How Belarusians make money on bitcoins

How Belarusians make money on bitcoins

Modern technologies are really changing the world. It applies to economy, too. Computers digitize its main criterion - money. Bitcoin can be safely called the crypto currency of the year. Now every week it beats growth records. Once you could buy 1000 bitcoins for one dollar. Now everything has turned upside down: one bitcoin is worth about $18,000.

On May 22, 2010, a programmer and "digital miner" Laszlo Hanyecz could hardly persuade to accept 10 thousand bitcoins as payment for two pizzas. Now the transaction has gone down in history as the world's first transaction using crypto currency, and the Day of the most expensive pizza appeared in the calendar.

Yegor Brukhavetsky:
Probably, somewhere in 2010 I heard about bitcoins... I heard that was some crypto currency. It was worth only a penny at that time.

Yegor decided to buy crypto-currency only this spring. The man invested a small amount at first in bitcoin, and then in a few more crypto-currencies.

Yegor Bukhavetsky:
As an example: about 3 months ago I created a wallet for my wife. I put 12.5 dollars there. As of today - for 3 months - this is $46.64. Literally a month ago, I made a wallet for my son (he was 2 years old).

The very idea of ​​crypto currency is considered revolutionary. It does not need banks, because the money from the buyer to the seller goes directly without commissions, and the system is serviced by the users themselves. This is on the one hand. On the other hand, the excitement around the unsupported bitcoin increasingly worries financial analysts. For the year, "digital gold" has risen in price by almost 20 times!

Valery Polkhovsky, financial analyst:
When there is a lot of excitement around the movement of a financial instrument, it is a sign that the situation is overheated. It is possible that this is some kind of financial bubble. But this does not mean that we need to deny the very idea of ​​the crypto currency.

Bitcoin was coined almost 10 years ago. The author of the first crypto currency in the world is a Satoshi Nakamoto. Whether this person is real is still a mystery. Today there are about 1,000 kinds of crypto-currencies in the world. All of them are based on one breakthrough technology - blockchain.

Imagine a single network of accounting books that are publicly available, but do not belong to any country. This is how the blockchain works. A distributed database stores all ever committed transactions in the form of publicly available blocks of information. Copies of operations record millions of computers connected to each other.

Gabi Tagiyev, co-founder of an IT company:
This happens simultaneously. Blockchain has the most important function: it is not controlled by anyone.

Miners are engaged in the verification of millions of transactions. For checking and forming a new block of information in the network of blockchain miners receive a reward. Of course, in crypto currency. Initially, a simple home computer was enough for the extraction of cryptocurrencies. Today, digital miners work on top-end game graphics cards. Such equipment is called a farm.

Valery's "farm" costs about $2,000. For about a year, the young man has been mining Ethereum - the second most popular digital currency in the world.

Valery, miner:
I do not spend and do not withdraw what I earn. I'm saving up. For me this is a long-term investment.

Crypto currency is a new era in the evolution of money. Japan has officially recognized Bitcoin. In the USA, it is considered an exchange commodity, along with oil, gold and wheat.

Alexander Shugaev, co-founder of an IT company:
If we talk about crypto-currencies in principle, then, of course, the future belongs to them. First, it is transparency. Secondly, this means cheap and fast transactions. In principle, this is convenience.

Belarus has not yet defined the legal status of the crypto currency, but it is promised to regulate it with the signing of the Digital Economy Decree, which the Belarus President should sign by the end of 2017.

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