What are Bitcoins?
Bitcoins are a completely digital currency. Its distribution happens over so called peer-to-peer connections. All transactions are carried out through a strong encryption and a high grade of anonymity. Every transaction is traceable but not the user behind these transactions.
The system’s advantage is, that no bank or state can have influence on the price and cash flow. That means: Bitcoins have no standing orders or borders, every user everywhere can create and transfer Bitcoins.
Bitcoins are limited to 21 million. Doesn’t sound much but draw attention to the fact, that every Bitcoin can be divided into 100 million parts. That means there are 21 quadrillion single transferable Bitcoin units (“Satoshi”)!
What do I have to do to get free Bitcoins?
Your first task is: get the Bitcoin software from here. Start up the program abd create your first Bitcoin address. this address is 33 characters long, quite crypted and impossible to remember. With the Bitcoin software you can manage all your addresses. Right, you can create as many addresses as you want.
All information are stored in your so called “wallet”. Keep it secure and make backups often. Get a separate USB stick for that. Remember: If you loose you wallet, you loose your free hard earned Bitcoins!
Now you can start to get some free Bitcoins with your new addresses. Just use the offers from our free Bitcoins list.
Where do I get more Bitcoins?
Another more complex (and more expensive) method is the “mining” of Bitcoins. To be a profitable miner you need special mining hardware, so called ASICs. special software, the so called miner, tries to verify complex cryptographic methods and creates Bitcoins in so called blocks, each worth 25 Bitcoins. Miners stick together in mining pools to combine all the computing power to handle the high difficulty of finding a valid block.
What can I do with Bitcoins?
The list of possibilities to use Bitcoins is growing every day.
One of the simplest way is to transfer the digital Bitcoins into “real” money by selling them. You can reinvest your Bitcoins in loan platforms like btcjam.com. Many online (and offline) merchants and service providers take Bitcoins. Or go play poker or craps in an online casino if you’re the lucky guy!