Bitcoin price eplodes

It was the calm before the storm. For weeks, the value of digital currency Bitcoin had hardly changed. The industry speculated already have a price jump either up or down for a reason: In a few weeks it comes to long-awaited called Halving the Bitcoin world. From July, 10 only half as many new Bitcoins be circulated daily as before. This inflation of the digital currency drops dramatically.

For months, the industry speculated about how this will affect the price. Most believe the price will rise. Now the course is in the last days actually soared by about 20 percent and upwards quoted at $ 500 is no longer as high as 20 months.

The event on 10 July, which sets the inflation, only every four years repeatedly. The corresponding algorhythm is included in the software, which is behind the Internet currency and running on thousands of computers worldwide. The software stipulates that every 10 minutes a certain number Bitcoins go as compensation to those who entertain the network with their computers and protect. 25 Bitcoins are redistributed to date every 10 minutes. From the summer there are, however, merely still 12.5. Therefore the term Halving. In four years there are still 6.25, and so on. As Bitcoin was launched in 2009, it was 50th

The ingenious mechanism governs the same three things: He brings Bitcoins at all only in circulation, ensures the safety of the currency and guarantees that will ultimately never come as a total of 21 million Bitcoins in circulation.

Currently receive the so-called Miner, check transactions, organize and so make Bitcoin sure daily Bitcoins worth some $ 1,000,000 which. But this Miner also have high costs for special purpose computer, and especially for electricity. Therefore, a good portion of this Bitcoins worth some one million comes directly on the market, so that the Miner can pay their bills.

Facebooktwittergoogle_plusredditmailby feather

Leave a Reply