Hess Associates

What is Bitcoin/ what are bitcoins?

If you are confused about what Bitcoin is/ bitcoins are, you are not alone. What they are not is
a way of converting all your heavy pocket change into a little digital card by depositing coins into a corner machine and increasing the credit on your little card. You will still have to put your coins into machines such as the free excellent machines at some TD Canada Trust bank branches (or other such machines) or roll them up in the old-fashioned way. However at the end of this article, you will see how to do this with bills.
Bear in mind that Bitcoin is the technology, whereas bitcoins are the actual currency involved.

Bitcoin represent a form of payment, digital currency if you will, which works online
on a peer-to-peer network basis. These networks are exemplified by the earliest one
– Napster (1999), where individual users were able to share music and files on a virtual network, not subject to any outside restrictions. No central authority issues new money or tracks transactions. These tasks are managed collectively by the network.

“Bitcoins are electronic currency, otherwise known as cryptocurrency. They are a form of digital public money that is created by painstaking mathematical computations, and policed by millions of computer users.
Once you own bitcoins, they behave like physical gold coins: they possess value and trade just as if they were gold coins in your pocket. You can use your bitcoins to purchase goods and services online, or you can tuck them away and hope that their value increases over the years. They can be traded or spent without a third party, so there is nothing like a credit card fee.
Bitcoins are made through a very interesting self-limiting system called mining. It is self-limiting, because only 21 million total bitcoins will ever be allowed to exist, with approximately 10 million of Bitcoins already mined and in current circulation.” http://netforbeginners.about.com/od/b/fl/What-Are-Bitcoins-How-Do-Bitcoins-Work.htm

You can use bitcoins to pay friends, merchants, etc. The link below will tell you how to get started.
http://profit.ndtv.com/news/your-money/article-bitcoin-explained-in-laymans-terms-376029
Also please watch the following video for a brief explanation.
http://www.weusecoins.com/en/

The bitcoin value before early March was ~ $800 to $900. (Jan. 2014). Since there a fixed number of bitcoins, their value fluctuates on exchanges. How divisible are bitcoins?
A bitcoin can be divided down to 8 decimal places. Therefore, 0.00000001 BTC is the smallest amount that can be handled in a transaction. If necessary, the protocol and related software can be modified to handle even smaller amounts.

Toronto, ON has recently opeoned a Biotcoin ATM where people can turn physical cash
into digital coins. When you input cash, the ATM determines how many bitcoins you can buy. Or vice versa.

UPDATE: Feb. 25, 2014
http://www.forbes.com/sites/andygreenberg/2014/02/25/bitcoins-price-plummets-as-mt-gox-goes-dark-with-massive-hack-rumored/

On March6, a Canadian bitcoin bank Flexcoin closed after hackers stole its digital currency, a loss of about $600,000. Over the past 3 years, of the 40 such banks set up, 18 have closed.
If you are interested in the total amount of $ in this digital currency, consult Coindesk.com.

However, according to David Olive, digital currency’s here to stay, whether it’s Bitcoin or something else (Toronto Star, March 8, 2014). Bitcoin is essentially the world’s first global currency, although presently unregulated. There are no transaction expenses, and the system is accessible anywhere on earth. Bitcoin is championed by:
1. Marc Andreessen, of Netscape fame,
2. The Winklevoss twins, re Facebook,
3. Robert Shiller, a Yale economist,
amongst others.

Update June 3, 2014
In a potential course correction, Apple is opening to the idea of letting iPhone users make payments with bitcoins and other alternate currencies.http://www.washingtonpost.com/blogs/the-switch/wp/2014/06/03/is-apple-finally-relaxing-its-stance-on-bitcoin-apps/?wprss=rss_technology&wpisrc=nl_tech

Share With Your Colleagues...
    Share With Your Colleagues...
      Why Give Your Employees Standing Desks? Should a Man Wear Brown Shoes to an Interview? Why is Retirement so Challenging? When is it time to look for a new job? Getting over the Sluggish Blues What is CRISPR-Cas9 and Gene Editing anyway? Dating and Your Workplace – Do or Don’t – But Most Do 10 Ways to Work from Home Efficiently How do Deal with Annoying People at Work Is a Manager Entitled to Overtime Pay in Ontario? What are the Disadvantages of Hiring Contract vs Full-Time? Mind the Gap!!! And How to “de-Gap” your Resume How to Hire the Best Talent 5 Reasons to hire a consultant The “Pink Collar” Man in the Glass Elevator How do You Find a Summer Job in Ontario? How to Keep Employees Happy and Motivated Why do Companies Post Fake Job Ads? Who or What is Generation Z? How to Annoy your Recruiter Should Candidates Ask Questions During an Interview? How Hiring Managers are Using Social Media to “Vet” Potential Candidates Rearing the “All Digital Generation”? Is the traditional resume disappearing? No Future for Voicemail on Land Lines Online Programmatic Advertising The Internet of Things Women and the Boardroom 2014 FitBit and the Workplace Who are the Baby Boomers, Generation X, and Generation Y? Working for a Younger Boss End of 2014 IT Salary Information Stephen Poloz and Working for Free How Important Are Reference Letters? Psychological Health and Safety in the Workplace Ideas on Changing Careers Back To The Future 10 Telephone Interview Tips On Edward Snowden and Privacy Issues Canadian Salary Updates – IT and Biotech Spring 2014 The Second Most Important Issue Facing a Small Company Job Losses and Gains 2013 What is Bitcoin – What Are Bitcoins? Canadian Pharmaceutical Manufacturing Industry 2013 WXN Top 100 Most Powerful Women 2013 Privacy and Your Data Laboratory Workplace Psychological Health The Dollar Cost of Employee Turnover National Biotechnology Week 2013 Sept. 20 to 27 Five Most Important Reasons a Company Should Hire Contract Staff Use of Contract Workers in the Biopharmaceutical Industry Women Executives in Canada 2012 Metadata Monsters Is There a Hidden Cost to Hiring? Tips on Conducting Video Interviews with Candidates What is Epigenetics? 2013 Toronto HotDocs Exposé of the Dangers of the Internet 2012 Pharma/CRO Employment/Salary Picture 2012 IT Salary Ranges

      CATEGORIES

      ARCHIVES