Internet have brought us a new world of opportunities, where people can realise themselves in the fields that had not been available in the past. Moreover, we can even say that the life is going online. Nevertheless, one of the biggest places that internet has changed capitally is business. It is relevant to the whole fact, but not only for the some branches. Can we imagine and realise today any successful deal avoiding working online? It is impossible. Today even dating services in most cases are serving their clients online. Draughts that are going to be realized into the planes, ships and automobiles are creating on the computers and using digital tools. This is a logical result of the development of mankind. Moreover, it is not bad. Added value that technologies are giving to the goods stimulate further development and implementing them to ordinary life.
The most popular and most important phenomenon of the resent years we can mention a cryptocurrency. The number of news about it and the growing interest from the side of the investors and programmers. In last years, somebody have begun to see in it the Bitcoin the solution of the world economy struggles and the innovation that would bring humanity on the new level of the development. However, in previous half of a year the prices of the cryptocurrencies have stopped to rise and in some case even have fallen a lot. In addition, there have appeared doubts about this phenomenon. More and more conversation about that cryptocurrency is a big affair, conspiracy theories and distrust have been circulating in the minds of the society. However, what really bitcoins value now can say us about it? Is bitcoins falling a symptom of the following crisis? The answers will shed a light on the truth in this situation. Will the price be high or we will bring bitcoins for gift cards?
The first point is to explain in terms – what is Bitcoin? Bitcoin – cryptocurrency introduced in 2009 by a person (or a group of people) with the pseudonym Satoshi Nakamoto. The name also refers to using its open source software and the peer-to-peer network it creates. Bitcoins can be saved on a personal computer in the form of a wallet file or held in an external third party service, which stores such wallets. In each of these cases, bitcoins can be sent to another person via the Internet to any owner of the bitcoin address. Each bitcoin is divided into 100,000,000 smaller units, called satoshi. The technology on which Bitcoin is built called a Blockchain.
Bitcoin is based on the transfer of amounts between public accounts using public key cryptography. All transactions are public and stored in a distributed database. In order to prevent double publishing, the network implements a kind of distributed timeserver, using the concept of chain-based mathematical proof of performed actions (proof of work, abbreviated PoW).
Bitcoin therefore uses one of the most progressive development of the computer science of the resent years. However, it is not ideal and it influence on the further fate of it. If to look onto the bitcoins history chart, we going to see that the fast increasing have been stopped, when the number of transactions have beaten the mark of more than one million. Why has it happened?
Distributed ledger technology that bitcoin is using, or more clarify to say its variant Blockchain, does not allow of increasing the size of the every coin more than 1 megabyte. It done because of thoughts of security. The bigger size will make the risks of being hacked higher. Moreover, if to take into consideration that loosing control on your chain of blocks you risk losing all of your money, limits pretends to be a rational choice of developers. Bitcoins login should be safe in any case. There is also one limit. The maximum number of the coins that can be created. It is done to hold the price of Bitcoin constantly on the high level.
To sum up, the structure of the Bitcoin does not allow it to growth in the tempo of the previous 3 years. Developers are looking for the solution of the problem trying to not lower the security of the personal information. One of the ways is the forks of the Bitcoin. And currently it is working – just find bitcoins news update and you are going to see that Bitcoin Cash and Litecoin have strength positions on the market. However, it does not solve the problem for the usual Bitcoin. Bitcoins generator that will be safe is a dream of every investor. Forks is a time decision.
The price of the Bitcoin is not a constant fact. It can change in any moment. The only thing that we can know about it is that it will not boost in near future.