Future Money: Bitcoin

Sending money from one person to another through technology has evolved; Bitcoin is a cyber-based currency that has many people talking.

Cryptography is money of the future, according to some.

Gary Trapkus, Vice President of Hilltop Bank commented, “It is a currency that is based on the people who participate in it."

This virtual money relies on computers to make transactions.

"You have block chains setup there are logarithms inside of a computer that you need another computer to accept it, define it and be able to decode it. But, the fact that the logarithm goes through will decode it is what ensures that it is from a reliable source shared Day Trader Minkins Elan.

With only twenty-one-million bit-coins available, miners are the authorities controlling the market.

These people control the transactions within the blocks.

"At the end of all of this, there is going to be a finite number of bit-coins and you can always mine more, but the idea is supposed to be finite."
This payment system was created in the early two-thousands when the economy crashed.

The idea was the imaginary money would hold its value without third-party backing, such as a bank.

"They are not backed by any government. They are not ensured by any bank they are maintained on a computer system."

The State Treasurer said in Wyoming you are allows us to buy and sell bit-coins as long as they aren't backed by a third-party.

Like anything on the internet, bit-coin has seen frauds and other illegal actions take place.

"It’s kind of like the Land of OZ. The Land of Oz looks great, but nobody can get to it."

Bit-coin isn't the only cryptographer out on the web and some are cheaper than others.

This phenomenon will change as technology and knowledge of the system grows.