By 2009, a new concept of currency has been introduced. The concept seemed a little vague on the use of this currency, but two years later, Bitcoins appeared as a catchy trend. Proclaimed as a decentralized digital currency, more people and companies have started using bitcoins. Although the currency is always in its experimental stage, regular update and frequent refreshing is done to improve it in all possible ways. Unlike other banking networks, Bitcoins are not controlled per person. The network has a set of protected protocols protected by cryptography. It is a new payment system that has no central authority other than cryptography (open source software working with mathematics laws) that manages the creation and transaction, which makes it impossible to cheat around the system. Bitcoins share a large public book (the big book of the block chain) where each transaction is recorded by making a triple triple accounting system and a transparent recorder. By using the Peer to Peer system and a cryptographic key, transactions are processed between customers. As the key can not be deciphered, it is a safer form of Internet species than to perform transactions with credit and debit cards.
As with each new emerging trend, Bitcoins have advantages and disadvantages. But if the obstacles are removed, it could help re-imaging international finance. The benefits of Bitcoins are
Users have total control over money, they can send and receive any amount of payments at the time of day. As these transactions are not performed by banks or organizations, but between individuals, it’s easy to send a file.
Transactions do not require any or less money compared to other online money transfers that stick to heavy fees, the only Bitcoins service is done by minors to facilitate the recording of transactions on the block and does not cost Not much expensive.
This is the safest and irreversible form of cash transactions where no personal information is exchanged. Most people opt for this method because it removes major hassles involved in other transactions.
Large markets and small businesses have widely accepted them as contributes to faster and reliable money transfers with very few administrative costs.
When other currencies are affected by price fluctuations, we can not indicate that Bitcoins.
The disadvantages of Bitcoins are listed below that they can be returned. The new rules and updates are constantly sought after by various parts of confidence to help shape it.
There is no guarantee yet and no purchasing power provided.
The Bitcoin price has not yet stabilized, which can only happen when the number of users and companies using bitcoins increases.
Customer programs used as portfolios can not guarantee or provide insurance on Bitcoins.
The currency has not even mature and get a better outfit on the market.
The challenges facing Bitcoins can be easily dissuasive. But the currency requires a stronger presence and a better security guarantee before being able to be widely accepted by the public as the easiest form of online money. The current concept is a successful online exchange company that is on an adventurous path that has not yet been legalized and changed from an experimental currency. Although the future of Bitcoins is nothing but speculation, it has a positive answer from all its users and could be the next big thing.