So quite a few of you already know about the recent rates of bitcoin and possibly litecoin
In this thread my goal is give you guys a full understanding of bitcoin and litecoin
[Short non-complex answer] in todays world LTC and BTC is a crypto currency that is not tied to any governments of the world, these 2 crypto currencies are typically used for purchasing illegal services/items on a part of the internet called the deep web. LTC and BTC are non traceable which are sent through "addresses" that look like this 1DFb9oG8PdQF9NJmpfEDoJJk15Z6HY2MJE
New bitcoins are generated by a competitive and decentralized process called "mining". This process involves that individuals are rewarded by the network for their services. Bitcoin miners are processing transactions and securing the network using specialized hardware and are collecting new bitcoins in exchange.
The Bitcoin protocol is designed in such a way that new bitcoins are created at a fixed rate. This makes Bitcoin mining a very competitive business. When more miners join the network, it becomes increasingly difficult to make a profit and miners must seek efficiency to cut their operating costs. No central authority or developer has any power to control or manipulate the system to increase their profits. Every Bitcoin node in the world will reject anything that does not comply with the rules it expects the system to follow.
Bitcoins are created at a decreasing and predictable rate. The number of new bitcoins created each year is automatically halved over time until bitcoin issuance halts completely with a total of 21 million bitcoins in existence. At this point, Bitcoin miners will probably be supported exclusively by numerous small transaction fees.
Bitcoin is a free software project with no central authority. Consequently, no one is in a position to make fraudulent representations about investment returns. Like other major currencies such as gold, United States dollar, euro, yen, etc. there is no guaranteed purchasing power and the exchange rate floats freely. This leads to volatility where owners of bitcoins can unpredictably make or lose money. Beyond speculation, Bitcoin is also a payment system with useful and competitive attributes that are being used by thousands of users and businesses.
Why is there a wait time when sending and receiving bitcoin/litecoin?Receiving a payment is almost instant with Bitcoin. However, there is a 10 minutes delay on average before the network begins to confirm your transaction by including it in a block and before you can spend the bitcoins you receive. A confirmation means that there is a consensus on the network that the bitcoins you received haven't been sent to anyone else and are considered your property. Once your transaction has been included in one block, it will continue to be buried under every block after it, which will exponentially consolidate this consensus and decrease the risk of a reversed transaction. Every user is free to determine at what point they consider a transaction confirmed, but 6 confirmations is often considered to be as safe as waiting 6 months on a credit card transaction.
Buy BTC/LTC from:
SOURCES
http://bitcoin.org/en/faq
http://en.wikipedia.org/wiki/Bitcoin
https://en.bitcoin.it/wiki/Main_Page
Download Tor:
https://www.torproject.org/
In this thread my goal is give you guys a full understanding of bitcoin and litecoin
Now what are these terms "LITECOIN" [LTC] and "BITCOIN" [BTC] i speak of?
[Short non-complex answer] in todays world LTC and BTC is a crypto currency that is not tied to any governments of the world, these 2 crypto currencies are typically used for purchasing illegal services/items on a part of the internet called the deep web. LTC and BTC are non traceable which are sent through "addresses" that look like this 1DFb9oG8PdQF9NJmpfEDoJJk15Z6HY2MJE
Where can i spend these crypto-currencies?
Users typically spend them through the deep web where they can purchase illegal/items and services anonymously (you must be using tor to access the deep web)Is this Illegal?
No
How are bitcoins/litecoins created?
*COPIED*No
How are bitcoins/litecoins created?
New bitcoins are generated by a competitive and decentralized process called "mining". This process involves that individuals are rewarded by the network for their services. Bitcoin miners are processing transactions and securing the network using specialized hardware and are collecting new bitcoins in exchange.
The Bitcoin protocol is designed in such a way that new bitcoins are created at a fixed rate. This makes Bitcoin mining a very competitive business. When more miners join the network, it becomes increasingly difficult to make a profit and miners must seek efficiency to cut their operating costs. No central authority or developer has any power to control or manipulate the system to increase their profits. Every Bitcoin node in the world will reject anything that does not comply with the rules it expects the system to follow.
Bitcoins are created at a decreasing and predictable rate. The number of new bitcoins created each year is automatically halved over time until bitcoin issuance halts completely with a total of 21 million bitcoins in existence. At this point, Bitcoin miners will probably be supported exclusively by numerous small transaction fees.
How does the crypto-currency obtain a value?
Bitcoins have value because they are useful as a form of money. Bitcoin has the characteristics of money (durability, portability, fungibility, scarcity, divisibility, and recognizability) based on the properties of mathematics rather than relying on physical properties (like gold and silver) or trust in central authorities (like fiat currencies). In short, Bitcoin is backed by mathematics. With these attributes, all that is required for a form of money to hold value is trust and adoption. In the case of Bitcoin, this can be measured by its growing base of users, merchants, and startups. As with all currency, bitcoin's value comes only and directly from people willing to accept them as payment.Is this a ponzi scheme?
A Ponzi scheme is a fraudulent investment operation that pays returns to its investors from their own money, or the money paid by subsequent investors, instead of from profit earned by the individuals running the business. Ponzi schemes are designed to collapse at the expense of the last investors when there is not enough new participants.Bitcoin is a free software project with no central authority. Consequently, no one is in a position to make fraudulent representations about investment returns. Like other major currencies such as gold, United States dollar, euro, yen, etc. there is no guaranteed purchasing power and the exchange rate floats freely. This leads to volatility where owners of bitcoins can unpredictably make or lose money. Beyond speculation, Bitcoin is also a payment system with useful and competitive attributes that are being used by thousands of users and businesses.
Is bitcoin ran by a person?
Nobody owns the Bitcoin network much like no one owns the technology behind email. Bitcoin is controlled by all Bitcoin users around the world. While developers are improving the software, they can't force a change in the Bitcoin protocol because all users are free to choose what software and version they use. In order to stay compatible with each other, all users need to use software complying with the same rules. Bitcoin can only work correctly with a complete consensus among all users. Therefore, all users and developers have a strong incentive to protect this consensus.Why is there a wait time when sending and receiving bitcoin/litecoin?
Buy BTC/LTC from:
- https://btc-e.com/
- https://www.mtgox.com/
- https://litecoinlocal.org/
SOURCES
http://bitcoin.org/en/faq
http://en.wikipedia.org/wiki/Bitcoin
https://en.bitcoin.it/wiki/Main_Page
Download Tor:
https://www.torproject.org/
Last edited:
