Bitcoin is one of the most popular cryptocurrencies to date. However, the future prospects of Bitcoin, which has been branded as an unreliable and unstable virtual currency, are not to be underestimated. There are many people who speak for and against it. Bitcoin is widely acknowledged as one of the most popular inventions of our time. Experts believe that the blockchain technology that is being talked about is very reliable.
The incredible price explosion of Bitcoin has been going on for quite some time now. No one can play it anymore. This has affected the economies of all developed and developing countries. Everyone is looking for a systematic way to make a currency like Bitcoin. Tanvir Ehsanur Rahman, Chief Technical Officer (CTO) of InterCloud Limited, the country’s internet service provider, said, “Whether we accept it or not, there is no doubt that cryptocurrency or virtual currency will change the economic landscape of the world. Virtual currencies have already begun to be approved in a controlled form in many countries. Virtual currency can be introduced in our country in a special constitutional way.
This cryptocurrency or virtual currency has a market of more than 300 billion US dollars in the world today. There are several thousand types of virtual currencies in the market. Of these, 10 to 12 types of coins are better known. However, Bitcoin has occupied 80 percent of the market. This week, the price of each bitcoin has stood at around 10,300 US dollars.
Bitcoin was invented by computer scientist Satoshi Nakamoto in 2006. This is his pseudonym Because Bitcoin can be easily traded online using Bitcoin, it is known as peer-to-peer transaction or online transaction from an independent customer to a customer. Bitcoin transactions are protected by a server called Bitcoin Miner. When Bitcoin is transacted between multiple computers or smartphones connected to a peer-to-peer communication system, its central server updates the user’s laser. Virtual currency Bitcoin can be purchased online. However, in other monetary systems, such as the country’s government and the central bank, Bitcoin is not involved.
In December 2016, Bangladesh Bank issued a warning not to transact in virtual currency online. According to the central bank, virtual currencies like Bitcoin are not recognized by the legitimate authorities of any country in the world. So it is not right to trade in virtual currency. The directive issued by the central bank said, “Since virtual currency is not issued by the legitimate authorities of any country, there is no recognition of financial claims against it.” Bangladesh Bank has mentioned that there are financial and legal risks through such transactions.
Although there is a ban on virtual currency transactions in the country, the government is interested in blockchain technology. The government has also allocated in this sector in the proposed budget to take digital Bangladesh forward. It has also been said that blockchain technology will be used experimentally in the next financial year. The main technology behind Bitcoin is blockchain. However, in other monetary systems, such as the country’s government and the central bank, Bitcoin is not involved.
There is no banking system in bitcoin transactions. Cryptography is a direct exchange between two users online electronically. Bitcoin’s supply is limited, so it is compared to gold. The supply of such gold will be depleted at one stage of extraction from the mine. Then there could be the lifted gold bikini. However, there will be no opportunity for new lifting. The idea of bitcoin is the same. Bitcoin has to be ‘extracted’ through the solution of the algorithm, which is known as bitcoin mining.
Shamim Ahsan, general partner and chairman of the engineering group at Phoenix Venture Capital, told Prothom Alo: “Mining is linked to cryptocurrency. It takes server and electricity. Cryptocurrency mining is done by setting up servers. Currency remains fixed. Peer-to-peer transactions can be done from here. There is a huge potential for startups in Bangladesh to invest in this sector. We have to go ahead with proper planning for this. ‘