Bitcoin has been one of the most talked about commodities over the last few years. It has been a surprising rise for the original cryptocurrency, taking just ten years to become known worldwide. While the value has fluctuated over time, Bitcoin has started to settle down recently, and with more and more outlets taking it as a method of payment, it could only be a matter of time before Bitcoin becomes something that is used regularly the world over.
Where did Bitcoin come from though, and what does it have laid out for its future?
Bitcoin was created by Satoshi Nakamoto. Nakamoto published a whitepaper about Bitcoin as well as mining the very first coins. However, the identity of Nakamoto is unknown, and it is even possible that Nakamoto is a number of people who worked together, all hiding behind the same pseudonym. The reasons behind this are unknown, as most things about Nakamoto are steeped in mystery, but one theory is that because the creation of Bitcoin owes a lot to allowing personal privacy, the creator chose a pseudonym in order to retain their own personal privacy.
Bitcoin was first mined in 2009, but it was not until 2011 that it first started to gain some traction in the world. Primarily used for black market transactions initially, it slowly started to be used for more functions. Having a price of $0.30 at the start of 2011, by the end of 2013, Bitcoin had a price of $770. This growth continued as more people used Bitcoin and more businesses allowed for payments using it, and by December 2017, Bitcoin had reached a price of over $19,000.
Bitcoin itself has started to be used in a number of different ways, and although the price has not reached such high levels since, it is starting to be used in the way that it was initially intended – as an alternative to traditional currency.
One of the biggest ways that Bitcoin is used in the world is through Bitcoin trading. Because it has a reputation of being volatile, traders are attracted to the possibility of making fast money. A lot of traders see Bitcoin in a similar manner to how people see a roulette wheel: there is the chance to make big money quickly but also a chance to lose your money. The problem that traders have when approaching Bitcoin is the same as people who approach roulette. They do not do it in a sensible manner. They rush in to try to make big money fast, when in reality, playing for the long game and making slow but regular profits is the better choice.
Because Bitcoin is not a fiat currency, there are a lot more outside factors that can impact the price. This means that it is not under the control of a single government – it is decentralised. As such, factors that usually only impact one government can impact Bitcoin. Everything from Brexit to President Trump being elected can impact on the price of Bitcoin, whereas both of those would usually have only impacted on the country in which they were based.
Because Bitcoin is different from trading with usual stocks and shares, it does have some slight differences. For example, you can trade Bitcoin 24 hours a day. It does not matter what time it is – if you want to trade your Bitcoin, then you can do it. Bitcoin does not offer dividends like some stocks and shares do. This means that you are relying solely on the price increasing in order to make your profit. Trading Bitcoin is much more closely related to trading currency, which makes sense as Bitcoin is a new form of currency. Because the market is volatile and anything in worldwide politics can change the price, it can be risky to rely on trading prices to make your profits.
There are a number of different ways to trade Bitcoin, with exchanges and brokers being the usual method, but all of them hold the same risk. It is likely that as cryptocurrencies become more widely accepted, Bitcoin trading will take a backseat in terms of being how it is mainly used.
Gambling is one of the most common uses for Bitcoin. The main reason behind this is that using an e-wallet with a cryptocurrency is significantly faster and safer than using a more traditional transfer method. The blockchain allows users to keep their identity more secure and as such makes it much harder for identity theft to be carried out. This safety and speed means that players are much more likely to use Bitcoin when playing at casinos. One of the main Bitcoin casinos around is right here at Bitcasino. We were one of the first and are still the leading Bitcoin casino on the market.
Playing using Bitcoins offers a number of positives and one real negative to players. Because the price of Bitcoin is quite volatile, it does mean that the value of your account can both go up and down. This is both a positive and a negative. It could mean that your winnings can go up in value if the price of Bitcoin rises. However, it can also mean that your winnings can go down in value if the price goes down. This means that sometimes, it might be better to wait before converting what you have won into a more traditional currency.
As more and more casinos offer e-wallets to players in order to fund their accounts, the popularity of Bitcoin is growing. The use of Bitcoin in gambling has been one of the main reasons why Bitcoin has grown so quickly.
Bitcoin was developed in order to circumvent government influence. It was intended to be a decentralised currency that would be safe from the machinations of rich corporations that did not have the interests of the people at heart. Bitcoin has managed to keep itself out of the hands of governments so far, but in the future, this may change.
As Bitcoin is a relatively new concept, the regulations for it struggle to keep up with the technological advancements. This means that governments cannot control it in the way that they control other currencies. However, as Bitcoin ages, this could change. Already in Venezuela, the government attempted to introduce its own cryptocurrency in order to try to combat issues that it is having. While the attempt has not been successful so far, this does not mean that it will always remain unsuccessful or that other governments may try it themselves.
If governments bring in their own cryptocurrencies, then it could lead to a change in how Bitcoin is used. If it becomes an intermediary between other currencies, then it may end up being more centralised than originally intended. This is all speculation, however – the only thing that is definite is that governments do not like the idea of a decentralised currency.
Bitcoin is continuing to develop at a very fast rate. The future of Bitcoin is very bright right now. With more businesses and traders adopting the use of Bitcoin to pay for goods and services, it is finally gaining traction in the manner that was originally intended. In addition to this, there are also more Bitcoin ATMs arriving around the world by the day. This means that the ease with which consumers can use Bitcoin continues to increase.
Of course, there are also further technological advancements that may make using Bitcoin even easier for consumers. As virtual reality becomes superior, Bitcoin could end up having a large part to play with virtual reality shopping. There are a wide range of different possibilities. Bitcoin could also be linked to future government-backed cryptocurrencies. This would allow for Bitcoin to be the standard bearer that all other cryptocurrencies attempt to aim for.
The development of Bitcoin has come a long way in the last ten years. It is only likely to continue on an upward trajectory at this current moment in time. This is especially likely because the technology that Bitcoin is built on continues to improve year upon year.
When it comes to playing at a Bitcoin casino, there is really only one choice. Bitcasino have been the frontrunners and standard bearers for a long time. We are the leading Bitcoin casino on the market, and no matter what games you enjoy playing, we provide the best experience.
Our range of games is unmatched by any other Bitcoin casino. Whether you like playing baccarat, blackjack or video slots, we have got a wide variety on offer. No player leaves Bitcasino without having found the perfect game for them. If you enjoy playing casino games online and want to be on board with the Bitcoin revolution at the same time, then a trip to Bitcasino is the only real choice to make.
Words: Sean McNulty
Images: Shutterstock & Bitcasino