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  • What is Bitcoin: Each Bitcoin is basically a computer file which is stored in a 'digital wallet' app on a smartphone or computer.
  • Cryptocurrency: This is an internet-based medium of exchange which uses cryptographical functions to conduct financial transactions.
  • Crypto Arbitrage: This allows you to take advantage of those price differences, buying a crypto on one exchange where the price is low and then immediately selling it on another exchange where the price is high.
  • What purpose do they serve: It can be used to buy or sell items from people and companies that accept bitcoin as payment.
  • Blockchain: This is a decentralized, distributed, and oftentimes public, digital ledger that is used to record transactions across many computers so that any involved record cannot be altered retroactively, without the alteration of all subsequent blocks.
  • Cryptocurrency mining: This is a process in which transactions for various forms of cryptocurrency are verified and added to the blockchain digital ledger.
  • Cryptocurrency Trading: This is the act of speculating on cryptocurrency price movements via a CFD trading account, or buying and selling the underlying coins via an exchange.

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