The Identity of Bitcoin – Explained! 

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Bitcoin is essentially spread in every corner of the world because people consider it a great store of value. Mostly, the main reason for investing money in bitcoin is nothing else but the belief that it can act as a hedge against inflation. But, you must understand that it is not everything all about bitcoin. Crypto is still an alien concept, and so is the existence of bitcoin and how good it can be in the future. Therefore, in understanding bitcoin in every manner, we must be well aware of its characteristic features. If you are aware of the characters, we can understand them better. Therefore, having a clear understanding provide you with an upper hand in the cryptocurrency market, and you can easily use it for anything you want. So, here we are presenting some identity features of bitcoin for a clear understanding of it. Check BitLQ App Review to get a piece of detailed information about bitcoin trading.

1. Decentralization

The cryptocurrency space is full of fluctuations and especially bitcoin. Have you thought about what the main reason behind it is? It is a crucial factor of bitcoin, which is decentralized, leading to high fluctuations in its prices. When there is no central power regulating the price of a commodity, it fluctuates more than anything else. The same is the case with bitcoin. The prices of bitcoins keep going up and low in the market because there is no regulatory body to control its price. Traditionally, it is considered a drawback of bitcoin, but now, it has been a significant advantage for traders.

2. Transparency

Bitcoin is well known worldwide for its essential feature, which is transparency. Whenever you make a transaction using crypto like bitcoin, it is stored on blockchain technology. The transaction is completely transparent as anyone sitting in a different corner of the world can access the information. The anonymity is in the hands of the user, but anyone can access the transaction details. It enables everyone to have a high degree of transparency on their end for every bitcoin transaction. It is an incredible feature of bitcoin, which is undoubtedly making it even more popular as a medium of purchases and store of value.

3. Fast

Most of the time, you may not notice it, but bitcoin does have the characteristic feature of being fast. Yes, the main reason bitcoin is being used as a medium of transaction in different corners of the world is that it is faster than traditional money. For example, you want to make a transaction about it. However, if you decide to make it through the Fiat money, it will require a lot of time. Also, the paperwork makes it even more delayed. Well, thanks to cryptocurrency, you can transfer your money across the geographical boundaries of a country within just a couple of minutes.

4. Non-repudiable

Most people do not even know about this feature of bitcoin. Once you make a transaction in bitcoin, there is no going back. It means that if you send bitcoin to someone else and the transaction is completed, no one other than the receiver can send it back to you. It is an incredible feature because after Completing a transaction, the person who has done so cannot spend the same bitcoin twice. If it can be repudiable, people might have reversed the transaction and used the same bitcoin to make another one as it exists on the internet only.

5. Digital currency

It is way easier to carry your cryptocurrencies along with you like bitcoin because they exist digitally. If we consider digital cash, we can also do the same. However, now we are talking about bitcoin, which is an essential advantage. You can carry along your bitcoins anywhere you want, just on your mobile phone, without any hassle. Of course, your pocket will be empty, but still, you will have something in your pocket to purchase anything you want in the world.

6. Value is decided by demand.

Another essential characteristic of bitcoin is that any authority does not decide its value. On the contrary, the value of bitcoin comes on to praise just by the demand and supply factors. Whenever there is a high demand and a lower supply, bitcoin prices start to rise. If vice versa happens, the prices of bitcoins fall significantly. It is the mechanism that gives value to bitcoin in the market.

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