Which of the following statements about Bitcoin is/are correct? 1
| Which of the following statements about Bitcoin is/are correct?
1) It is a decentralized virtual currency.
2) It is generated through complex computer software systems.
3) The Reserve Bank of India recognized it as a legal tender in January 2016.
Select the correct answer using the code given below.
1) It is a decentralized virtual currency.
2) It is generated through complex computer software systems.
3) The Reserve Bank of India recognized it as a legal tender in January 2016.
Select the correct answer using the code given below.
A. 1 only
B. 1 and 2 only
C. 2 and 3 only
D. 1, 2 and 3
Please scroll down to see the correct answer and solution guide.
Right Answer is: B
SOLUTION
Bitcoin is the world's first cryptocurrency, a form of electronic cash. It is the first decentralized digital currency: the system was designed to work without a central bank or single administrator. Bitcoins are sent from user to user on the peer-to-peer bitcoin network directly, without the need for intermediaries. These transactions are verified by network nodes through cryptography and recorded in a public distributed ledger called a block chain. Bitcoin was invented by an unknown person or group of people using the name Satoshi Nakamoto. Bitcoins are not recognised as a legal tender by Reserve Bank of India.