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A Guide On How To Understand Bitcoin And Cryptocurrency?  
  
Although Bitcoin is likely one of the most searched for phrases (in response to Google), it is a really technical topic for a lot of people and may get overly technical for non geeks. Nevertheless, there are actually hundreds of cryptocurrencies and more and more people are starting to need to get to know how they work presumably driven by a dis trust of bankers, which is an entire totally different discussion.  
  
It's difficult to get a lay man's clarification without having to make use of technical phrases reminiscent of "secret keys", "digital keys", "digital wallet" and "cryptocurrency" so I will do my greatest to keep things as straight forward as I possibly can.  
  
The Idea of Fiat money i.e. paper currency, was formulated to make it easier for people to make an exchange for goods or providers to interchange bartering, as this can be limited to an change between willing parties at greatest, whereas cash means that you can provide your service or items, then purchase whatever service or goods you require from one other or others.  
  
Due to this fact, I'd argue that Bitcoin is the 21st Century equivalent to bartering, in that it works as an change for items or companies directly between willing parties. Bartering had to be primarily based on every promise and trust, to provide and deliver the promised goods or service.  
  
Immediately with Bitcoin or some other cryptocurrency each party would need a unique file or distinctive key to change the agreed value between every other.  
  
By having a unique key or file it becomes simpler to keep a file on each transaction. Nevertheless, this too comes with problems.  
  
Now, bartering is the easy alternate of skills or items as I have already acknowledged, the modern equal, or bitcoin is susceptible to security breaches, i.e. theft or hacking of files, this is where a "cryptocurrency wallet" comes into the equation to secure your transactions.  
  
Basically you want a secure location on your cryptocurrency/bitcoin purchases and holdings. This is the place the necessity for a hardware wallet comes from.  
  
So now that you've got written down/recorded which address holds which amount of Bitcoins after which up to date each time a transaction is made, the file is known as "The blockchain" - and it keeps a file of all transactions made with bitcoin.  
  
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