Bitcoin: Is it the future successor of paper currency?

Speaking of the end of 2012. One cyber attack happened all over the world at once. A computer hacking program called Ransom War has spread to the computer programs of various reputed organizations in the world. The hacking program affected 150 countries, including the United States, the United Kingdom, China and Russia. The message of redemption floated on the screens of billions of infected computers all over the world. But not a conventional currency as a ransom, is claimed to be a strange currency! The name is Bitcoin. It is said that giving three hundred coins equal to bitcoin will save you from this cyber attack. And since this incident has been uttered in different parts of the world.

Something is happening in the conventional financial system around the world, and we are feeling it. Although the government of our country does not think as much about this digital currency as the western countries think, the young society of our country is attracted towards it. Some say it means the future of the world, while others say it has no meaning.

This article will discuss in detail what Bitcoin is, who invented it, where it was made, and how it is used. However, let's get to know the history of currency in a very brief form before that.

Currency History: Money is a medium of exchange permitted by the Government of the People's Republic of Bangladesh. Life is almost useless without this money. Dollar, Euro, Dinner, Rupee, different types of currencies in each country. Simply put, money is the main medium of exchange in the world. But there was a time when no money existed in the world. Then there was the practice of exchanging goods. At one time, there were complications in the exchange of goods. And then the coin, fish teeth or feather coin system comes as an alternative. It is said that the medium of exchange was the ancestor of money.

The written history of money in India is 2,400 years old. During the reign of Emperor Chandragupta, coins were introduced by determining the value of thin sheets made of molten metal.

Raja Gias Uddin Hilji introduced coins in Bengal in a different way. After hundreds of years of change, paper money was introduced in the country. This money can be caught and touched. But in the twentieth century, this money has also become a rival.

Executive Director of the Policy Research Institute. In an interview with Jamuna Television on Bitcoin, Ahsan H. Mansoor said, "Wherever the world is going now, the use of money seems excessive to many. And in the next world, people will use this bitcoin instead of money. '

What is Bitcoin: Bitcoin is a type of online currency or digital currency. It cannot be touched or touched. It does not require any financial institution or regulatory body for the transaction. The lowest bitcoin unit is Satoshi. One bitcoin is one crore satoshi. The transaction is from customer to customer's device. It is made in online mining method. A bitcoin is currently valued at about, 13,363.90. Although this price fluctuates at different times. Bitcoin is also called cryptocurrency.

It is known that it was invented by an unknown person named Satoshi Nakamato in 2006. However, in May 2016, Australian engineer and businessman Crack Wright claimed to the BBC that he was Satoshi Nakamoto.

BM Moinul Hossain, an assistant professor in the IIT department of Dhaka University, said, ‘Bitcoin is made by mining method. This is what they make in a very interesting way. They want to solve some math problems. This is done by calculating many people together. One thousand people are trying to calculate together, but only one is winning and the money is basically going to him. That means everyone will spend, only one will benefit. '

"Bitcoin is more than just a conventional currency," Bill Gates, the world's richest man and owner of Microsoft, said in an interview. Here a lot of money can be kept in very small space and large transactions can be done very easily. It could mean the future of the world.

Bitcoin Exchange Method: As mentioned earlier in a discussion above, bitcoin transactions take place from customer to customer's device. That is, through the computer network. The main theme of this network is data sharing.

A huge database called Blockchain keeps track of all Bitcoin exchanges. So far, about 15,000 megabytes have been stored in this blockchain. So who keeps track of blockchain? Since Bitcoin has no regulatory body. Bitcoin account is called wallet. The work of keeping account of the exchange is done by people from different parts of the world on their own initiative.

Two keys are used in the case of Bitcoin wallets. One is the private key, the other is the public key. Both of these keys ensure Bitcoin's security.

How Bitcoin is made: In the Bitcoin Key discussion above, I mentioned the method of making Bitcoin. It has been said that bitcoin is created through computer mining. Those who do this work are called minors. A minor reward for adding a new block to a blockchain is 12.5 bitcoins.

Reasons for Bitcoin's popularity: Although Bitcoin was invented in 2008, it gained worldwide recognition through the 2012 cyber attack. As you already know, the mortal market is the core of a bitcoin. If you had invested only  100 in Bitcoin at that time, that dollar would now be worth about four million US dollars.

Here are some of the reasons why Bitcoin is so popular worldwide:

1.      Decentralized: Bitcoin's network is not controlled by any specific organization. No one can cheat in Bitcoin if they want to. Accidents are less likely to happen.

2.      Easy account opening: Opening a bank account requires the necessary paperwork or time. But Bitcoin doesn't need it. Bitcoin account can be easily set up by the customer himself. Anyone with experience running a computer and internet can easily set up an account on Bitcoin.

3.      Privacy: Bitcoin accounts are very secure. No one can know the identity of any customer here. Bitcoin is such a privacy currency system.

4.    Transparency: No one can easily cheat here if they want to. Detailed distribution of all transactions is stored in the blockchain. A user can view the movement of his transactions whenever he wants a bitcoin system.

5.       Low cost transactions: There is a transfer fee for international currency exchange and in most cases there is a high fee. But in the case of Bitcoin, transactions can be done at a much lower cost.

6.       Speed: Bitcoin money transfer works very fast. It only happens through a few seconds.

Expansion of Bitcoin: According to the statistics of 2016, more than 2 lakh traders and sellers have accepted Bitcoin as a means of payment. A 2016 Cambridge University study on Bitcoin found that between 2.9 million and 5.6 million people used cryptocurrency wallets, with most users using Bitcoin.

Bitcoin's scarcity: The popularity of Bitcoin is increasing day by day. At first, if a block was added to the blockchain, it would give 50 bitcoins. In 2015, when the transaction rate in Bitcoin increased, if each block was added to the blockchain, 25 bitcoins would be given. At present only 12.5 bitcoins are given.