What are the main benefits and disadvantages of performing a bitcoin transaction

1. Government Policies. One of the main reasons the bitcoin mining industry is there today is due the governments of a variety of countries encouraging people to start using this technology for financial purposes. In recent times, Zimbabwe's government Zimbabwe adopted a firm stance against this type of activity including banning the country's main bitcoin miners from connecting to the network. The move led to more than half of the bitcoin miners operating in https://en.wikipedia.org/w/index.php?search=bitcoin&title=Special%3ASearch&fulltext=Search&ns0=1 Zimbabwe being immediately shut down. Government Regulations. There have been several instances where a state has made official statements against certain aspects of digital currency like bitcoin. In one instance an instance, the IRS issued a proposed rule that would tax any person who owns more than one hundred thousand dollars any kind of virtual currency. The rule was later amended to include transactions in block chain asset, which includes the bitcoin. The government could also consider issuing official announcements regarding bitcoin transactions once bitcoin is accepted as a standard. Technical Specifications. The public hasn't seen much yet on bitcoin's proof-ofwork. Some experts say that it's possible to make an enhancement to the current bitcoin software, which would make it easier for miners to efficiently conduct transactions. This will result in immediate improvements in the speed of transactions and also the amount of transaction, which decrease the total https://edition.cnn.com amount of fees needed. Mining Activity. The speed of the transaction and the size of the transactions are the result of how the bitcoin network operates in general. bitcoin network. The main reason for the functioning of https://bitcoin- tidings.com/archive the blockchain is to avoid spam by ensuring that there is only a handful of transactions that are taking place at any given moment. This is accomplished through the set up of the "blockchain". The goal of the blockchain is to verify that the transaction chain exist and that it is valid. What Happens When miners begin attacking the blockchain? If two miners attempt to attack the blockchain Then one of them is established as an "emergency block" is made. The Emergency block appears when certain number of transactions fail through prior to the next block, sometimes referred to as the "difficult" block goes online. This emergency block will be used as a signal for all other miners that they must stop the mining process and stop from initiating any new transactions.

2. miners continue to mine at their own risk. They are putting their own mining endeavors at risk when they try to create most long chain. This is referred to as "selfish mining". In certain cases, the longest chain may not be the right one for the blockchain. Because the bitcoin protocol still in development this can pose a danger for people with huge mining stakes. This problem is why the bitcoin mining industry attempted the implementation of a system called " checkingpointing". Through the addition of the capability to mark a particular block as a "good" as well as"bad "bad" block mining miners reduce the likelihood of creating an undesirable long-chain. There are a myriad of ways that checkpoints are able to be applied to. But the most efficient method is using a BIP or block-level protocol that increases the security of the bitcoin network.