From a user's point of view, Bitcoin is simply a mobile application or computer program that provides a Bitcoin wallet and allows its users to send and receive bitcoins. This is how Bitcoin works for most users.

However, behind the scenes, the Bitcoin network shares a public record called a "block chain" which contains all the transactions that have ever been processed and allows the user's computer to verify the validity of each transaction.

Where, the authenticity of each transaction is protected by a digital signature associated with the sender's address and allows all users to have full control over the sending of bitcoins from their Bitcoin address.

Everyone can also process transactions using special computing hardware and get rewards in bitcoin for this service. This activity is often referred to as "mining".

What are the advantages of using Bitcoin?

There are several advantages to using bitcoin such as:

a. Payment freedom - You can send and receive money instantly anywhere, anytime. No bank holidays. There are no national borders. There is no bureaucracy.

b. Choose your own fees - There are no fees for receiving bitcoins, and most wallets have the possibility to control the amount of fees when using them. Higher fees encourage faster confirmation of transactions.

c. Low risk for sellers - Bitcoin transactions are extremely secure, irreversible, and do not contain any personal or sensitive customer information. Thus, it can protect sellers from losses due to fraudulent or fraudulent chargebacks, and there is no need for PCI adjustments.

d. Security and control - Users have complete control over their transactions; it is impossible for the seller to make an unwanted or noticed charge as can be the case with other payment methods.

e. Transparent and neutral - All information regarding the supply of bitcoin currency that is stored in the blockchain and can be seen by the public who wants to verify or use it in real-time. Nobody controls and manipulates the bitcoin protocol because it is cryptographically secured, allowing the Bitcoin core to be completely neutral, transparent and predictable.

Source: ajaib.co.id