- 1BTC=5831278.20 Nigerian Naira ($16,169)
The most valuable digital currency, bitcoin, once again has risen above $16,000, moving towards the earlier record of 7,112,010.07 Million Nigerian Naira ($19,783.06), the all-time high ever before the slump back and forth $12,000 and $14,500.
Today, December 27, 2017, one bitcoin is worth 5,831,278.20 Nigerian Naira ($16,169) as at 9:00AM as against yesterday’s value of 5,514,731.80 Nigerian Naira (15,340US Dollar) on bitcoin.com charts, one of the first bitcoin domains on the internet.
It’s been romancing moving between $13,000 and $14,500 in the last few days, but it has crossed $16,000 again.
The current fall in value could likely be attributed to the emergence of a closely related rival coin, Bitcoin Cash, which was launched on the market recently.
Other coins like litecoin, ethereum, monero, and ripple are also pushing back and forth to compete with the most valuable one, but bitcoin has proven to be the leader, and it’s likely to maintain the lead as we approach New Year.
Before the launch of Bitcoin Cash, which is seen as BTC replica, Bitcoin grew beyond prediction, it’s predicted to reach $10,000. Though it’s been a volatile month for BTC, after beating December prediction of 3,595,000 Million Nigerian Naira ($10,000) to reach 4,655,525 Million Nigerian Naira ($12, 950) on December 10, 2017, its slump worries its critics.
Some have also predicted that bitcoin is going to crash the way it rose, they believe that it hasn’t reached its peak, anyway.
What is Bitcoin?
Bitcoin is a digital currency, created and held electronically, which is controlled by no one. Bitcoins aren’t printed, like Naira or dollars – they’re produced by people by using software that solves mathematical problems.
It’s the first example of a growing category of money known as cryptocurrency.
What makes it different from normal currencies?
Bitcoin can be used to buy things electronically. In that sense, it’s like conventional Naira, dollars, or euros which are also traded digitally.
However, bitcoin’s most important characteristic, and the thing that makes it different to conventional money, is that it is decentralized. No single institution controls the bitcoin network. This puts some people at ease, because it means that a large bank can’t control their money.
Who created it?
A software developer called Satoshi Nakamoto proposed bitcoin, which was an electronic payment system based on mathematical proof. The idea was to produce a currency independent of any central authority, transferable electronically, more or less instantly, with very low transaction fees.
Who prints it?
No one. This currency isn’t physically printed in the shadows by a central bank, unaccountable to the population, and making its own rules. Those banks can simply produce more money to cover the national debt, thus devaluing their currency.
Instead, bitcoin is created digitally, by a community of people that anyone can join. Bitcoins are ‘mined’, using computing power in a distributed network.
This network also processes transactions made with the virtual currency, effectively making bitcoin its own payment network.
What is bitcoin based on?
Conventional currency has been based on gold or silver. Theoretically, you knew that if you handed over a dollar at the bank, you could get some gold back (although this didn’t actually work in practice). But bitcoin isn’t based on gold; it’s based on mathematics.
Around the world, people are using software programs that follow a mathematical formula to produce bitcoins. The mathematical formula is freely available, so that anyone can check it.
The software is also open source, meaning that anyone can look at it to make sure that it does what it is supposed to.
Its characteristics include:
- It’s decentralized
- It’s easy to set up
- It’s anonymous
- It’s completely transparent
- Transaction fees are miniscule
- It’s fast
- It’s non-repudiable