bit coin price-how does bit coins work?

I am sure you are having your head under a financial rock lately and so you have reasons not to have seen the news, heard the boasting or for some about a new medium of financial transaction. Now if you have just returned for a St Tropez vacation let me inform you that it’s called bit coin and bit coin price.

Bit coin is the most exciting thing to hit popular economics since the sub prime bubble and the internet sock puppet and the Dutch tulip bulb mania. Unfortunately there are doubters of course even in the face of the irony. I am sure you are aware of the fact that the internet has affected almost every part of our lives and as promised it has done little to affect the traditional assets of commercial exchange.

Now I am not going to discuss and explain how bit coins have come to be, how they are mined and the complex math algorithm behind its control and how they can both sky rocket in value one day and plummet the next day. Bit coins are a potential and major means of payment for e commerce which is a sizable market in today’s commerce.

In the coming days it may even emerge as a serious competitor in traditional money transfer providers. Though it is not the last and there will be other more refined approaches and we should no mistake as these are digital currencies which are not controlled by the government.

Let me remind you that in 2011 the value of one bit coin rapidly rose from $0.30 to $0.32 before falling back down to $2. Again on 19 November 2013 the value of bit coins in the exchange soared to a peak of $900 USD and this was followed by a United States senate meeting where it was announced that this virtual currencies were a legitimate financial service.

In reality there are roughly 12 million bit coins in existence as of November 2013. The market for these bit coins is growing every day and this is not a scam. Now the value may rise or fall as often we hear of foreign and domestic currency manipulation. I am sure you are aware of the fact the US dollar, the euro and gold has acceptance among people in general.

These days’ binary option trading brokers allow us to fund our account by which defers quite remarkably from other conventional currencies like the dollar and the pound. It basically uses peer to peer technology and is not controlled by any central authorities.

The transactions are carried out collectively among the involved parties and the network without any intervention from the central banks. Let me inform you that bit coin is free from any kind of interferences and manipulations by the government since it is totally decentralized.

Bit coin is solely a digital form of currency and you cannot replace them with their physical form. However, you can quickly exchange them for dollars anytime you like. Now the top cap of issuing bit coins is limited to 21 million which is an average of just 25 coins being mined for every 10 minutes. Now the pace of mining has slowed down even more in the last two years.

Bit coins and bit coin price have limitations in acceptance because they are not accepted universally. However the prospect of acceptance does look better with its growing popularity and this crypto currency has come a long way since its introduction in 2009. Now if you want to know more about bit coins then please visit here.