0_Wizard
Have you ever bought Bitcoin? It's a cryptocurrency and worldwide payment system.
Bitcoin is a cryptocurrency and worldwide payment system.
chosen_Bitcoin_0
Bitcoin
chosen_topic_0_Bitcoin
Bitcoin
Bitcoin is a cryptocurrency and worldwide payment system. It is the first decentralized digital currency, as the system works without a central bank or single administrator. The network is peer-to-peer and transactions take place between users directly, without an intermediary. These transactions are verified by network nodes through the use of cryptography and recorded in a public distributed ledger called a blockchain. Bitcoin was invented by an unknown person or group of people under the name Satoshi Nakamoto and released as open-source software in 2009. Bitcoins are created as a reward for a process known as mining.
History of bitcoin
Bitcoin is a cryptocurrency, a digital asset designed to work as a medium of exchange that uses cryptography to control its creation and management, rather than relying on central authorities. The presumed pseudonymous Satoshi Nakamoto integrated many existing ideas from the cypherpunk community when creating bitcoin. Over the course of bitcoin's history, it has undergone rapid growth to become a significant currency both on and offline - from the mid 2010s onward, some businesses on a global scale began accepting bitcoins in addition to standard currencies. Prior to the release of bitcoin there were a number of digital cash technologies starting with the issuer based ecash protocols of David Chaum and Stefan Brands.
Cryptocurrency
A cryptocurrency (or crypto currency) is a digital asset designed to work as a medium of exchange that uses cryptography to secure its transactions, to control the creation of additional units, and to verify the transfer of assets. Cryptocurrencies are classified as a subset of digital currencies and are also classified as a subset of alternative currencies and virtual currencies. Cryptocurrencies use decentralized control as opposed to centralized electronic money and central banking systems. The decentralized control of each cryptocurrency works through a blockchain, which is a public transaction database, functioning as a distributed ledger.
Economics of bitcoin
Bitcoin is a digital asset designed by its inventor, Satoshi Nakamoto, to work as a currency. Bitcoin is a digital asset designed by its inventor, Satoshi Nakamoto, to work as a currency. It is commonly referred to with terms like: digital currency, digital cash, virtual currency, electronic currency, digital gold, or cryptocurrency. The question whether bitcoin is a currency or not is still disputed. Bitcoins have three useful qualities in a currency, according to "The Economist" in January 2015: they are "hard to earn, limited in supply and easy to verify". Economists define money as a store of value, a medium of exchange, and a unit of account and agree that bitcoin has some way to go to meet all these criteria.
Blockchain
A blockchain, originally block chain, is a continuously growing list of records, called "blocks", which are linked and secured using cryptography. Each block typically contains a cryptographic hash of the previous block, a timestamp and transaction data. By design, a blockchain is inherently resistant to modification of the data. It is "an open, distributed ledger that can record transactions between two parties efficiently and in a verifiable and permanent way". For use as a distributed ledger, a blockchain is typically managed by a peer-to-peer network collectively adhering to a protocol for validating new blocks.
Bitcoin network
The bitcoin network is a peer-to-peer payment network that operates on a cryptographic protocol. Users send and receive bitcoins, the units of currency, by broadcasting digitally signed messages to the network using bitcoin cryptocurrency wallet software. Transactions are recorded into a distributed, replicated public database known as the blockchain, with consensus achieved by a proof-of-work system called "mining". Satoshi Nakamoto, the designer of bitcoin claimed that design and coding of bitcoin begun in 2007. The project was released in 2009 as open source software. The network requires minimal structure to share transactions.
Virtual currency law in the United States
United States virtual currency law is the area of financial regulation that applies to the buyers, sellers, and users of virtual currency. This regulatory structure consist of tax regulations and FINCEN transparency regulations between financial exchanges and the individuals and corporations with whom they conduct business. The Internal Revenue Service (I.R.S) describes Virtual Currencies (VC)s as “a digital representation of value that functions as a medium of exchange, a unit of account, and/or a store of value [and] does not have legal tender status in any jurisdiction.” Although, electronic payment systems have been part of American life since at least 1871 when Western Union “introduced money transfer” through the telegraph and in 1914 “introduced the first consumer charge-card," virtual currencies differ from these digital payment structures because unlike traditional digital transfers of value, virtual currencies do not represent a claim on value; rather the virtual currency are the value.
1_Apprentice
I have and lost money!  I obviously did not know what I was doing.
0_Wizard
Yeah, all of mine are down right now too. It's a decentralized digital currency with no central bank, so it's very volatile! 
