How Bitcoin works: An introduction to cryptocurrency

• July 20, 2014

Bitcoin is currently at the stage in its development where you won’t find people who have never heard of it, but very few know much about it. In fact, it is one of several digital currencies that are based on complex cryptographic methods. We’ll glaze over those methods for simplicity’s sake so you can figure out how Bitcoin works.

Another thing to note is that there are now several “copycat” or otherwise similar digital currencies to Bitcoin, collectively known as cryptocurrencies. These are known as such because they use cryptography to make an all-digital currency viable in terms of its security. While each has its differences, this introduction will teach you enough that you’ll be well on your way to understanding how other cryptocurrencies work as well.