Introduction

Usually when I write an article my focus usually falls to affiliate marketing scams but one thing that I have wondered about for sometime now is the BitCoin. Exactly what it is, how it works and is it worth it?

To discover this we need to find the answers to how it started, What the uses are and what is the Bit Coin Exchange Rate.

Where do BitCoin come from?

The concept of the bit coin in its current form first appeared in 2008 and was the idea of a developer know as Satoshi Nakamoto. Although plagued with early problems the BitCoin has stayed the course and is today one of the major virtual currencies out there.

There are many ways that bit coins are generated and earned by people including processing, transactions for companies in return for them solving complex mathematical problems and acting as an affiliate or go between representing different companies on the net. A method of earning BitCoins can usually found by a simple google search.

How are BitCoins processed?

One of the central things with BitCoins that is of the up most importance is the ability to process them securely as there has been involvement with illegal dealings in the past and there was an early floor in which BitCoins could be duplicated.

To get round this problem a central ledger was created which enabled a close track of who owned BitCoins and how many they had thus enabling a proper check to be kept and eliminating any potential problems in the future.

BitCoins are usually stored in areas known as wallets. These are publicly addressed so that people can send BitCoins to one another and they have a private key as well which the owner of the bitCoin Wallet must use to open it. This system is supposed to be secure but on occasion bitCoins have been stolen when a persons private key has been discovered.

What is the Bit Coin Exchange Rate?

The BitCoin exchange rate has fluctuated an awful lot over the years and like any currency is subject to economy and world politics at the time. In 2011 the value of 1 bit coin was equal to $0.30 and suddenly rose rapidly to $32 before falling again.

As the bit coin has grown in popularity the exchange rate has increased. I carried out a google search at time of writing and have found that one BitCoin is currently equal to just under $900 which is incredible indeed.

Conclusion

I think that BitCoins are here to stay in one form or another as they are far to popular as an online digital currency. I think because of the times that we live in people are probably looking to other ways of sustaining themselves and looking to more stable currency models than we have at the moment.

Despite its occasional problems including exchange shutdowns and some thefts I would highly recommend BitCoin as an alternative to any currency today.