What is Bitcoin?
Bitcoin is a digital currency (also known as a cryptocurrency) which was designed to be sent via the internet. It was first introduced in 2008 in a whitepaper published by an unknown person or group using the pseudonym, Satoshi Nakamoto. Bitcoin has a limited and finite supply, meaning that there will only ever be 21 million bitcoins in existence.
Who created Bitcoin?
On 31st October 2008, a pseudonymous person or group of people under the name Satoshi Nakamoto published the Bitcoin whitepaper. Titled, “Bitcoin: A Peer-to-Peer Electronic Cash System” this paper proposed a peer-to-peer network to generate what was described as “a system for electronic transactions without relying on trust”.
On 3rd January 2009, Satoshi Nakamoto mined the Genesis Block (also known as Block 0), and the Bitcoin Network was born. Embedded within the Genesis Block was the text, “The Times 03/Jan/2009 Chancellor on the brink of second bailout for banks.”
To this day, the identity of Satoshi Nakamoto remains a mystery.
How are bitcoins created?
Bitcoins are created through a process called mining. Mining is carried out by miners (real people) who use special computer software to solve mathematical problems. These people oversee the Bitcoin Network, help confirm transactions (e.g. when you send bitcoin to a friend), and are rewarded with newly minted bitcoins.
To date, more than 90% of bitcoins have been mined already. This may seem like a lot but the rate at which new bitcoins are created is designed to slow down over time until all 21 million have been mined. As things currently stand, the last bitcoin should come into circulation in 2140.
Fun fact
Before starting CoinCorner, our co-founders used to mine bitcoin.
Where can I buy bitcoin?
You can buy bitcoin at any Bitcoin exchange, like CoinCorner, by signing up for an account. Once your account is verified and you’ve funded your account with GBP or EUR, you’ll be able to buy bitcoin.
Where do I store bitcoin?
When you sign up for a CoinCorner account, you’ll be automatically given a digital wallet. This means your bitcoin is stored with CoinCorner and you can access it anytime, anywhere! But if you prefer, you can send your bitcoin to an external, or offline (cold) wallet, to custody yourself.
How do I send bitcoin?
To send bitcoin to someone, it’s common to scan a QR code with a wallet on your smartphone. The QR code will contain the bitcoin address you’re sending to, which your wallet reads and then sends the bitcoin to.
With Bitcoin, you can make payments to anyone, anywhere, anytime.
We’ve made sending bitcoin even easier to do on the CoinCorner app - available on Android and iOS.
About Bitcoin
Decentralised
Bitcoin is decentralised, which means it isn’t controlled by any authority, government or financial institution. There is no need for a “middleman” - all you need to send bitcoin is an internet connection and a wallet address. Bitcoin can be transferred directly between individuals anywhere in the world, however, since there is no intermediary involved, transactions cannot be reversed, and it is not possible to recover the funds once sent.
Simple UX
Unlike a credit card, Bitcoin has no card number, no expiration date, no name or no CVV and you don’t have to fill these details out anywhere. Instead, Bitcoin simply requires a wallet address, which is a unique identifier that allows for sending and receiving bitcoin.
Fees
Because Bitcoin is decentralised, it doesn’t rely on banks or credit card companies, so the fees are much lower than traditional payment and remittance services. This makes Bitcoin a more cost-efficient way to send funds around the world. The fee for a Bitcoin transaction typically costs much less than the fee for a credit card transaction, however the fee amount can vary based on the congestion of the Bitcoin Network and the size of the transaction.
Global currency
Bitcoin is a borderless currency that has the same value in every jurisdiction around the world. This means that your recipient will receive the same amount of bitcoin that you send e.g. 1 bitcoin = 1 bitcoin wherever you are in the world.
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