Question 1
What is Bitcoin? As part of your answer include a brief history of Bitcoin and its valuation against the dollar over time?
Bitcoin is the first ever decentralized, peer-to-peer network digital currency invented by Satoshi Nakamoto - a pseudonym in 2009 (Rosenfeld, 2011). Bitcoin function with a network system that utilises nodes to connect to other computers to perform day-to-day transaction. Unattached to any third party or central bank, Bitcoin’s value depend on market demand and supply.
Every user can access their Bitcoin wallet with respective signing keys while avoiding any exposure of information about the user, this is where cryptography technology comes into play for a currency (Eskandari, Barrera, Stobert, & Clark, 2015). A cryptocurrency, namely Bitcoin, provides security to users by
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(2016). Cameron Winklevoss on Bitcoin 's Price Volatility: No Reward Without Risk. Retrieved from: http://www.nasdaq.com/article/cameron-winklevoss-on-Bitcoins-price-volatility-no-reward-without-risk-cm628534
Reese, F. (2016). Rethinking Bitcoin 's $10 Billion Market Cap. Retrieved from: http://www.coindesk.com/rethinking-Bitcoin-market-cap/
Farrell, G. (2013). FBI Snags Silk Road Boss With Own Methods. Retrieved from:http://www.bloomberg.com/news/articles/2013-10-03/fbi-snags-silk-road-boss-with-own-methods
Floyd, D. (2015). A $480 Million Mystery: The Saga of Mt. Gox. Retrieved from: http://www.nasdaq.com/article/a-480-million-mystery-the-saga-of-mt-gox-cm507054 Daniele, G., Onies, A., & Olayinka, T. (2011). Bitcoin. Decentralized, Peer-to-peer, Cryptocurrency. Retrieved from: http://cs.stanford.edu/people/eroberts/courses/cs181/projects/2010-11/DigitalCurrencies/about-2/index.html Elwell, C, K., Murphy, M, M., & Seitzinger, M, V. (2014). Bitcoin: Questions, Answers, and Analysis of Legal Issues. Retrieved from: https://www.fas.org/sgp/crs/misc/R43339.pdf
Blockchain. n. d. Blockchain info. Retrieved from:
"The Good, The Bad And The Ugly Of Bitcoin Security." Hongkiatcom RSS. N.p., n.d. Web. 22 Apr. 2014.
Goodale, Gloria. "Rise of Bitcoin: Is the digital currency a solution or a menace? (+video)." The Christian Science Monitor. The Christian Science Monitor, 23 Nov. 2013. Web. 25 Nov. 2013. .
The topic that I’m going to write about in this paper will be on the electronic currency released in 2009 known as Bitcoins. Bitcoins is a type of currency that entails computer software to be used with one person exchanging with another person for a different kind of trading option such as the US dollar, products or services. There is a fourth reason why Bitcoins can be exchanged which is done when a person is mining, that occurs when a participant acts as a mediator for transactions whereas mediator approves and documents. Bitcoins is one of the largest and first electronic currencies ever created by any developer including the makers Satoshi Nakamoto. Bitcoins doesn’t meet the characteristic guidelines to be considered an actual type of currency, though the US Treasury recognizes it as a type of decentralized currency in that no person or organization including governments oversees the transaction of Bitcoins.
Yermack, David. "Bitcoin Economics." Technology Review 117.2 (2014): 12. Academic Search Complete. Web. 2 Apr. 2014.
“The Economist Explains, How Does Bitcoin Work?” The Economist (2013): n. pag. Web. 08 Apr. 2014.
Bitcoin was first proposed by a person known only by the apparent pseudonym of "Satoshi Nakamoto" in 2008. It is an internet based digital currency along with its own payment network which uses strong cryptography to prevent users from illicitly duplicating money. Bitcoin is independent from the control of governments, corporations, or other centralized authorities. This feature tends to appeal to people to use bitcoins for trading. But, it does not enjoy the security and protection which these large bodies can provide, and hence, it becomes volatile and insecure means of trading. Bitcoin needs lots of computers to process and record transactions. This is done by Bitcoin Mining tools. Every time someone successfully "finishes" a transaction, they receive Bitcoins in return. This provides an incentive to keep the currency running.
On the other hand, there is the element of widespread profit from the market of the electronic currency. The ones who [participate...
Banking on Bitcoin acknowledges these opposing arguments throughout the film but negates them with many different rhetorical elements. The opposing argument does not stop this documentary from being effective in persuading people to use Bitcoin. Cannucciari has supplied sufficient evidence and logic along with rhetorical elements to persuade one into using Bitcoin. The concepts in this documentary support themselves and are still growing today. It would be no surprise to find that this documentary helped the growth of Bitcoin over the last
"Regulation of money supply needs to be depoliticized... especially as it applies to virtual currencies" - Al Gore
Such as the "litecoin" appearance in the market recent years, it has taken a huge impact on the price of Bitcoin. In addition, although Bitcoin attempts to avoid inflation by setting the upper limit of the quantity. The limited amount is likely to cause the price to fluctuate significantly, making it become the speculation rather than medium of exchange. (Bohme, Christin, Edelman & Moore, 2015) Also, Bitcoin may act as an illegal trading channel, affecting the normal social and economic order. As the Bitcoin is a peer-to-peer transaction, lack of third-party regulation. That may be abused in money-laundering, tax evasion, smuggling and other criminal acts, cause the economic market
BY DOUG HENWOOD What’s being touted in some circles as the future of money looks hardly more peaceful than its past. Bitcoin, a formerly obscure cybercurrency, is now all over the headlines with reports of bankruptcies, thefts and FBI lockdowns. If our fate is to buy and sell bitcoins, this instability is troubling. But despite the headlines, the triumph of Bitcoin and related cyber-currencies is a lot less likely than recent commentary suggests.
In recent times, the company Ripple and its crypto-token XRP have been spread far and wide around the monstrous void that is the internet. Via social media sites, YouTube videos, blogs, news headlines, and more XRP as almost become a household name. As a result of this widespread growth in popularity, masses of people have become obsessed with “Ripple” and want to know “how to purchase XRP” and “what the price of XRP amount to by year’s end”. With so much being said and so many people interested it is highly beneficial to inform the general public on what Ripple actually is and the precise function of XRP.
...tal part of lives just like privacy. Using cryptology provides mechanisms through a digital signature. This signature is inserted using a key (that only the writer of the email possesses) whilst a timestamp binds itself to the document. This type of cryptography is used to control access of security installations or pay-per-view television channels.
The invention of money is perhaps one of the greatest achievements of human civilization. From the very beginning of society, people have used money to circumvent the difficulties of bartering and to foster trade and commerce. Since then, money has come a long way. No longer do we need to rely on silver coins, cocoa beans, or even anything of intrinsic value to conduct our business; today, we use paper currency, which is convenient and easy to carry around. But slowly, we are moving into the digital age of money, an age in which less of our money is actually tangible and more of it is just data on a computer server.
No economic systems can regulate the production or value of the currency, the system that crypto-currencies are based upon was created by Satoshi Nakamoto - purposely creating Bitcoin which the practise of fractional reserve banking would be virtually impossible. Bitcoin is currently the most successful crypto-currency to date - created in 2009, this anonymous decentralized digital currency has been the target of several raids and hacking sprees; the media are contemplating the significance of Bitcoin in our current worlds economy. Whether it has potential of overruling fiat-currencies or if it’s just a puerile project created by the aberrant Satoshi Nakamoto. Global Perspective Since its creation in the ‘60s, the Internet has paved the way for numerous phenomenons that have affected the way that we live, the way we communicate and that have affected the worlds economy.