We have been witnessing massive changes in the cryptocurrency market over the past decade. Bitcoin went from being an interesting experiment for a mainstream investor portfolio mainstay to a new asset class and digital gold. A solid trend of 2021 that we expect to accelerate in 2022 is the proliferation of crypto dollars. Our graphic shows the crypto dollar market cap rising above $130 billion.
--This analysis is by Bloomberg Intelligence analyst Mike McGlone. It appeared first on the Bloomberg Terminal.
What is Bitcoin?
Bitcoin (BTC) is a peer-to-peer cryptocurrency that aims to function as a means of exchange that is independent of any central authority. BTC can be transferred electronically in a secure, verifiable, and immutable way.
Bitcoin¡¯s whitepaper was published pseudonymously in 2008 by an individual, or a group, with the pseudonym ¡°Satoshi Nakamoto¡±, whose underlying identity has still not been verified.
The protocol has a token emission rate that halves every 210,000 blocks, or approximately every 4 years.
The Bitcoin protocol utilizes the Nakamoto consensus, and nodes validate blocks via Proof-of-Work mining. The bitcoin token was not pre-mined, and has a maximum supply of 21 million. The initial reward for a block was 50 BTC per block. Block mining rewards halve every 210,000 blocks. Since the average time for block production on the blockchain is 10 minutes, it implies that the block reward halving events will approximately take place every 4 years.As of May 12th 2020, the block mining rewards are 6.25 BTC per block. Transaction fees also represent a minor revenue stream for miners.
How to Buy Bitcoin?
1. Choose a Broker or Crypto Exchange.
2. Create and Verify Your Account.
3. Link your bank account.
4. Start buying & selling.
If you¡¯re looking to buy Bitcoin, you can get started in minutes on Binance,FTX,Bitfinex,etc
The world's crypto exchange.
Easiest place to buy and sell cryptocurrency.
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Cryptocurrency Derivatives Exchange.