Bitcoin and Cryptocurrency Technologies: Everything You Need To Know To Get Started With Bitcoin (Includes Bitcoin Investing, Trading, Wallet, Ethereum, Blockchain Technology for Beginners): Everything You Need To Know To Get Started With Bitcoin

By Christopher Nygaard

Are You Thinking Of Investing Or Trading In Bitcoin?

If so, this book will give you the most pertinent details about Bitcoin and other notable cryptocurrencies, as well as how to get started with investing and earning profits with this exciting sector in the financial world.

Ever since Bitcoin burst onto the scene, it has caused a radical shift in the world of financial transactions and online payment systems. Cryptocurrencies are the future of digital money, and they have also become a novel new way to invest and earn big returns.

Many thought Bitcoin and the other cryptocurrencies would just be a passing fad, but instead virtual currencies have surged in value and volume.

What Makes This Book Unique?

What makes this book special is it will take you through the steps of how to get started with Bitcoin, including what digital wallets to consider, basic things you will need to prepare, and how to start trading as a beginner. 

You Will Learn The Following: 

- What Is Cryptocurrency?

- What Is Bitcoin?

- Benefits Of Bitcoin

- What Is Blockchain Technology?

- What Is Ethereum

- Other Cyrptocurrencies To Consider

- Starting With Bitcoin

- And much more!

You have made an excellent decision by getting started with Bitcoin. Take this opportunity to also purchase your copy today before the rest of the world finds out about this golden opportunity that is Bitcoin. 

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See you inside!

• Language: English
• Publisher: R&C Publishing
• Release date: May 16, 2018

Book preview

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Introduction

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Thank you for downloading the e-book, Bitcoin and Cryptocurrency Technologies! Without a doubt, your curiosity and thirst for knowledge regarding the exciting frontier of cryptocurrency have spurred you on to download this e-book in search of the most accurate, complete, and easy-to-understand information on bitcoin and cryptocurrency. Our goal in writing this e-book is to present to you the details that you will need to get started on the right path, and benefit from this digital money revolution sweeping much of the financial world.

With the age of computer information and the internet has come numerous and significant changes to the way transactions and day-to-day activities are processed all around the world. Messages are now sent in real time via email, text messaging, Web messaging, and chat applications. Individuals and families are able to stay in touch with each other using video chat, easily accessible using their mobile devices or computers. Global companies can set up meetings with their staff and colleagues in different locations around the world through virtual office rooms and video conferencing programs which only a few decades ago would have been slow or unreliable to use.

As the digital age has picked up speed and revolutionized much of modern life, financial transactions were not left behind. Clients are now able to manage their accounts right from their home computers or mobile phones using online banking services, with access to their checking or savings balances, credit lines, and bill payments. Online information is easily accessible to entrepreneurs, bank managers, tellers, insurance brokers, and other professionals in the financial service industry, speeding up the process and becoming more efficient.

The need for decentralization of information and access in the financial industry has given way to innovations even in currency, paving the way for the rise of cryptocurrency. Cryptocurrency first barged into mainstream awareness in 2009 with the popularity of Bitcoin, although there were already numerous prior attempts to decentralize currency and utilize digital database servers to facilitate transactions globally. Bitcoin succeeded as the first big success of the cryptocurrency sector and still holds its own as the leading provider. Its popularity has also caused a lot of discussion about cryptocurrency to take center stage, specifically how virtual cash can change the future of finances and global money transactions.

The most recognizable tenets of cryptocurrency, which are free from the control, oversight, or dependence on traditional or state-backed financial institutions like central banks, caused a sudden demand for cryptocurrency (Bitcoin, in particular) to rise. Other similar platforms wanting to ride the wave have also sprung up. With prevailing attitudes in many areas of the world leaning towards more personal control and less oversight from the control of the big banks, cryptocurrency is expected to continue its growth as an alternative form of peer-to-peer financial solution for different transactions.

With an exciting future ahead for Bitcoin and cryptocurrency, surely you would not want to miss out on the action. You would be encouraged to know that the surface has barely been scratched as far as the cryptocurrency sector is concerned. There is a lot of promise in the horizon for this segment of the financial world, and it is not too late for you to jump right in and also reap the benefits of the virtual currency revolution.

But of course, you would want to be as knowledgeable as possible before making any big decisions, and this e-book will be a valuable reference for you. First, an accurate understanding of cryptocurrency is important, so in the next chapter let us look at the fundamentals of virtual currency and what sets it apart.

Chapter One:  What Is Cryptocurrency?

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The simplest definition of cryptocurrency is digital or virtual currency utilizing the security features of cryptography. Currency is fairly easy to understand, but many are not as familiar with cryptography, or the use of various security protocols to safeguard information and hinder the access or interference of unrelated parties or the public. Cryptography is a security protocol used in modern machines, programs, or devices used every day, including automated teller machines, e-commerce or retail websites, online banking websites, and computer logins.

In relation to cryptocurrency, the transactions and other important details are secured using the encryption techniques of cryptography. Transactions are performed between users or peers, and an additional confirmation feature called mining is in place. All transactions are added to a record-keeping database known as a public ledger.

According to CryptocurrencyFacts.com, the public ledger has this role in cryptocurrency: All confirmed transactions from the start of a cryptocurrency’s creation are stored in a public ledger. The identities of the coin owners are encrypted, and the system uses other cryptographic techniques to ensure the legitimacy of record keeping. The ledger ensures that corresponding digital wallets can calculate an accurate spendable balance. Also, new transactions can be checked to ensure that each transaction uses only coins currently owned by the spender. Bitcoin calls this public ledger a ‘transaction block chain’.

Transactions within the cryptocurrency platform go through a confirmation. A transfer of funds between two digital wallets is called a transaction. That transaction gets submitted to a public ledger and awaits confirmation. When a transaction is made, wallets use an encrypted electronic signature (an encrypted piece of data called a cryptographic signature) to provide a mathematical proof that the transaction is coming from the owner of the wallet. The confirmation process takes a bit of time (ten minutes for bitcoin) while miners mine (ie. confirm transactions and add them to the public ledger).

Mining also has an integral part in the cryptocurrency sector, as explained by CryptocurrencyFacts.com: In simple terms, mining is the process of confirming transactions and adding them to a public ledger. In order to add a transaction to the ledger, the miner must solve an increasingly-complex computational problem (sort of like a mathematical puzzle). Mining is open source, so anyone can confirm the transaction. The first miner to solve the puzzle adds a block" of transactions to the ledger. The way in which transactions, blocks, and the public blockchain ledger work together ensures that no one individual can easily add or change a block at will. Once a block is added to the ledger, all correlating transactions are permanent and