The advantages of Bitcoin
Bitcoins are created by mining and thus solving complex computational tasks. The miners around the world compete to see who can solve a complex arithmetical problem first and receive a reward, the Mining Reward.
Banks also charge fees for this, although all these processes are automatically handled electronically. The adaptation of Bitcoin is also progressing further, so that more and more companies are offering the option of paying for goods and services with Bitcoin.
The citizens of developing countries such as Argentina, Hong Kong or Venezuela have fled with their capital in Bitcoin in the hope of protecting their remaining savings from inflation and a further devaluation of their national currencies. The demand for Bitcoin and other cryptocurrencies is growing, especially in struggling with a sharp devaluation of Fiat money. The following figure shows that the trading volume of Bitcoin in the countries mentioned above is increasing strongly.Bitcoin can be sent quickly and at low cost from anywhere in the world with an Internet connection. Although there has also been a “jam” in the Bitcoin Blockchain in the past, these scaling problems will be solved in the long term with the Lightning network. Another disadvantage is the conversion of foreign currency into the local Fiat currency.
作者 : Collin Brown