Bitcoin is the first ever cryptocurrency or digital currency invented in the year 2008 and published as an open source in the year 2009, by using alias Satoshi Nakamoto. Bitcoin uses SHA-256 as its hash function. Bitcoin involves in fast transactions and less transaction fees. Bitcoin works on blockchain technology, blockchain has set of blocks which are hashed blocks of transaction. There are many cryptocurrencies like Ripple, Monero, Litecoin, Dogecoin, Ethereum, Bitcoin Cash and many more, there are about 1639 cryptocurrencies. Though there are many cryptocurrencies bitcoin stands first among them leaving others behind, usually the position is determined by the market cap value of each.

The blockchain has the whole information regarding different bitcoin user addresses and their balances right from the genesis block to the most recently completed block. The transactions between users are direct without any involvement of third party or any central authority.

Blockchain is a digital and decentralized ledger account that is used to record or store all the transactions of cryptocurrency. The Blockchain technology plays a key role in the cryptocurrency system. The blockchain database is shared by all nodes participating in a system based on the bitcoin protocol.

Blockchain technology not even has any single point of failure. The blockchain technology is like a full history of any financial institution transactions and each block is like an individual bank statement to make use of conventional banking as analogy.

Blockchains are further divided into three namely public, private and consortium blockchain. Blockchain is the platform for digital assets leading all over the world. Blockchain technology has built-in robustness.

There are many advantages of the bitcoin, as the advantages are present we can even expect the presence of disadvantages too. Now a days bitcoin is vastly being used in online gambling and trading.

Courtesy of: Bitcoinfy