BITCOIN- The New Money

By Olamide Babatunde

Bitcoin also known as cryptocurrency is a new currency that was created in 2009 by an unknown person using the alias Satoshi Nakamoto.It has become the new digital mode of payment where
transactions are made without going to the bank! There are no transaction fees and no need to give your real name. More merchants are beginning to accept them as people can send bitcoins to each other using mobile apps or their computers. It’s similar to sending cash digitally you can buy just about anything with it.
In addition, international payments are easy and cheap because bitcoins are not tied to any country or subject to regulation. Small businesses may like them because there are no credit card fees. Some
people just buy bitcoins as an investment, hoping that they’ll go up in value c Governments and Banking institutions are however worried about this new trend because it cannot be controlled and may lead to tax evasion, also it is capable of disrupting banking systems or render it obsolete Though each bitcoin transaction is recorded in a public log, names of buyers or sellers are never revealed – only their wallet IDs. While that keeps bitcoin users’ transactions private, it also lets them buy or sell anything without easily tracing it back to them. That’s why it has become the currency of choice for people online buying drugs or other illicit activities.
One of the most popular and straightforward ways to buy bitcoin is to go through a regulated online exchange and wallets. This method is rapidly growing and more and more businesses are entering the market to cater to this escalating demand. There are a few fully developed exchanges, which sell bitcoin for cash, other digital currencies and bank account or international wire transfers. Other exchanges are less involved, and simplify the process with just a couple of payment methods.

Buying bitcoin through an exchange is often the best route for those less interested in privacy. This is often because exchanges require proof of address and identification in order to comply with the
required regulation around money laundering and KYC (know your customer).

Bitcoin exchanges are located worldwide, and some of the largest exchanges operate in Japan, Bulgaria and the United States. The world’s largest exchange, BTC China, is a Chinese-based exchange that allows bitcoin to be purchased with Chinese Yuan. But regardless of the exchange that you choose to register with, users will be required to link an existing bank account in order to use it.

Below is a list of the top bitcoin exchanges currently operating:

• ANXBTC

• Kraken

• Localbitcoins
Bitcoin ATMs are already popping up in major cities and towns across the world. To purchase bitcoin through an ATM, the user inserts their bank cards into what looks like a traditional ATM, but instead ofreceiving cash the user receives a receipt with a printed bitcoin QR
code – scanning the code loads the appropriate amount of bitcoin into
the user’s wallet.

The big question though is whether it will survive or crash no one
knows what will become of bitcoin.

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