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Bitcoin

Bitcoin is a digital currency that was launched by a secretive entrepreneur in October 2008, with the aim of being “a new electronic cash system that is fully peer-to-peer with no trusted third party”.

Bitcoins are created by users (a.k.a. “miners”) who allow the Bitcoin system to use their computing power to process Bitcoin transactions. These miners are also rewarded with the some of the transaction fees paid by those who use Bitcoin. A few retailers, especially online, accept Bitcoin, partly because the transaction fees are lower than those of credit cards. However, Bitcoin’s value has been volatile.