What is Bitcoin?

Bitcoin is a decentralized digital currency that was created in 2009 by an unknown person or group of people using the name Satoshi Nakamoto. It operates on a technology called blockchain, which is a public ledger that records all bitcoin transactions.

Key Crypto Terms and What They Mean

• Cryptocurrency: A type of digital or virtual currency that uses cryptography for security. Bitcoin is the most well-known cryptocurrency.
• Blockchain: A decentralized, distributed ledger that records all transactions across a network of computers. It is the technology that underpins cryptocurrencies like Bitcoin.
• Wallet: A digital wallet that allows users to store, send, and receive cryptocurrencies. It contains private and public keys that enable transactions.
• Mining: The process of verifying transactions on the blockchain by solving complex mathematical problems. Miners are rewarded with new bitcoins for their efforts.
• Exchange: A platform where users can buy, sell, and trade cryptocurrencies. Some popular exchanges include Coinbase, Binance, and Kraken.
• Altcoin: Any cryptocurrency other than Bitcoin. Examples include Ethereum, Ripple, and Litecoin.
• HODL: A term derived from a misspelling of “hold.” It refers to the act of holding onto your cryptocurrencies instead of selling them, even when the price is dropping.