23/09/2022
What is the Value of Bitcoin？
Bitcoin is just a piece of computer software. For most people, it's just a bunch of unreadable code that makes it almost impossible to see what it's worth. If a software can make so much money, we are the most familiar and the most easy to understand is Bill Gates and its Microsoft Windows operating system. Windows made its way into homes and industries, and people used the computer program to increase productivity and create so much value that Microsoft was once the most valuable company in the world. What about Bitcoin, which is also a particularly expensive software? "Value comes from consensus" is a familiar phrase. In fact, many people would like to know what value Bitcoin brings to the specific people and things, which underpinned the consensus on it and steadily pushed its market value to more than 1 trillion yuan.
1.Miners and other mining ecological participants in simple terms, the currency mill for miners is continuous profit machine, it can generate value like chickens lay eggs, even billions worth rich road, this is the currency for the miners, ore airport business, the pool (service), and other involved in mining ecological upstream and downstream the value of these people. Miners are the most important players in Bitcoin, and for miners, a mining machine that produces bitcoin is a "hen" that lays golden eggs. Although dig a way is not always as easy as imagined, and really a bit like a "chicken farm" generally need to provide all kinds of suitable environment, maintenance and transmission of "food" (energy) gave birth to "golden eggs", but the miners are attracted by the currency of benefit distribution mechanism, and constantly have new miners join in. The full name of the Bitcoin system is: a peer-to-peer electronic cash system, so users can use it to initiate money transfers. So why use it to transfer money? To put it bluntly, it saves time, effort and money. Bitcoin does not need to go through banks, third-party payment companies and so on to directly reach the other party's account, which also eliminates the processing time, operation manpower and costs of third-party institutions. The high buildings built by banks and other financial institutions through the fees of financial services can show how huge the fees are. In fact, many people do not understand the concept of third-party guarantee institutions very well. In many cases, we transfer money for free, because in the credit society, small transfer is completed through the credit line between different financial institutions, not real transfer.
2. Depository and speculator Because Bitcoin has useful value, has many high-quality characteristics especially like gold, some of which are better than gold, and also has "partial" hedging and value storage functions like gold, it has been gradually regarded as an international hard currency like gold and began to be hoarded by many people.
3. People in poor, backward or "volatile" areas Due to the low cost and short time required for Bitcoin transfers. In many poor and underdeveloped countries, transferring money over encrypted networks eliminates the need to build an expensive network infrastructure. Bitcoin's infrastructure is built by miners around the world, has no burden on poor governments, and there are no intermediate costs for payments and salaries, which can save a lot of money. There are many such corners of the world, remote but rich in minerals or natural resources such as water and wind. For example, there are many coal mines in some areas, but they cannot be transported out due to the high transportation cost. At the same time, due to the sparseness of population, the thermal power, hydropower station and wind farm in these areas are very excessive, and the economy in these areas is relatively backward. This time they really need and welcome the miners, the miners not only brought a lot of jobs, also the local surplus energy into electricity through the COINS again dig a large number of output gains, it could actually equivalent to the original surplus waste of the energy value of the currency through the network to store, and then through the electricity bills to pay for the local government and people, Boost the local economy. N-chain Qiao Education Online's student-master innovation blockchain technology workstation is the only approved "blockchain technology professional" pilot workstation of "Smart Learning Workshop 2020- Student-Master Innovation Workstation" carried out by the School Planning, Construction and Development Center of the Ministry of Education of China. The professional station is based on providing diversified growth paths for students, promoting the reform of the training mode of combining production, education and research for professional degree postgraduates, and constructing an application-oriented and compound personnel training system.
