with traditional currencies was how a central bank had to be trusted in order to prevent it from devaluing.
Furthermore, Bitcoin does not exist in a physical space, as opposed to traditional bills or coins which are only in one place at a single time, but can still be able to be used by millions of users anywhere in the world to trade and make purchases online.
After launching Bitcoin, Nakamoto kept working on the project in collaboration with various other developers until 2010, when it disappeared from the Internet. Nakamoto was supposed to own 1 million BTC holdings, a sum which would put them on the Forbes top-20 rich list. However, his wallet was never touched, and continued to be intact to this day.
How Does Cryptocurrency Work?
There are many names for all the different cryptocurrencies that exist on the Internet: Bitcoin, Litecoin, Ethereum and thousands more. But have you ever wondered how it all actually works? We know that these are alternative forms of payment that have been created using encryption algorithms, but if you’re looking to invest in it, it’s a good idea to know the ins and outs.
The Blockchain is the digital environment where cryptocurrency occurs, in which every time a transaction takes place using Bitcoin or any other digital coin, a block is created. Through a concept known as “mining”, these blocks are then linked together by a global network of computers that run the cryptocurrency code. Each block securely contains the data of the previous block, of its timestamp, and of its transaction data.
Bitcoin mining is also responsible for creating new crypto by having users verify new transactions against the Blockchain. This verification is done by solving complex cryptographic hash puzzles on powerful computers with modern specs. These coins are then ready to be executed in the market and trade with investors around the world.
In terms of security, Bitcoin is protected by a 256-bit secure hashing algorithm which signs the data with a unique and unbreakable identifier – keeping it safe in the network.
How to buy Bitcoin and other cryptos?
Don’t let it deceive you. Buying cryptocurrency may seem complicated and arduous, but after learning which steps to follow, next time you will do it without problem. First, users must choose which one of the thousands of cryptocurrencies available you will buy; Bitcoin, for example, is a great option due to its wide popularity and being accepted in hundreds of businesses around the world.
Then, users will need to open a digital wallet to hold their cryptocurrencies within the Blockchain. Some examples include Coinbase and Electrum. These wallets require an account in order to be able to store data, but once users set it up and verify their account, they can start depositing money to get crypto coins easily. Different deposit methods include wire transfers or debit and credit cards.
Once a user owns Cryptocurrency, they can store them safely in a hot wallet to access it on different owned devices or in a cold wallet, which is not connected to the internet – thus making it safer. Cold wallets can be stored in external devices, like a USB drive or a hard drive. Keeping their cryptocurrency in a personal wallet ensures that investors have control over their private key to their own coins.
What is Cryptocurrency?
Cryptocurrency is more than just a catchy new term in our modern digital world; it has become synonymous with revolutionary currencies such as Bitcoin, Ethereum, Litecoin, and thousands of others that exist today. These digital currencies are alternative forms of payment that use encryption algorithms and are decentralized from any institution or authority that manages its handling and value. Instead, these tasks are widely distributed among its users through the Blockchain.
Users can pay for digital and regular goods or services online by using cryptocurrencies like Bitcoin, but many also invest on them as they would with stocks or art pieces. However, in order to acquire them, a digital wallet is required to be set up through mobile or computer apps which can store their encryption keys and confirm the owner of the cryptocurrency.
Some of the benefits of choosing to use cryptocurrency are its low costs and its ability to be processed at any time of the day in an instant manner without having to depend on a banking institution. Moreover, cryptocurrency does not require documentation or paperwork from its users in order to make a transaction, as it is stored in blocks that form the Blockchain which is validated by people who own the computers in the network.
Why Cryptocurrency?
Cryptocurrency came to revolutionize the way we think about our traditional banking systems, by implementing a decentralized digital currency that could be used by people all around the world in a standardized way. It can be used as a way to purchase services or online products in a secure and efficient manner without being dependent by any banking or governmental institutions; therefore, this decentralized system does not collapse at a single point of failure.
No matter where you are located, you can easily access a wallet to store your cryptocurrency. This characteristic has opened people’s eyes to the possibilities of economic freedom that the Blockchain and the Internet has brought.
Furthermore, because advanced coding is involved in storing and transmitting cryptocurrency data between users, it is one of the safest currencies to use in the market as these functions provide a unique fingerprint for each transaction that cannot be reconstructed.
Currencies such as Bitcoin, Ethereum and Litecoin are also an efficient way of making profit by investing in it through online exchanges – more in the way of how the traditional stock market works, but with improved flexibility for transferring it and using it to pay for goods and services. Because of this, millions of people hold cryptocurrencies as part of their investment portfolios.
