the future of bitcoin and its beginnings

Many specialists in economics and fans of Bitcoin and cryptocurrencies are constantly reviewing and predicting about the future of bitcoin. These opinions are published in social networks and media specialized in crypto news such as Cointelegraph, among others.

  For some detractor currents “There is a very high risk of the collapse of bitcoin that, according to many economists, has a real value of zero. Bitcoin is now a drifting mine and almost all financial regulators warn against it »(December 2017). [134] As it is a system lacking any support, neither from governments nor from an economic or financial entity In the face of this eventuality, their owners will find themselves defenseless.

  If bitcoin and other virtual currencies are a fiasco, will they accept their personal and non-transferable responsibility and will pay the costs due or, on the contrary, will ask for repairs, claim compensation and blame governments and regulators for an eventual failure? Because speculation often feeds on the excuse «No one prevented me» as an exculpatory clearance. The reverse of this fallacy is the natural tendency of the regulation to ignore the potential risks and go with the tongue out to stifle the damage when they have already occurred.

  The Country, Bubble Threat, 11/26/2017
  Bitcoin, at the end of 2017, exceeds and multiplies the thresholds that some experts in the currents of the traditional economy use to detect financial bubbles and collapse situations: speculative overvaluation and volatility. Other factors that are difficult to assess and that may condition or impede the viability of bitcoin would be the following, all of them in the midst of a major debt crisis and fiat monetary mass.

The government considers that digital currencies, when legitimately used, offer an alternative and innovative payment option, which competes with existing payment models and has particularly clear short-term advantages for micropayments, remittances abroad and cross-border trade in general. , a wide range of respondents concluded that digital currencies represent an innovation in payment technology with a promising future. Some respondents said that its importance was analogous to that of the Internet.

  The government recognizes that the technology associated with digital currencies offers considerable potential, allowing users to transfer value (or other information) quickly, efficiently and safely, providing a permanent record of what happened and without the need for a reliable third party supervise the process

  With respect to the security of transactions made with digital currencies, the presentations highlighted the use of cryptographic algorithms as a way to transfer funds securely through the Internet and avoid the possibility of false payments or double spending of digital monetary units .

  The presentations suggested a variety of possible applications for this technology beyond retail payment services. […] They described several other examples of technology use, including decentralized data storage solutions (using blockchain technology to store files securely and efficiently)

  Government of the United Kingdom (March 2015). «Digital currencies». www.gov.uk/government/publications. Retrieved on December 29, 2017.

  ↑ A user will never reveal his private key to anyone. Since it is mathematically impracticable to obtain the private key associated with a Bitcoin address, only the person who knows its associated private key can have access to the bitcoins of that address. In this way, cryptography provides strong ownership control, similar to who protects your money safely so that it is not stolen.
  ↑ Generally, central banks increase the monetary base of national currencies to intentionally generate inflation above zero [58] in compliance with their mandate. This fact obliges its owners to lend this money to third parties in exchange for an interest, either through bank deposits or other financial assets, so as not to lose purchasing power. On the contrary, the proportion in which the monetary base of bitcoins increases is predictable and close to zero in the long term, which are generally necessary conditions to be able to maintain purchasing power [59] without having to lend the asset to third parties or depend on Deposit financial institutions.
  ↑ In software, the name «client» is due to the fact that it acts, precisely, as a client requesting services from other applications called servers, which take care of your orders. The programs that run on each of the interconnected nodes that make up the Bitcoin network act as servers, processing, validating and storing the transactions initiated by the client’s programs. Bitcoin Core software is a particular case, since it behaves simultaneously as a client and server.

Bitcoin crypto currency leader

Bitcoin is characterized by being decentralized, that is, it is not backed by any government or central bank. It uses a proof of work system to avoid double spending (that the same bitcoin is used several times) and reach a consensus among all the nodes that make up the network by exchanging information about an unreliable and potentially compromised network (resolves the problem of the Byzantine generals). Transactions do not need intermediaries and the protocol is open source.

Bitcoin technology, commonly called blockchain, can facilitate decentralized process management. Micropayment processing through Lightning or the timestamp through OpenTimestamps are relevant Bitcoin applications to solve problems in various business fields.

The character of Bitcoin is highly speculative, deregulated, so it escapes any control outside the Bitcoin system itself, with its future in question (December 2017).

Some economists attribute a zero value, with signs of exceeding the thresholds that would lead to collapse, although these opinions generally do not correspond to technology experts. However, if the approach of these economists were correct, since it was not supported by any tangible good, government, financial or economic entity, and if the technology did not support it, its owners would be defenseless against the price drop.

Since the 1970s, the use of digital signatures based on public key cryptography has provided strong ownership control. Note Based on public key cryptography, in 1998 Wei Dai describes b-Money, a decentralized solution to the problem of electronic payments. Subsequently, Nick Szabo and Hal Finney extend and complement the work of Wei Dai.

In 2008, Satoshi Nakamoto published an article in the cryptographic list of metzdowd.com that describes the Bitcoin protocol.

On January 3, 2009, the Bitcoin P2P network becomes operational with the publication of the first client program, open source and the creation of the first bitcoines. Until the invention of Bitcoin, it was mandatory that all payments in electronic commerce be channeled through centralized trusted entities, usually banks and other financial companies, which managed to track all transactions.

Tradesl is a profession

Trade (in Spanish, stock trading) is a profession that involves the study of markets through technical analysis and fundamental analysis to invest in different financial instruments with the objective of making a profit. Trade is mainly based on technical analysis, fundamental analysis and the application of a specific strategy to operate.

People who practice the business profession are known as merchants (or, alternatively, operators or negotiators on their own), who can work independently, in an investment fund, in a bank or in another financial entity. Traders are classified into day traders, scalpers, swing traders and position traders according to the duration of their operations. The opposite of a trader is an investor, which operates by nature in the long term. A trader can act as an intermediary agent, speculator, arbitrator or coverage operator, with the objective of obtaining a benefit. They can also be private traders and manage their own capital, manage third-party capital as money managers.