It is the first decentralized digital currency, as the system works without a central bank or single administrator.
chosen_Bitcoin_0
Bitcoin
chosen_topic_0_Bitcoin
Digital currency
Digital currency (digital money or electronic money or electronic currency) is a type of currency available only in digital form, not in physical (such as banknotes and coins). It exhibits properties similar to physical currencies, but allows for instantaneous transactions and borderless transfer-of-ownership. Examples include virtual currencies and cryptocurrencies or even central bank issued "digital base money". Like traditional money, these currencies may be used to buy physical goods and services, but may also be restricted to certain communities such as for use inside an on-line game or social network.
Virtual currency
Virtual currency, also known as virtual money, is a type of unregulated, digital money, which is issued and usually controlled by its developers (Bitcoin is an exception), and used and accepted among the members of a specific virtual community. The Financial Crimes Enforcement Network (FinCEN), a bureau of the US Treasury, defined virtual currency in its guidance published in 2013. In 2014, the European Banking Authority defined virtual currency as "a digital representation of value that is neither issued by a central bank or a public authority, nor necessarily attached to a fiat currency, but is accepted by natural or legal persons as a means of payment and can be transferred, stored or traded electronically".
Bitcoin
Bitcoin is a cryptocurrency and worldwide payment system. It is the first decentralized digital currency, as the system works without a central bank or single administrator. The network is peer-to-peer and transactions take place between users directly, without an intermediary. These transactions are verified by network nodes through the use of cryptography and recorded in a public distributed ledger called a blockchain. Bitcoin was invented by an unknown person or group of people under the name Satoshi Nakamoto and released as open-source software in 2009. Bitcoins are created as a reward for a process known as mining.
Ripple (payment protocol)
Ripple is a real-time gross settlement system (RTGS), currency exchange and remittance network by Ripple. Also called the Ripple Transaction Protocol (RTXP) or Ripple protocol, it is built upon a distributed open source Internet protocol, consensus ledger and native cryptocurrency called XRP (ripples). Released in 2012, Ripple purports to enable "secure, instantly and nearly free global financial transactions of any size with no chargebacks." It supports tokens representing fiat currency, cryptocurrency, commodity or any other unit of value such as frequent flier miles or mobile minutes. At its core, Ripple is based around a shared, public database or ledger, which uses a consensus process that allows for payments, exchanges and remittance in a distributed process.
Central Bank Digital Currency
Central bank digital currency (CBDC) (also called "Digital Fiat Currency" or "digital base money") is the digital form of fiat money which is a currency established as money by government regulation or law. Central bank digital currency is different from "digital currency" (or virtual currency and cryptocurrency), which are not issued by the state and lack the legal tender status declared by the government. As such, public digital currencies could compete with commercial bank deposits and challenge the status quo of the current fractional reserve banking system. The Bank of England was one of the first to initiate a global discussion on the prospects for the introduction of a CBDC.
History of bitcoin
Bitcoin is a cryptocurrency, a digital asset designed to work as a medium of exchange that uses cryptography to control its creation and management, rather than relying on central authorities. The presumed pseudonymous Satoshi Nakamoto integrated many existing ideas from the cypherpunk community when creating bitcoin. Over the course of bitcoin's history, it has undergone rapid growth to become a significant currency both on and offline - from the mid 2010s onward, some businesses on a global scale began accepting bitcoins in addition to standard currencies. Prior to the release of bitcoin there were a number of digital cash technologies starting with the issuer based ecash protocols of David Chaum and Stefan Brands.
Digital gold currency
Digital gold currency (or DGC) is a form of electronic money (or digital currency) based on mass units of gold. It is a kind of representative money, like a US paper gold certificate at the time (from 1873 to 1933) that these were exchangeable for gold on demand. The typical unit of account for such currency is linked to grams or troy ounces of gold, although other units such as the gold dinar are sometimes used. DGCs are backed by gold through unallocated or allocated gold storage. Digital gold currencies are issued by a number of companies, each of which provides a system that enables users to pay each other in units that hold the same value as gold bullion.
1_Apprentice
Is it backed by any actual items of value or is it just theoretical?
0_Wizard
It's basically theoretical, but you can use bitcoin to pay for other crypto currencies, services and products. More and more vendors are accepting bitcoin everyday!
