Seriously though, what in the name of God is BITCOIN? We found out

So we've been hearing all about Bitcoin for months, and while I may smile and nod when people discuss it, I've no clue what it is.

NONE. 

'It's a crypto currency' – cool yeah, sounds good… WHAT? 

To avoid seeming like a total moron among people who know everything, I decided to do research into what exactly Bitcoin is.

Eye opening results, let me tell you.

Bitcoin is a digital and global money system (currency). It allows people to send or receive money across the Internet, even to someone they don't know or don't trust. Money can be exchanged without being linked to a real identity. The mathematical field of cryptography is the basis for Bitcoin's security.

It is a form of currency, known as a cryptocurrency, which is similar to the former US “Gold Standard” currency, but operates like its own Internet and is the world’s first free market, decentralised global currency. Bitcoins can be exchanged for other currencies, goods or services.

According to Quora.com, 'Bitcoins are created out of thin-air through an open-source computer mining system similar to a lottery, yielding a commodity like gold.'

Bitcoins are bit more different than a standard currency since it has it's own built in transaction system through its mining process.

'If the dollar, gold and visa had a baby we'd call it Bitcoin.' says Quora. 

Bitcoin operates on a open transaction ledger called the 'Blockchain'.

'All transaction data on the network is recorded on the blockchain. Each time a new block is mined the transaction data held inside that block is added to the blockchain and confirmed. The blockchain is then downloaded by every wallet making it irreversible. All information on the network is encrypted to create anonymity, but this still needs more improvement.'

As Bitcoins continue to be mined they begin to create more value since more and more people begin to own them. You can kind of think of them as trading cards or beanie babies. The longer you hold onto these things the more value they tend to take on as more and more people begin collecting them.

Still have no idea what's going on? Fair. Watch this video, and you'll be grand.