What is the module of Bitcoin? (What does Bitcoin do?)

What is the module of Bitcoin? According to ambcrypto, Bitcoin is a modular digital currency. According to the definition, it consists of two parts: one is the blockchain, and the other is the Bitcoin module. The other two parts are the Bitcoin system composed of a set of specific programs, including payment, encryption, and other processes. These processes can be executed by multiple nodes. What is the module of Bitcoin? In simple terms, this framework is a branch of Bitcoin, and each participant has different rights to process their transactions or transfer their assets.

What does Bitcoin do?

What does Bitcoin do? What exactly is it? We all know that Bitcoin has nothing to do with currency. But if you ask everyone a question: what is Bitcoin, then it is: how is it generated? Its mechanism is essentially no different from anything else.

In real life, people use their phones or computers to send messages and receive payments. When you put data on the Internet, the computer sends you an email or message, and then passes these messages to others to check for vulnerabilities or security risks, and so on. So how can you ensure that you get effective service? So many people say, “I can solve this problem using the Internet”. In fact, this is not the case, and because the Internet is not just a technical solution.”

Bitcoin was born on an accidental date of December 17, 2009. At that time, a netizen suddenly expressed, “I discovered a malicious software program on a website in early 2014, so I invented this new technology and it has been running ever since. It has been more than a week now.” Later, some people believed that this was due to certain reasons—for example, the recent exposure of Facebook developing an encrypted wallet, and the US government announcing plans to regulate Libra.

However, as Bitcoin becomes more and more popular, many people have also begun to realize the enormous potential of this emerging technology. “Just like many times, if you want to buy some digital assets, you have to spend a long time buying some hardware devices (such as CPUs) to store things in them.” That is to say, although the blockchain itself has not realized real financial application scenarios, it has indeed achieved a very simple payment method. Bitcoin is such a distributed system.

In order to simplify the transaction process, users must first download a client and can perform various operations through this client. At the same time, they can also choose different nodes to process different types of data, in order to provide the best and optimal services for everyone. Therefore, in addition to traditional bank accounts, Bitcoin can also be used for transfers, saving a lot of expenses, and allowing more people to use this tool in their daily lives. (Of course, the exchanges mentioned here are centralized institutions, not all companies can achieve this). In addition, there is another mechanism called custody.

Why is it so simple? Because most companies are built on trust, as long as they have enough money, they can store cash worth more than 10 million dollars without worrying about loss of customer funds. For ordinary consumers, Bitcoin is a very attractive type of investment product.