Bitcoin currency is the money of the Internet, the virtual currency without banknotes and coins, ie. It is completely digital currency that has the potential to become a global money.
At Bitcoin marketplace users buy virtual currency for real money and get Bitcoin equivalent. Once purchased bitcoin is then stored on a buyer computer (digital wallet), until it is used in the virtual world to buy some goods or services. Bitcoins can be sent to another person, spent in the purchase or donated. You can pay with Bitcoin at shops where they accept Bitcoin currency payment or so-called BitcoinDeals.
What makes that currency different from the use of other electronic money, such as credit card or Paypal, is that account with Bitcoin can not be frozen and these accounts can not be taxed. To perform transactions you do not have to enter your personal information such as names, addresses, etc., Because the transactions have only your ID and the amount of the transfer currency.
How to get Bitcoin?
- With the exchange of currencies (Bitcoin in exchange for dollars or euros) in the virtual exchange (eg. Mt.Gox)
- Service provision / sale and payment in Bitcoins
The advantages of such a currency are:
- Your “coin” can not be frozen (as is the case with PayPal accounts)
- Your “coin” can not be traced
- Your “coin” can not be taxed
- Transaction costs are low.
Below check infographic about Bitcoin currency stats: