Bitcoin is a payment system introduced in 2009. It is the modern digital currency which can be used for all personal transactions. Bitcoins are the virtual currencies which are gaining popularity as a new method of transaction and purchase goods and services. Bitcoins are regulated by a central bank. Bitcoins can be converted into cash after they are deposited into a virtual wallet. The process of generating Bitcoin is extremely complicated and involves a highly complex algorithm. Although Bitcoin is gaining popularity, its status as a currency is still much disputed.

But in near future the world is going to see the use and growth of Bitcoin in leaps and bounds. There are reasons behind it. The transaction fees are much lower than the conventional method of payment, so more and more merchants around the globe prefer Bitcoin as their mode of transaction. Unlike credit cards and other means of currencies, Bitcoins cannot be stolen which is an added advantage and another reason for its popularity. Bitcoins can be bought and sold with many different currencies across the globe from individuals and companies.

But there are certain demerits also in using Bitcoins. Bitcoin transactions are irreversible. So sellers of Bitcoins must take extra measures to ensure the correct transaction.

We are moving towards a new era of economics where Bitcoins will take place of the traditional currencies. I hope my information on Bitcoins will help you to get prepared for the future. Please comment and share your feedback on your understanding of the topic.