Bitcoin For Dummies. Peter Kent

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       The various Bitcoin units, down to the smallest (one-hundred millionth of a Bitcoin)

       How money works (yep, you think you know, but do you?)

       How the crypto in cryptocurrency works

       The best places to buy Bitcoin and how to do so

       Working with your own crypto wallet (no, this is not where your Bitcoin is stored, but it’s critically important nonetheless)

       How to keep your Bitcoin safe from theft and loss

       How to invest in Bitcoin (and maybe other cryptocurrencies)

      And plenty more!

Foolish Assumptions

      We don’t want to assume anything, but we have to believe that if you’re reading this book, you already know a few things about the Internet. Bitcoin is a technology that depends on the Internet — no Internet, no Bitcoin. So you need to be tech-aware enough to use some kind of Internet-connected device: a desktop PC or laptop, or maybe just a smartphone. You need to be able to navigate to websites, and download and run software (not necessarily much software, maybe just a simple crypto wallet you can run on your smartphone).

      We explain how to keep your Bitcoin safe, so you’ll also need to be able to carry out processes such as loading a password-management program, installing anti-virus software, and doing backups. This isn’t rocket surgery or brain science, but if your idea of using a computer is asking your grandkid to find something on the interwebs for you, this book may not be for you!

Icons Used in This Book

      This book, like all For Dummies books, uses icons to highlight certain paragraphs and to alert you to particularly useful information. Here’s a rundown of what those icons mean:

      

A Tip icon means we’re giving you an extra snippet of information that may help you on your way or provide additional insight into the concepts being discussed.

      

The Remember icon points out information that’s worth committing to memory.

      

The Technical Stuff icon indicates geeky stuff that you can skip if you really want to, although you may want to read it if you’re the kind of person who likes to have background info.

      

The Warning icon helps you stay out of trouble. It’s intended to grab your attention to help you avoid a pitfall that may harm your investment.

Beyond the Book

      In addition to what you’re reading right now, this product also comes with a free access-anywhere Cheat Sheet that covers quick tips and info to help you along the Bitcoin road. To get this Cheat Sheet, simply go to www.dummies.com and search for “Bitcoin For Dummies Cheat Sheet” in the Search box.

Where to Go from Here

      Like all good reference tools, this book is designed to be read when needed. It’s divided into several parts: background information on what Bitcoin actually is; how to actually use Bitcoin (buying, selling, and investing); some more details on how the technology functions; and the Part of Tens.

We recommend you start at the beginning and read through sequentially, but if you just want to know how to use wallets, read Chapter 4. If you need to understand where to buy Bitcoin, read Chapter 3. If all you need to understand is what the crypto in cryptocurrency is and how it works, Chapter 2 is for you.

      

However, Bitcoin is a complex subject. All the topics covered in this book are interrelated. We strongly recommend you read everything in this book before you dive deep into Bitcoin investing. It’s essential that you have a strong understanding of everything involved before you start. Don’t join the thousands who have lost their Bitcoin. A little knowledge goes a long way!

Part 1

      Bitcoin Basics

IN THIS PART …

      Discovering where Bitcoin comes from

      Understanding how money works

      Learning how Bitcoin uses cryptography

      Sending messages to the Bitcoin blockchain

      Using private keys to prove Bitcoin ownership

Chapter 1

      Bitcoin in a Nutshell

      IN THIS CHAPTER

      

Discovering the history of digital currency

      

Finding out about early Bitcoin and its creator

      

Understanding what money (and Bitcoin) is and is not

      

Exploring the benefits of Bitcoin

      For a mere teenager, the Bitcoin network has certainly had a big impact on the world, transacting more than US$12.4T in 2021 alone. As we write these words, Bitcoin has a market capitalization (total value) of $918,705,395,133, which is almost a trillion dollars. (The market cap is the total number of Bitcoins in “circulation” multiplied by the current market price of a single Bitcoin.)

      But that’s a current low price; just a few weeks prior, it had a combined value of almost 1.3 trillion dollars. By the time you read this, the value may be higher, lower, or the same. That’s one of the things about Bitcoin: Its market price can be very volatile, as you’ll soon learn if you spend a little time watching the markets.

But the impact we’re talking about is not just referring to Bitcoin’s current market value. In fact, the market cap of Apple, Inc. is more than three times that of the Bitcoin network. However, a comparison with Apple might be apropos right now. Figure СКАЧАТЬ