Bitcoin has become a very popular word that brings a mix of opinions. Some support it, some fear it, but most of all, we all want to know more about its reliability. Besides moments of volatility, the question remains, “is bitcoin reliable?”
Bitcoin is a digital currency that is recorded on a ledger known as the blockchain. It’s decentralized, so there isn’t a headquarters that operates the system, and it relies on individual computers to calculate bitcoin transactions in order for it to operate. Meaning, if you buy or sell bitcoin, that transaction was carried out on someone’s computer. But don’t worry, bitcoin is designed to be secure, just change your passwords often.
The question still remains, “is bitcoin reliable? In the video above, we interviewed the founder of Liquihash, Nic Campesi, and asked this very question. In his words, “yes, the network always recovers. And when it does, people always have interest in it.” This means that even though markets may be volatile sometimes, it tends to recover. It can be a great idea to buy when the price of bitcoin is low, as long as the market does indeed recover.
The system of bitcoin, rather than the price of bitcoin, is the focus of this article. Prices are volatile, and that is what brings many people to bitcoin, for its ability to dramatically rise and fall. The system itself, its ledger called the blockchain, is a way to record information in a way that makes it difficult to change. The blockchain is a ledger that is duplicated and distributed across the entire network of computers.
In this simple definition of the blockchain, we can quickly see that it would be incredibly difficult, maybe even impossible, to hack the entire blockchain. This democratized and decentralized new form of currency and transaction platform is what many believe will be utilized by most people in the future.
Even if you don’t plan on utilizing bitcoin to pay for products, you can still participate in the profitability of it. Liquihash creates and manages bitcoin mines powered by excess energy sources, so your energy source can generate new revenue streams, even when energy is not profitable to sell.
For example, imagine that you own a hydrodam. Sometimes, your hydrodam can generate too much electricity, so it’s forced to stop production. In this situation, it makes much more sense to stop producing electricity for the purpose of selling it, but for the purpose of powering a bitcoin mine. Earn bitcoin while powering bitcoin transactions, and then continue creating and selling electricity once it’s profitable again.
If you’re interested in working with Liquihash to create and manage a bitcoin mine on your excess energy source, visit www.liquihash.com for more information.