Bitcoin is a decentralized digital currency, without a central bank or single administrator, that can be sent from user to user on the peer-to-peer bitcoin network without the need for intermediaries. Transactions are verified by network nodes through cryptography and recorded in a public distributed ledger called a blockchain.
Bitcoin is unique in that there are a finite number of them: 21 million.
NOTE: WARNING: Bitcoin is a complex concept and should not be taken lightly. Investing in Bitcoin carries risk and should be done with caution. It is important to understand the basics of Bitcoin before investing, as it can be a volatile asset and losses can occur. Additionally, there are no government regulations governing the use of Bitcoin, which can make it a risky investment.
Bitcoins are created as a reward for a process known as mining. They can be exchanged for other currencies, products, and services.
As of February 2015, over 100,000 merchants and vendors accepted bitcoin as payment.