00:01 Bitcoin explained simply! 12:04 This is Matthew He works with online payments and his grandmother Margaret started using online banking! 00:10 She heard about Bitcoin, but not yet you know what it is 12:13 Matthew can explain! 00:16 Everyone knows money: 00:18 we use cash or cards to buy things, whether in stores or online 00:22 Bitcoin works in a similar way, but it's a fully digital currency: 00:26 is created and stored electronically
00:31 The bank controls Margaret's money, 00:33 while people themselves control your Bitcoin payments 00:37 Her money could be affected by inflation 0:39 but Bitcoin cannot 00:41 Controlling bitcoin production is possible keep its value at a very solid level; 00:45 this makes it popular in countries with economic problems 00:49 because users can get around inflation and other problems 00:53 However, even small events like a bad news from the media can dramatically affect the value of Bitcoin 01:01 So where can Margaret use her bitcoins? 01:04 Some companies and online retailers already accept it as a form of payment
01:08 However, Bitcoin is still relatively unknown by businessmen 01:12 for being a developing network 01:14 The simple and pseudonymous nature of Bitcoin 1:17 also made him attractive to smugglers on the black market 01:22 From Matthew's perspective, Bitcoin is an app on a computer or cell phone 01:27 that works like an online wallet It is easier to make payments with Bitcoin 01:31 than with conventional credit and debit cards; 1:33 just enter the recipient's address, the amount to be paid and press send 1:40 Margaret can send and receive money instantly 1:42 anywhere in the world at any time
1:45 Unlike credit cards, there are very small (or nonexistent) rates 01:49 because there is no bank as an intermediary and no personal or sensitive data is stored 1:56 Each user has their own "address" 1:59 where you can send and receive bitcoins 2:01 A collection or "block" of these transactions are added to the block chain, the Bitcoin equivalent of the ledger or registration of banks 02:10 Users who maintain this form of accounting are rewarded as new bitcoins 02:15 this is known as "mining" 2:16 There is a fixed bitcoin limit, 02:19 but over time bitcoins can be divided to maintain a consistent value
2:25 Now that Matthew explained about Bitcoin 2:28 am Margaret stopped thinking that online payments 2:31 are so complicated 02:33 Bitcoin shows itself as a real alternative for the universal currency of the future 02:40 Subtitled and resynchronized by Fernando Paladini
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