What is Bitcoin? Key crypto terms and what they mean

Bitcoin is a digital currency that was created in 2009 by an unknown person or group of people using the name Satoshi Nakamoto. It is a decentralized form of currency that operates on a technology called blockchain, which is essentially a digital ledger that records all transactions made with Bitcoin.

Key Crypto Terms:

Blockchain: A decentralized digital ledger that records all transactions made with a particular cryptocurrency, such as Bitcoin.

Cryptocurrency: A digital form of currency that uses encryption techniques to regulate the generation of new units and verify the transfer of funds.

Wallet: A digital or physical storage device that allows you to store, send, and receive cryptocurrencies.

Mining: The process of verifying transactions and adding them to the blockchain by solving complex mathematical problems. Miners are rewarded with newly minted Bitcoins for their efforts.

Public key/private key: A pair of cryptographic keys that are used to encrypt and decrypt transactions, ensuring security and privacy.

Decentralized: A system or network that operates without a central authority, such as a government or financial institution.

These are just a few key terms to help you better understand the world of Bitcoin and cryptocurrency. As the popularity of digital currencies continues to grow, it’s important to educate yourself on the basics to make informed decisions about buying, selling, and storing your assets.