Decentralization

Bitcoin mining is decentralized banking.

In a centralized banking economy money is created by a central authority and distributed through banks and direct programs. In the Bitcoin decentralized banking economy anyone can create money directly without exchanging something like goods and services for money. 

When you make Bitcoins, you take Bitcoins.

Right now anyone with a few thousand dollars and a little bit of technical know-how can create Bitcoin by mining. The fundamental bargain is if you want to make Bitcoins by mining, you must also agree to process Bitcoin transactions.  The creation of the currency and the network to transact the currency are one in the same. Every computer that is mining Bitcoins is also handling Bitcoin transactions.  In a centralized banking economy, money transactions are primarily handled through 3rd party payment processors.

Every computer that is mining Bitcoins strengthens the Bitcoin community by  increasing demand for Bitcoin (by mining) and improving the efficiency and power of the exchange network (by handling transactions). When you dedicate your computer to mining you become a bank and payment processor in one.

 

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