What are the characteristics of Bitcoin? Let's take a look at what characteristics Bitcoin has with the editor of CoinBox!
1) Decentralization
In the Bitcoin network, issuance and transactions do not require the intervention of centralized institutions, and are automatically executed by computers. This is an organizational operation method maintained equally by multiple parties. In the Bitcoin network, all participants are independent individuals with equal power. No participant has the right to speak or can influence the decisions of other participants. The entry or departure of any participant will not affect other participants or the entire system.
2) Open, transparent, and tamper-proof
Any transaction behavior on the chain about Bitcoin is transparent and traceable, and these transaction data cannot be tampered with. However, although the transaction is open, transparent and traceable, the identity of the trader is anonymous, and we cannot obtain the corresponding identity of the trader in real life through the address on the chain.
3) Global circulation
Bitcoin transactions are not restricted by national boundaries and can be circulated globally. Through the Internet, any node in the world can conduct Bitcoin transactions.
4) Constant total amount
The total amount of Bitcoin is constant, at 21 million. The Bitcoin network releases a certain number of Bitcoins every 10 minutes, and it is expected that all will be mined in 2140. The constant total amount gives Bitcoin more investment value and investment space. After a long historical process, many Bitcoins are lost forever in the torrent of history, which also increases the scarcity of Bitcoin.
5) Halving mechanism
Bitcoin halving means that its output is halved every 4 years, which means that under the same computing power, the number of Bitcoins rewarded for each block will be reduced by half. Since the birth of Bitcoin, it has completed three halvings, and the block reward has been reduced from 50 Bitcoins to the current 6.25.
