In the previous article (What is Bitcoin? – Part III) we talked about the concept “asymmetrical encryption” and how the sender (person A) and the recipient (person B) of encrypted messages can be securely identified. Asymmetrical encryption is based on A and B having two encryption keys each. Now we are talking about how The transaction is
For individual users, there are both benefits and drawbacks in Bitcoin, depending on the payment situation. The benefits mainly relate to anonymity/integrity, convenience, rapidity and costs. The drawbacks mainly relate to the lack of any kind of protection for users. In certain situations the benefits can outweigh the drawbacks, and vice versa in other situations.