What is bitcoin (the currency)?
Bitcoin is a decentralized finite digital currency (typically shown as a lower case “b” when talked about as a currency) that was introduced in 2009. The creator goes by the name of Satoshi Nakamoto, whose real identity is unknown. What makes it decentralized is that no one institution has control over its production, distribution, or security, and it is not regulated by any government or corporate institution (yet). Bitcoin is the leader in a new form of currency – cryptocurrencies (which gets the name from the cryptography used to secure these digital coins).
Where do bitcoins come from?
The bitcoin network is made up of a series of “blocks” and a public ledger that displays transactions (each transaction is shown as a key – a long list of letters and numbers). Every time a block is unlocked, a new bitcoin enters into the economy. To unlock a block, one must run a mining system through a specialty computer that constantly guesses chain patterns to unlock a block. When it figures out the right answer or pattern, a new block or “coin” is released. There are 21 million bitcoins in the system whose mining difficulty increases as the amount of coins released grows closer to 21 million.
Where can I use Bitcoin?
Here at Amagi Metals of course! Bitcoin can be used at over 30,000 online stores, and the number of physical businesses that accept Bitcoin is growing exponentially. The easiest way to transact with Bitcoin is by buying and selling it in person or through an exchange. One of the easiest ways to store your bitcoins is through an online wallet. We recommend Blockchain.info as a great place to start.
Coin Desk offers a comprehesive list of businesses that accept Bitcoin.
Are bitcoin prices volatile?
Many people lend the uncertainty of the cryptocurrency adoption to its volatility and use this to say that it will not be widely accepted as a currency. However, initial volatility in a new market is inevitable and necessary to become widely adopted and eventually stabilized.
What exchanges are the Amagi Metals’ bitcoin prices based off of?
We use the payment processor, BitPay, which pulls its exchange rate from several bitcoin exchanges to offer the most liquid bitcoin price on the market. Learn more about their exchange rates here. An alternative bitcoin price can be found on one of the top exchanges, Bitstamp.net.
How high will bitcoin’s price go?
No one can predict the future and there have been a lot of joyful stories and just as many sob stories with crypto investments. Any investment is a risk, although gold and silver have been proven to be one of the best wealth preservers in history. It is unknown exactly where Bitcoin will go. Some predict $1million, some $1,000 again, but much of these numbers are based on one thing we do know: The US Dollar is a failing currency and has already lost over 95% of its purchasing power in the past 50 years. Finding a new way to transact is exactly what we need, so while you’re stacking precious metals, think about cryptocurrenices; they are revolutionizing money.