The Features of Bitcoin
One of the most striking features of Bitcoin, which was prepared to make fundamental changes in many sectors, especially in the finance sector thanks to blockchain technology, was that it was decentralized.
All features of Bitcoin, which is the first cryptocurrency based on the principle of being managed by no one…
Its decentralized structure
One of the main purposes of Satoshi Nakamoto while creating Bitcoin was that the network would be independent of authorities. It is designed for every person, the company and the machine involved in mining and process verification to be a part of a wide network. Moreover, even if some part of the network collapses, the money will continue to be traded.
For many people, the greatest advantage of Bitcoin is that it is a crypto that is not controlled by world governments, banks and corporations and does not depend on central systems. No central authority can interfere with BTC transactions, set transaction fees, or take people’s money. What’s more, Bitcoin movements are extremely transparent; each transaction is handled in a huge distributed and open ledger called Blockchain. Uncontrolled Bitcoin gives its users full control over their financial assets.
Its Anonym Structure
Banks know almost everything about customers, such as credit history, addresses, phone numbers, spending habits, and so on. In the context of Bitcoin, the digital wallet is not connected to personally identifiable information. For this reason, people or groups in drug trafficking, terrorism and other illegal activities who do not want to manage and monitor their financial accounts with any authority may benefit from this anonymous structure.
Since every BTC transaction is stored in the Blockchain, Bitcoin’s privacy depends on one thing. Theoretically, if the number of your wallet is used openly, everyone can carefully read the record in blockchain and tell you how much BTC is in your wallet. On the other hand, it is almost impossible to monitor, track and reach the details of the Bitcoin account. In this regard, however, they may use a variety of wallets that are more secure for those who wish to take more precautions. The simplest measure of security is to use multiple addresses and to divide the BTCs into accounts.
Bitcoin network payments are almost instantaneous; while normal bank transfers can take several days, it takes a few minutes for someone on the other edge of the world to take the money.
You cannot retrieve BTCs unless the other party sends them back to you after you have sent someone to BTC. Although losing a Bitcoin wallet means losing an account in a sense, some systems have backup and restore features.
An indisputable advantage of the Bitcoin network is the possibility of choosing the amount of the transaction fee or not paying any transaction fee. The transaction fee is collected by the miner after a new block has been successfully created. Transaction fees are entirely optional and serve as incentives for miners to ensure that each specific process is added to the new block being produced. This incentive is a source of income for miners; especially considering when the Bitcoin limit is reached, mining activity will stop completely in the future, the transaction fees will make more money than mining.
The crypto money market asks users to choose between cost and waiting time. While higher transaction costs mean faster transactions, users without any limitation of time can save money.