What is Bitcoin (BTC) – A short introduction.

In short, Bitcoin is the first decentralized digital currency (or Cryptocurrency), founded by Satoshi Nakamoto (The man, the group, the legend?). It works as a worldwide payment system without the governance of a central bank or institution. Instead, transactions takes place between users directly, making it a Peer-to-peer network. Each of these transactions is verified by a network of nodes through the use of cryptography, which is a process known as Bitcoin miningThe transactions are then recorded in a public distributed ledger called The Blockchain. People can access this blockchain and see the amount of Bitcoins they have by using Bitcoin wallets.

   ->  Okay, but what does this really mean? Let’s look at the five major terms of this explanation in more detail.