What is bitcoin?

Bitcoin is a cryptocurrencie, a payment system introduced as open-source software in 2009 by developer known as “Satoshi Nakamoto”. The payments in the system are recorded in a public ledger using its own unit of account, which is also called bitcoin. Payments work peer-to- peer without a central repository or single owner, which has led the US Treasury to call bitcoin a decentralized virtual currency.Although nowadays its status as a currency is disputed, news and media reports often refer to bitcoin as a cryptocurrency or digital currency for sure. Bitcoins are created as a reward for payment processing work in which users offer their computing power (mining power) to verify and record payments into the public ledger. Called mining, individuals or companies engage in this activity in exchange for transaction fees and newly created bitcoins. Besides mining, bitcoins can be obtained in exchange for fiat money, other cryptocurrencies, products, works, jobs and services. Users can send and receive bitcoins quickly electronically for an optional transaction fee using wallet software on a personal computer, smartphone, tablet, mobile device, or a web application.