What is Bitcoin?

Bitcoin is the leading cryptocurrency. A cryptocurrency is simply a digital asset that is secured by cryptography. 

Bitcoin has a number of interesting and unique properties not found in other common assets. One of the most known is that it is decentralized. Bitcoin is not owned by any country, any organization, or any one person (even its mysterious creator/s Satoshi Nakamoto). 

The other key feature is that it has a limited supply. There will only ever be 21 million bitcoins. No more no less. This is very different from our concept of money today. As we speak the fed is likely “printing” money to help keep the economy moving during Covid. Having a limited supply allows bitcoin to be deflationary in nature. This is a good thing when it comes to investing. 

There are many other properties that Bitcoin has, but the last one we will talk about today is that it is divisible. Most people think if you want to get into bitcoin you need to have a whole bitcoin. This is just not true. While having a whole Bitcoin (or even multiple) is great it is not necessary and should not be a barrier for entry. Bitcoin is divisible by 8 decimals. These units are commonly referred to as Satoshi’s (Sats). 1 Bitcoin = 100,000,000 Satoshi’s. Today we still speak in bitcoins, but when bitcoin reaches its realization, we will transact in Sats