The value in bitcoins and blockchain comes from the fact that it is a decentralized system that is not subject to the whims of central authorities. This makes it an ideal store of value and means of exchange, as well as a transparent and secure way of conducting transactions. The value of bitcoins and blockchain also comes from the fact that it is a peer-to-peer system that is not controlled by any single entity. This gives it a degree of censorship resistance and makes it resistant to fraud and corruption.
Other related questions:
Q: What establishes the value of Bitcoin?
A: The value of Bitcoin is established by the market demand for it.
Q: How are Bitcoin blocks generated?
A: Bitcoin blocks are generated by the network through a process known as mining.
Mining is a process of verifying and adding transaction records to the public ledger, known as the blockchain.
Miners use special software to solve math problems and are awarded bitcoins in exchange for their work.
This provides a incentive for people to mine and helps to secure the network.
Q: What is the Bitcoin block reward made up of?
A: The Bitcoin block reward consists of newly generated bitcoins, which are awarded to the miner that successfully creates a new block.
Q: How does the Bitcoin block chain work?
A: The Bitcoin block chain is a public ledger that records all Bitcoin transactions.
Blocks are files where data related to the Bitcoin network is permanently recorded.
Each block contains a cryptographic hash of the previous block, a timestamp, and transaction data.
By design, a block chain is resistant to modification of the data.
- Why Do Bitcoins Have Value? – Investopedia
- What is Bitcoin? How to Mine, Buy, and Use It – Investopedia
- Explaining the Bitcoin Block Reward – Argo Blockchain
- What is the Bitcoin blockchain? A guide to the technology …