How does bitcoin work as a peer-to-peer electronic cash system?

3 answers

• Nov 26, 2021 · 3 years ago
  Bitcoin works as a peer-to-peer electronic cash system by utilizing a decentralized network of computers, known as nodes, to verify and record transactions. When a user initiates a transaction, it is broadcasted to the network where miners compete to solve complex mathematical puzzles to validate the transaction. Once validated, the transaction is added to a block and appended to the blockchain, a public ledger that contains a record of all transactions. This decentralized nature ensures that no central authority controls the currency and allows for secure, transparent, and censorship-resistant transactions.
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• Nov 26, 2021 · 3 years ago
  Bitcoin is like digital cash that operates on a peer-to-peer network. Instead of relying on a central authority like a bank, it uses cryptography and a distributed network of computers to verify and record transactions. This means that transactions can be conducted directly between users without the need for intermediaries. It also means that transactions are secure and cannot be easily tampered with. Bitcoin's decentralized nature and cryptographic security make it an ideal electronic cash system for the digital age.
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• Nov 26, 2021 · 3 years ago
  As a peer-to-peer electronic cash system, bitcoin allows users to send and receive payments directly without the need for a middleman. Transactions are verified by network participants through cryptography and recorded on a public ledger called the blockchain. This decentralized approach ensures that transactions are secure, transparent, and resistant to censorship. Bitcoin's peer-to-peer nature also means that users have full control over their funds and can transact with anyone, anywhere in the world, without the need for permission or approval from any central authority.
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