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    Author Topic: Why use Bitcoin?  (Read 8897 times)
    Elokane (OP)
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    July 05, 2011, 08:53:32 PM
    Last edit: July 06, 2011, 08:01:17 PM by Elokane
     #1

    Hi all,

    During my time with the community and while visiting other forums discussing Bitcoin, I've found that this question pops up quite often. The information is certainly out there, but I believe it's time to create a good resource summarizing all the answers to this important question. Why use Bitcoin?

    I'm going to make a bullet list with concise points that I've written. Please contribute in any way you wish: correct the text, add your ideas, discuss the format, etc. I am going to maintain the first post and update it constantly with the goal of having it included in the Introduction thread. The second post in this thread will be reserved for "testimonials": short write-ups about why YOU want to use Bitcoin. Post these in the thread or PM them to me to be included.

    Remember: this isn't the place for complicated talk about the underlying technology. This is a resource meant to be used by everyone, regardless of technical knowledge.


    Why use Bitcoin?



    • Ownership: Bitcoin is YOURS. Unlike government-mandated fiat money, your Bitcoins belong to you and no one else. You can use them in any way you want or even destroy them if you so wish. Your account will never be frozen or otherwise appropriated.

    • Privacy: Bitcoin can be used anonymously. Your Bitcoin wallet can generate a new address for each transaction you wish to carry out, and these are abstracted from your identity. Using further means, one can become completely anonymous and untraceable when sending or receiving Bitcoin. See thread by Satoshi for more details.

    • Security: Bitcoin is more secure than ANY monetary system in existence. The mathematical technology used in the network for creating Bitcoins and validating transactions guarantees that no entity can manipulate the Bitcoin system. See the wiki for more details.

    • Trust: With Bitcoin, the need to trust anyone beyond yourself and the recipient of your money disappears. No intermediaries or third-parties are required! Neither king nor bank will stand in the way of your transaction. See the "What problem Bitcoin solves" in the the introduction thread for more details.

    • Mitigation of Risk to User: If an entity you've sent Bitcoin to has its security breached, you are 100% safe! The merchant doesn't store any extra information related to your payment beyond what is immediately relevant to the transaction. No more will your identity, credit card and contact details be stolen because of the negligence of others.

    • Transaction Speed and Cost: Bitcoin's digital nature allows you to send and receive money to and from anyone, anywhere – and almost immediately! Since transactions are handled by a network of Bitcoin users rather than maintained and logged by the banks of old, they happen with the Speed of Internet. Fees are completely eliminated or reduced to a fraction of what one may pay for a dollar-based transaction today. See the wiki for more details.

    • Divisibility: Bitcoins are divisible up to the 8th decimal. Along with the lack of transaction fees, this opens up a whole new world of micro- and nano-transctions.

    • Decentralization and Lack of Authority: Bitcoin has NO central authority. We ALL use the same basic software and have the exact same privileges. There are no single points of failure, no federal banks to inflate the currency at their will, and no authorities to lay down new rules and regulations. It is likely impossible to shut down Bitcoin without shutting down the Internet as long as its users wish to use it. Bitcoin does not answer to any single political entity and is not subject to the whims of any politician or politics system. There is no consideration to race, religion, social status or gender.

    • Limited Quantity: The amount of Bitcoins in existence and the amount that will be created over time is known at any point and is unchangeable. There is no possibility for further inflation or for the manipulation of the money supply.

    • Transparency : While Bitcoin can be completely anonymous, it also allows complete transparency. Since all transactions are logged by the network, it is easy to publicize them if one so wishes and allow everyone to examine them with the utmost confidence in their authenticity.


    In essence, Bitcoin is the perfect form of digitized cash. It is anonymous, easy to use, secure, fast, and can be accepted anywhere at any time.

    Synereo: liberating the Internet from abusive business models.

    Beware of he who would deny you access to information, for in his heart, he dreams himself your master.
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