Topic: What we mean by bitcoin is spent on a peer -2-peer network? (Read 147 times)

Hi op, I seriously didn't understand the requirement of your topic or what is the information you are trying to convey!

Bankings system is not flawless - we all know that. Banking system is centralized and thrives on other's money! That's a known fact.

Bitcoin doesn't require an intermediary- that is also a know fact. What exactly you are trying to establish?

Not really.

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Low fee or not, an unconfirmed transaction can be double spent.
Each block is confirmed averagely every ten minutes, so there is always a gap between when a transaction is broadcasted, verified and when it gets its first confirmation (not necessarily ten minutes).
A transaction is not complete until it gets at least 1 confirmation, for much higher amounts waits for 3 confirmations, ideally.

True, there's no third party intermediary, only nodes and miners who help secure the network.

P.S, here's a link to a snippet on how to Quote a post. I understand it can be a bit difficult to understand at first, but practicing and checking how other users does it would help you perfect it.

Given the digital nature of the bitcoin network, most people still don't understand the underlying processes that occur inside it, they tend to think of bitcoin as something of physical nature, for instance, coins, that is being somehow moved via the Internet. It is akin to magic, how do you send coins if there is nothing tangible in them? The thing is you do not send any coins, neither digital, not physical. What is the Internet good for? Right, it is a perfect tool to send a message to someone. The bitcoin protocol is a decentralized network that allows you to talk to other users without worrying someone will change your message. However, these are not simple messages, they represent transfers of ownership over particular chunks or UTXOs. People value these messages because no one in this world is able to confiscate or change what they represent. It allows these UTXOs or messages to serve as a means of exchange, or a store of value. When you spend your bitcoin, you transfer your right to own a message to another person.

Bitcoin is the first cryptocurrency of its kind, but it is not the first digital currency.

Bitcoins can actually be reversed after a transaction is signed, as far as it is yet to be confirmed. If the fee is too low, a transaction may not be registered at all.
A transaction is also not automatic, there are nodes and miners involved who participate in maintaining the decentralization of the currency.

Have you considered making transactions from your bank account and getting a notification that the amount you about to transact is beyond your daily limit ? or you are been given a certain limit of fiat currency you are entitled to have for a specific kind of investment. Many people have lost their fiat currency to banks and  government agencies because the could not provide a tangible source of their money and many had to give up after much treat from financial institution to prove them of their assets. This has been much of an issue over the years making many to doubt the bank system with their funds. Many has to limit the amount not money the kept with banks. Many had to adopt saving their money through other means other than government owned financial institution and many got scammed. I will explain this concept in plain terms so the novice can relate with the new era of monetary reforms

A well packaged solution came up in Jan 2009 after an anonymous hero by name Satoshi nakamoto thanks Satoshi, introduced the first digital currency. This innovation isn't just any currency with limitations this came with a technology, a structured network and a trusted transaction package breaking the protocol of intermediaries and trust.

Now  the  concept of peer-2-peer came to solve the centralized issue we had with the delay in transactions and the restrictions to specific amount from regulatory agencies. The blockchain technology upon which bitcoin and other crypto currency is built upon created an opened source ledger that exist on a network in which any one can participate. How does this peer-2-peer actually work. Assuming you want to send an amount of bitcoin to user B. The network provides a system where you send it over the internet without having issues of trusting a third party to confirm and execute your transactions. Now once you send Bitcoin to user B no matter the amount it automatically move from your wallet and cannot be reversed. Waiting for a confirmation on the network and once it's confirmed the coin moves to the recipient's wallet