Many people are interested in how bitcoin works pdf. If you want to know more about Bitcoin, this article is a great place to start. Bitcoin is a blockchain that allows people to transfer value without any kind of centralized authority. When you use a bank to send money, or spend it with a card, you are using a centralized system.
Bitcoin eliminated the need for centralized authorities in the financial system by making it possible to send Bitcoin over a blockchain with advanced cryptography. When you send Bitcoin to someone, it moves from one Bitcoin wallet, to another.
Blockchain is a technology that makes a permanent record of all the transactions on the platform. Once a transaction has been approved, it is almost impossible to alter the record on the blockchain. By doing this, the need for a central authority that has the system's trust is done away with.
Bitcoin's blockchain is hosted on computers called nodes, which mine Bitcoin. Bitcoin mining is the process of keeping the network operating, and approving new transactions. When Bitcoin moves around on the blockchain, new blocks are created.