Bitcoin is a
cryptocurrency, which offers quick, cheap, worldwide and highly private payments between two people (or customer and merchant). It is like digital cash that you use to pay for products or services and the best part is - no one controls it. Bitcoins are not printed like fiat currencies, and all transactions are made without the intermediary (the bank). Bitcoin price is solely determined by supply and demand of bitcoins. As bitcoin is a decentralized currency, therefore, there is no market intervention to impact bitcoin value. To put it simply, the rise in bitcoin price suggests that more people are willing to buy bitcoins than to sell bitcoins and vice versa.
There is one question that stands out:
is bitcoin legal? Short answer – yes. Longer one – legality of bitcoin usage depends on what you are doing with it.