What broken down with 100 pennies, ” ..a single

What if there was a faster and better way to buy things online. Trades between you and strangers, with little transaction fee. The best part is, you don’t even need money. Welcome to bitcoin; a transaction site that allows you to trade, buy and sell, with no trace of who you are. Some would say it’s a form of black market, but this is a legal site, as it has many investors helping it run. Even though bitcoins are seemingly private or not traceable; it is a risky investment because bitcoins are not safe to use and are easy to get hacked because your transaction are publicly stored on others devices and it isn’t clear as to how bitcoins are valued at.Bitcoin is a “crypto currency” or digital money. You don’t get to hold a bitcoin, it’s simply  intangible. Just like a dollar can be broken down with 100 pennies, ” ..a single bitcoin is divisible into smaller units. All the way down to eight decimal places…”(Allyson). It’s a little complicated as to how bitcoins came about. There are multiple sources saying there was one person and then some said there was a group of people. The allege creator(s) goes by the name, “Satoshi Nakamoto…who claimed that work on the writing of the code began in 2007” (Wikipedia). Bitcoin was released, “…in  2009 Nakamoto released version 0.1″(Popper). You earn bitcoins by completing task on websites, for example, surveys. When you complete a survey you will receive a few bitcoins for your participation. When you trade in bitcoins, they are processed, “… through bitcoin wallets that get included in  block chains. A key is used to sign off on each transaction” (Allyson). You may think this is a legit source of security, but do not let that fool you. Due to the fact that bitcoin payments are easier to make than with the swipe of your card and, “… are received without a merchant account” can leave you coins sitting ducks. “It’s as easy as entering the recipients address, the payment amount, and pressing send”(Allyson). Due to this the only security is the “keys” mentioned before. Then when the transaction is being processed to the block chain, hackers can attack. There have been many hacks from the very beginning of bitcoins launch. In one hack, “25,000 bitcoins were stolen from their wallet after hackers compromised the Windows computer they were using. Even at the time, that sum was worth more than $500,000″(Hern). Bitcoin is a high risk of being hacked and losing all of the bitcoins that you worked for or traded for. The block chain is a ” public ledger that is stored and duplicated on 1,000s of computers throughout the world” (Newsroom). This public ledger is open to anyone to see who is trading with who. A hacker can see how much your transaction are. The more your transaction is the bigger target you are. As the value of cryptocurrency soars, more investors are grappling not just with how to profit from it, but how to hold on to it at all. “Coinbase looks like a bank, talks like a bank, and takes millions of dollars in cash like a bank, but, in practice, it functions like a dimly lit underground casino,” says Cody Brown, whose account was hacked for $8,000 in the span of just 15 minutes. “You don’t realize that the balanced fonts, smooth blue gradients, and endless copy about trust mean absolutely nothing—until you are robbed blind.” ( Hern). The one thing that makes bitcoin unique is also the reason hacks are easily successful. With no “central third-party intermediary such as a bank” the lack of security should be a concern for using bitcoins. Like other major currencies such as gold, United kn States dollar, euro, yen and others , there is “no guaranteed purchasing power and the exchange rate floats freely. This leads to volatility where owners of bitcoins can unpredictably make or lose money”(Hern). You can lose your coins just as fast as you got them. Coins can be lost in transactions and since there is a set limit to bitcoins, “maximum of 21 million coins. To date, about 16.7 million bitcoins have been created—although Chainalysis, a digital forensics company, has estimated that somewhere between three and four million already may have been lost” (Newsroom). This is a high risk to make money because there is a set limit. Due to this, bitcoins value can fluctuate within days, even hours. There are many reasons as to why bitcoins are worth more at a point in time than another. One reason why Bitcoin may fluctuate  is the perceived store of value versus a government 3rd party like money. Although, “Bitcoin has properties that make it similar to gold.  It is governed by a design decision by the developers of the core technology to limit its production to a fixed amount, 21 million”(Baker). And like gold, there is almost a limited amount. The more gold there is in the world, the less value it has. As of right now, ” one bitcoin is  valued more than one ounce of gold” (Tiler). Since that differs markedly from a  dollar stand point , which is managed by governments who want to “maintain low inflation, high employment, and satisfactory growth through investment in capital resources”(Baker). Meaning bitcoins has no laws, no regulation, no taxes, no government affiliation. Bitcoins are only worth something when majority of people are using them. With the max of 21 million, the more people who use them, the less that are available. So the price of the bitcoin is more that day. For example; one day the price of a bitcoin can mean you can spend  100 bitcoins on 7 different things. Then the next day, they can only barely afford one of the seven they bought previously. This is due to the usage of bitcoins. Which is day to day or an unbalanced “currency”.  With the unbalanced schedule of the fluctuated bitcoins, it is unpredictable to determine how much cost something. This causes confusion and is just another reason as to why bitcoins are risky investment. There are many ways people can invest their money and have their money work for them. Bitcoin is another part of an investment with very high risk. The creator(s) Satoshi Nakamoto has great intentions of giving money, dare say it, a run for its money. Not only money, but investors as well. With high risk of being hacked right out of your transaction, documents stored on starters devices, and an unbalanced value, bitcoin is a very high risk. No agencies are monitoring any transaction, and very poor security per transaction, it’s no wonder there are only a limit of 21 million bitcoins available. Not to mention once you complete a transaction, hacked or not, there are no refunds. Investors must invest and creators must create, choose wisely.