They can be exchanged for other currencies, products, and services.
chosen_Bitcoin_0
Bitcoin
chosen_topic_0_Bitcoin
Bitcoin
Bitcoin is a cryptocurrency and worldwide payment system. It is the first decentralized digital currency, as the system works without a central bank or single administrator. The network is peer-to-peer and transactions take place between users directly, without an intermediary. These transactions are verified by network nodes through the use of cryptography and recorded in a public distributed ledger called a blockchain. Bitcoin was invented by an unknown person or group of people under the name Satoshi Nakamoto and released as open-source software in 2009. Bitcoins are created as a reward for a process known as mining.
History of bitcoin
Bitcoin is a cryptocurrency, a digital asset designed to work as a medium of exchange that uses cryptography to control its creation and management, rather than relying on central authorities. The presumed pseudonymous Satoshi Nakamoto integrated many existing ideas from the cypherpunk community when creating bitcoin. Over the course of bitcoin's history, it has undergone rapid growth to become a significant currency both on and offline - from the mid 2010s onward, some businesses on a global scale began accepting bitcoins in addition to standard currencies. Prior to the release of bitcoin there were a number of digital cash technologies starting with the issuer based ecash protocols of David Chaum and Stefan Brands.
Virtual currency law in the United States
United States virtual currency law is the area of financial regulation that applies to the buyers, sellers, and users of virtual currency. This regulatory structure consist of tax regulations and FINCEN transparency regulations between financial exchanges and the individuals and corporations with whom they conduct business. The Internal Revenue Service (I.R.S) describes Virtual Currencies (VC)s as “a digital representation of value that functions as a medium of exchange, a unit of account, and/or a store of value [and] does not have legal tender status in any jurisdiction.” Although, electronic payment systems have been part of American life since at least 1871 when Western Union “introduced money transfer” through the telegraph and in 1914 “introduced the first consumer charge-card," virtual currencies differ from these digital payment structures because unlike traditional digital transfers of value, virtual currencies do not represent a claim on value; rather the virtual currency are the value.
Economics of bitcoin
Bitcoin is a digital asset designed by its inventor, Satoshi Nakamoto, to work as a currency. Bitcoin is a digital asset designed by its inventor, Satoshi Nakamoto, to work as a currency. It is commonly referred to with terms like: digital currency, digital cash, virtual currency, electronic currency, digital gold, or cryptocurrency. The question whether bitcoin is a currency or not is still disputed. Bitcoins have three useful qualities in a currency, according to "The Economist" in January 2015: they are "hard to earn, limited in supply and easy to verify". Economists define money as a store of value, a medium of exchange, and a unit of account and agree that bitcoin has some way to go to meet all these criteria.
BitPay
BitPay is a global bitcoin payment service provider headquartered in Atlanta, Georgia, United States. It was founded in May 2011 by Tony Gallippi and Stephen Pair. BitPay provides bitcoin payment processing services for merchants, and is one of the largest bitcoin payment processors. In 2014, BitPay started processing US$1 million daily. In 2014, BitPay announced partnerships with merchants including Microsoft, NewEgg, TigerDirect, and Warner Bros. Records. In the same year, BitPay also partnered with payment systems operator PayPal as well as merchant acquirers such as Global Payments and Alternet Systems.
Ripple (payment protocol)
Ripple is a real-time gross settlement system (RTGS), currency exchange and remittance network by Ripple. Also called the Ripple Transaction Protocol (RTXP) or Ripple protocol, it is built upon a distributed open source Internet protocol, consensus ledger and native cryptocurrency called XRP (ripples). Released in 2012, Ripple purports to enable "secure, instantly and nearly free global financial transactions of any size with no chargebacks." It supports tokens representing fiat currency, cryptocurrency, commodity or any other unit of value such as frequent flier miles or mobile minutes. At its core, Ripple is based around a shared, public database or ledger, which uses a consensus process that allows for payments, exchanges and remittance in a distributed process.
Cryptocurrency
A cryptocurrency (or crypto currency) is a digital asset designed to work as a medium of exchange that uses cryptography to secure its transactions, to control the creation of additional units, and to verify the transfer of assets. Cryptocurrencies are classified as a subset of digital currencies and are also classified as a subset of alternative currencies and virtual currencies. Cryptocurrencies use decentralized control as opposed to centralized electronic money and central banking systems. The decentralized control of each cryptocurrency works through a blockchain, which is a public transaction database, functioning as a distributed ledger.
1_Apprentice
What types of vendors are accepting bitcoin?
0_Wizard
As of February 2015, 100,000 merchants were accepting bitcoin and I'm sure the number is much higher now! I've seen hotels, car dealerships and even small businesses that accept bitcoin as a currency.
