Quite often we use “cryptocurrency” and “bitcoin” as synonyms. However, these concepts are not the same, but are related as general and specific, since bitcoin is not the only cryptocurrency in the world. In total there are more than one and a half thousand. However, Bitcoin occupies a special place among the cryptocurrencies, which is due to its distinctive properties, which no other electronic coin has.
Distinctive differences from other digital currencies
At the moment, bitcoin takes a bit more than 40% (almost half!) of the cryptocurrency market. Such popularity is easily explained as follows.
Historically the first
Bitcoin was a pioneer on the cryptocurrency market. The world learned about it 10 years ago in 2008. His creator introduced himself as Satoshi Nakamoto, preferring to leave his real name hidden.
The first block and the first 50 coins were generated in early 2009. And in May 2010, an incredible profligate real deal was carried out, the payment was in bitcoins: the American Laszlo Hanech got delivered 2 pizzas for 10,000 bitcoins.
For comparison, you can get acquainted with the date of issue of other cryptocurrencies that are popular today:
- Litecoin – 2011;
- Ethereum – 2014;
- Ripple – 2012;
- Monero – 2014;
- Dash – 2012.
Thus Bitcoin started the cryptocurrency. Its “experience”, stability and authority on the market contribute to increasing the demand and value of the coin. In addition, most cryptocurrency developers are oriented
towards the Bitcoin code.
Security and confidentiality guarantee
Bitcoin does not have a material consideration, but exists in the form of a distributed database replication.
Today it is a unique security system, which is possible due to its properties:
- The inviolability and immutability of the blocks;
- Decentralization of the electronic register of all financial transactions. In addition, security is provided by the following;
- One transaction must be confirmed by more than two persons – the seller, the buyer and the bank or the credit organization;
- To confirm the transaction two keys are required, each of which has a long and confusing sequence of data, almost impossible to decode.
Although the market for mining the bitcoins of NiceHash was recently hacked, and the cryptocurrency was stolen for more than $ 60 million, the security breach was not in the blockchain system itself, but on the NiceHash platform, which cybercriminals got access to with the help of a blockchain.
Bitcoin is considered the reserve currency of the cryptocurrency world, it is in high demand, and it can be bought without exaggeration on every exchange. Also many equipment items support BTC.
Bitcoin can be bought for cash (not everywhere, but, for example, on the LocalBitcoins, BitQuick and Wall of Coins), which cannot be said about Litecoin that is very difficult to buy for the national currency.
The scale of trading
Bitcoin is much larger than the rest of the cryptocurrency. If you compare all transactions that are made daily with a cryptocurrency, transactions with bitcoins occupy more than 2/3 of the total number. At the same time, even large transactions do not significantly affect the price. On the off-exchange areas of the cryptocurrency, only Bitcoin is traded. Lightcoin, the main competitor, is not popular on them. Bitcoin wins its competitors in the market capitalization, which allows you to carry out fairly large transaction with it.
Bitcoin can rightly be considered the most stable, safe and widespread cryptocurrency. This fact is explained by the fact that, firstly, it originated historically first, and therefore, was already a few steps ahead of all other coins that arose later on its basis. Secondly, Bitcoin’s development staff is more numerous and qualified than its counterparts. Thirdly, the unique blockchain system ensures a high level of security and guaranteed confidentiality. And then, it’s BTC that is easiest to buy, sell and exchange than the same Etherium, Lightcoin, Monero, etc.