1. A Simple Introduction to
Bitcoin

2. Peer to peer technology has evolved to accommodate
payment systems, as exemplified by Bitcoin. It is a
digital currency that can be used for personal and
business transactions at a reasonable cost.
Sometimes referred to as the currency of the internet,
Bitcoin isn't subject to any central authority. Created
some five years ago, it has grown in leaps and
bounds with many speculators asserting that this rise
will continue in the foreseeable future.

3. More about Bitcoins
Bitcoin is descriptive of the actual technology in play.
These coins represent the currency itself and are the
ones transacted. They are sent or received through
wallet software running on a PC, a web app or a
smartphone. They can be obtained through product
and service exchanges, or through mining.

4. What is Minning?
Mining is simply the process through which new
bitcoins are created. For every transaction that takes
place, records are kept in a sequential manner in a
public database called the block chain. Those who
maintain these block chain are the miners, and their
reward is newly created bitcoins.

5. Using Bitcoins
These coins can easily be obtained for different
currencies. The most painless way is to purchase
them for cash. There are companies that extend the
exchange services to their customers with rates being
determined by such factors as volume.

6. There are people who have invested in bitcoins, with the
expectations that their value will rise. While this
plausibility is undeniable, it carries some risk with it.
There are vulnerabilities in these coins, and this factor
makes large scale investing difficult. This together with
some inherent limitations such as the irreversibility of the
transactions, the volatility of Bitcoin exchange rate, and
the limited user discretion make investing a reserve to only
the sophisticated investors. On the upside though, Bitcoin
can circumvent inflation, making it ideal for locales where
national currencies are problematic.

7. The Future of these Coins
Bitcoins have received a mixed reaction in the market. Some
economists assert that this technology has offered a digital
currency that has for long been desired. Others have found it
less compelling, arguing that its lack of reliability and its
volatility are discouraging. Regardless, many merchants have
warmed up to it, and its growing popularity implies that its
success as a mainstream means of payment is forthcoming.
If you're new to Bitcoin and spend much of your time online, you
should give it a try. It offers a kind of unique flexibility and
convenience that is missing in other available payment
gateways.

8. Resources:
http://www.coinsetter.com/bitcoin-price
http://ezinearticles.com/?A-Simple-Introduction-to-
Bitcoin&id=8390739