As of February 2015, over 100,000 merchants and vendors accepted bitcoin as payment.
chosen_Bitcoin_0
Economics of bitcoin
self_3_Economics_of_bitcoin
History of bitcoin
Bitcoin is a cryptocurrency, a digital asset designed to work as a medium of exchange that uses cryptography to control its creation and management, rather than relying on central authorities. The presumed pseudonymous Satoshi Nakamoto integrated many existing ideas from the cypherpunk community when creating bitcoin. Over the course of bitcoin's history, it has undergone rapid growth to become a significant currency both on and offline - from the mid 2010s onward, some businesses on a global scale began accepting bitcoins in addition to standard currencies. Prior to the release of bitcoin there were a number of digital cash technologies starting with the issuer based ecash protocols of David Chaum and Stefan Brands.
BitPay
BitPay is a global bitcoin payment service provider headquartered in Atlanta, Georgia, United States. It was founded in May 2011 by Tony Gallippi and Stephen Pair. BitPay provides bitcoin payment processing services for merchants, and is one of the largest bitcoin payment processors. In 2014, BitPay started processing US$1 million daily. In 2014, BitPay announced partnerships with merchants including Microsoft, NewEgg, TigerDirect, and Warner Bros. Records. In the same year, BitPay also partnered with payment systems operator PayPal as well as merchant acquirers such as Global Payments and Alternet Systems.
Bitcoin
Bitcoin is a cryptocurrency and worldwide payment system. It is the first decentralized digital currency, as the system works without a central bank or single administrator. The network is peer-to-peer and transactions take place between users directly, without an intermediary. These transactions are verified by network nodes through the use of cryptography and recorded in a public distributed ledger called a blockchain. Bitcoin was invented by an unknown person or group of people under the name Satoshi Nakamoto and released as open-source software in 2009. Bitcoins are created as a reward for a process known as mining.
Economics of bitcoin
Bitcoin is a digital asset designed by its inventor, Satoshi Nakamoto, to work as a currency. Bitcoin is a digital asset designed by its inventor, Satoshi Nakamoto, to work as a currency. It is commonly referred to with terms like: digital currency, digital cash, virtual currency, electronic currency, digital gold, or cryptocurrency. The question whether bitcoin is a currency or not is still disputed. Bitcoins have three useful qualities in a currency, according to "The Economist" in January 2015: they are "hard to earn, limited in supply and easy to verify". Economists define money as a store of value, a medium of exchange, and a unit of account and agree that bitcoin has some way to go to meet all these criteria.
Virtual currency law in the United States
United States virtual currency law is the area of financial regulation that applies to the buyers, sellers, and users of virtual currency. This regulatory structure consist of tax regulations and FINCEN transparency regulations between financial exchanges and the individuals and corporations with whom they conduct business. The Internal Revenue Service (I.R.S) describes Virtual Currencies (VC)s as “a digital representation of value that functions as a medium of exchange, a unit of account, and/or a store of value [and] does not have legal tender status in any jurisdiction.” Although, electronic payment systems have been part of American life since at least 1871 when Western Union “introduced money transfer” through the telegraph and in 1914 “introduced the first consumer charge-card," virtual currencies differ from these digital payment structures because unlike traditional digital transfers of value, virtual currencies do not represent a claim on value; rather the virtual currency are the value.
Ripple (payment protocol)
Ripple is a real-time gross settlement system (RTGS), currency exchange and remittance network by Ripple. Also called the Ripple Transaction Protocol (RTXP) or Ripple protocol, it is built upon a distributed open source Internet protocol, consensus ledger and native cryptocurrency called XRP (ripples). Released in 2012, Ripple purports to enable "secure, instantly and nearly free global financial transactions of any size with no chargebacks." It supports tokens representing fiat currency, cryptocurrency, commodity or any other unit of value such as frequent flier miles or mobile minutes. At its core, Ripple is based around a shared, public database or ledger, which uses a consensus process that allows for payments, exchanges and remittance in a distributed process.
Bitcoin network
The bitcoin network is a peer-to-peer payment network that operates on a cryptographic protocol. Users send and receive bitcoins, the units of currency, by broadcasting digitally signed messages to the network using bitcoin cryptocurrency wallet software. Transactions are recorded into a distributed, replicated public database known as the blockchain, with consensus achieved by a proof-of-work system called "mining". Satoshi Nakamoto, the designer of bitcoin claimed that design and coding of bitcoin begun in 2007. The project was released in 2009 as open source software. The network requires minimal structure to share transactions.