The very first time you could hear the word “Bitcoin” was the 2008 year when Satoshi Nakamoto introduced it as a means of transferring money digitally. In 2019 we still don’t know who is Satoshi Nakamoto (and if he is a man or a group of people), but I’m sure everyone heard about his invention at least once.
Bitcoin is a cryptocurrency based on blockchain technology, which can be called simple digital money if there weren’t little differences.
The first difference from digital fiat money is that Bitcoin is decentralized. What does that mean? Bitcoin is not under one institution’s control, it is supported by a group of coders and it is run by an open network of computers from all over the world. The second difference is that the special algorithm controls the supply of the Bitcoin. The third is that there isn’t any validator to identify anyone, who are making transactions with Bitcoin. So all your actions remain anonymous. The fourth: You can not modify your Bitcoin transaction after it’s done. This happens because Bitcoin doesn’t have any central controller, who can decide to return money or do any other action after one is already done.
The process of earning Bitcoins is called mining. In the beginning, everyone with a simple computer could take part in this process, but nowadays it has grown and you’ll need special technologies to mine a Bitcoin. You can buy Bitcoin from different market places, which are called “bitcoin exchanges”. Storing your Bitcoins is easy due to “digital wallets”. It’s also easy to make transactions with Bitcoin, cause it’s the same thing as with digital fiat money. So, you can do it with special mobile apps or computers.