Skip to main content

Cryptocurrency: Unraveling the Mystery behind Bitcoin

Photo Source: twitter.com
Bitcoin is a type of cryptocurrency that was created by anonymous people dubbed as Satoshi Nakamoto in 2009. It was created just after the housing market crush to facilitate instant payments. The cryptocurrency was the first one of its type to successfully keep record of transactions on a secure decentralized blockchain technology. 
The ‘blockchain’ technology is a shared database of transactions whose records are confirmed and encrypted.  ‘Miners’ are the ones who secure transactions through high-powered computers to verify them. Bitcoin software is freely available online. Transactions involving bitcoin doesn’t involve middlemen or banks.
There are no bitcoins that exist physically, but are kept in the form of balances on a public ledger that is accessible to everybody with the interest of accessing it. 
Bitcoin can be bought or sold using different currencies. There are various currency exchanges where clients can swap cash for bitcoin. Some of the exchanges include Coinbase, Bitstamp and Gemini. Applications such as BitPay allow users to convert bitcoin funds in a digital wallet to pay for goods and services based on traditional monies used by retailers.
People are able to transfer bitcoins to each other through computers and apps on mobile phones. The procedure is the same as the one of sending cash digitally.
Bitcoins can be created through the process of ‘mining.’ The procedure includes solving complex mathematics puzzle.
The cryptocurrency is stored in a ‘digital wallet’ which is either hosted over the cloud or on a computer. The wallet acts as a ‘virtual bank account’ that enables users to send and receive bitcoins. The user is also able to purchase goods and services or save the funds for future use.
The complexity of bitcoin transactions is that it doesn’t reveal the identities of the buyers and sellers. However, the transactions are recorded in a public log which only reveals the wallet IDs.

Comments

Popular posts from this blog

How Human Noise Kills Marine Species, as revealed by Scientists

Scientists have warned that the discord of noise made by humans is harming marine species .  A comprehensive assessment revealed that large noise from human activities was as harmful as pollution, overfishing and climate change .  The study that was conducted by the Journal Science exposed how marine animals can hear from far distances than they can see or smell. According to a report published in the Guardian, most of the marine life uses sound to catch prey as well as attracting a mating partner.  Prof Carlos Duarte of King Abdullah University in Saudi Arabia argued that: “Marine animal can only sea up to around 10 meters, smell up to around a hundred meters, but they can hear across the entire ocean basins.” The research concluded that sound “is very important in the marine ecosystems, and noise is pervasive, affecting animals at all levels .” The increasing cacophony in the marine habitat is interfering with how marine animals respond to various survival...

Why Ruto will heavily rely on Mudavadi, Joho in his reelection bid

 When Kenya president William Ruto was almost overwhelmed with gen z revolt, his landmark decision was to dismiss the entire cabinet. This occurred immediately after his refusal to sign the Finance Bill 2024/2025. Ruto endeavored to reconstitute a new cabinet, dubbed broad-based executive. He incorporated key opposition figures drawn from the ODM Party - a move that appeased the doyen of opposition Raila Amollo Odinga. Cabinet Secretaries drawn from ODM included: Hassan Ali Joho, Wycliffe Ambetsa Oparanya, John Mbadi Ng'onga and James Opiyo Wandayi. ODM is as good as dead, and Raila's age factor limits him from flying the Party's presidential flag again and has opted out by contesting as Africa Union Commission (AUC) chairman. President Ruto will heavily rely on two members of his cabinet in his reelection bid. Both Musalia Mudavadi and Hassan Ali Joho are billionaires going by their own assertion while appearing before the Parliamentary Committee on Appointments. President...

Kenya’s Quest for New Chief Justice: Unraveling Maraga’s Successor

The Judicial service Commission (JSC) began the process of seeking Kenya’s new Chief Justice (CJ) and President of the Supreme Court, on Monday April 12, 2021. 13 individuals applied for the CJ position, but after a thorough scrutiny 3 were dropped.  The process began after the clearance of ten candidates wishing to succeed former Chief Justice David Kenani Maraga. Among those cleared for interviews were: Justice Said Chitembwe, Prof Patricia Mbote, Justice Martha Koome, Justice David Marete Njagi, former DPP Philip Murgor, Justice Mathew Nduma Nderi, Senior Counsel Fred Ngatia, Justice William Ouko, Prof Moni Wekesa, and Alice Yano. JSC interviewing panel The interview panel was cast out of a nine-member bench drawn from JSC which includes: Prof Olive Mugenda (public representative/ JSC chairperson), Philomena Mwilu (acting Chief Justice), Agnes Amadi (Chief registrar of judiciary), Justice David Majanja (JSC commissioner), Justice Mohammed Warsame (JSC commissioner), ...