what_is_bitcoin_title
what_is_bitcoin_bitcoin_btc_is_the_world_s_first_and_mos
what_is_bitcoin_think_of_bitcoin_as_digital_gold_just_li
Decentralised
No single company, bank, or government controls Bitcoin. It runs on a global peer-to-peer network of thousands of computers.
Limited Supply
Only 21 million bitcoins will ever exist. This built-in scarcity is hardcoded into the protocol and cannot be changed.
Borderless
Send any amount of Bitcoin to anyone, anywhere in the world, 24/7 — no bank approval or international transfer fees needed.
Bitcoin is often described as a store of value, a hedge against inflation, and a new kind of financial infrastructure. It's used by individuals, corporations, and even nation-states as part of their financial strategy.
how_bitcoin_works_title
Bitcoin runs on a technology called the blockchain — a public, transparent ledger that records every transaction ever made. Here's how the key pieces fit together:
Blockchain
A chain of blocks, each containing a batch of verified transactions. Every block is linked to the previous one using cryptography, making it virtually impossible to alter past records. Anyone can view the blockchain — it's completely transparent.
Mining
Specialised computers (miners) compete to solve complex mathematical puzzles. The first miner to solve the puzzle gets to add the next block of transactions to the blockchain and receives a reward in newly created bitcoins. This process secures the network and creates new coins.
Transactions
When you send Bitcoin, your transaction is broadcast to the network. Miners verify that you actually own the coins and include your transaction in the next block. Once confirmed, the transaction is permanent and irreversible.
Wallets
A Bitcoin wallet stores your private keys — the cryptographic passwords that prove you own your bitcoins. Your wallet doesn't actually 'hold' coins; it holds the keys that let you spend them. Think of it like a password to your bank account, except you are the bank.
key_takeaway Bitcoin removes the need for trusted intermediaries like banks. The network itself verifies transactions through mathematics and consensus — not authority.
bitcoin_key_facts_title
Created
january_2009
created_sub
Maximum Supply
21,000,000 BTC
max_supply_sub
Currently Mined
~19.8M BTC
94.3% of total supply
Block Reward
3.125 BTC
Since April 2024 halving
Halving Cycle
Every 4 Years
Next: ~April 2028
All-Time High
$126,000
October 2025
Is Bitcoin a Good Investment?
what_is_bitcoin_bitcoin_has_been_the_best_performing_ass
Historical Performance
Bitcoin reached an all-time high of approximately $126,000 in October 2025. Over any 4-year holding period in Bitcoin's history, investors have been in profit. However, drawdowns of 50-80% have occurred in every market cycle.
Halving Cycles
Bitcoin's price has historically surged 12-18 months after each halving event (2012, 2016, 2020, 2024). The reduced supply of new coins entering the market creates upward price pressure when demand remains constant or grows.
ETF Adoption
The approval of spot Bitcoin ETFs in the US (January 2024) opened the floodgates for institutional investment. BlackRock's IBIT became the fastest ETF to reach $10 billion in assets. European Bitcoin ETPs are available on major exchanges like Euronext and Deutsche Borse.
Risks to Consider
Bitcoin is volatile — 30-50% corrections are common even in bull markets. Regulatory changes, technological risks, and market sentiment shifts can all impact the price. Never invest more than you can afford to lose.
important Past performance does not guarantee future results. This guide is for educational purposes only and does not constitute financial advice.
How to Buy Bitcoin
what_is_bitcoin_buying_your_first_bitcoin_is_straightfor
Register on Binance
Create a free account at Binance.com. Use a strong password and enable two-factor authentication (2FA) immediately for security.
Verify Your Identity
Complete KYC (Know Your Customer) verification by uploading a valid ID document. This is required by EU regulation (MiCA) and typically takes under 10 minutes.
Deposit EUR
Fund your account via SEPA bank transfer (free or minimal fee, 1-2 business days) or debit/credit card (instant but slightly higher fee). Binance supports all major European currencies.
Buy BTC
Navigate to 'Buy Crypto', select Bitcoin (BTC), enter the amount in EUR, and confirm. You can buy as little as a few euros worth. Your Bitcoin appears in your Binance wallet instantly.
Want to invest gradually? Use our dca_calculator_label dca_calculator_cta_html
Buy Your First Bitcoin
Create a free Binance account and buy Bitcoin in minutes. Lowest fees, EUR deposits via SEPA, and trusted by millions of users in Europe.
Buy Bitcoin on BinanceAd · Digital asset prices are subject to high market risk and price volatility. Don't invest unless you're prepared to lose all the money you invest. Terms & risk disclosure
This page contains affiliate links. We may earn a commission at no extra cost to you.
Bitcoin vs Other Crypto
Bitcoin was the first cryptocurrency, but thousands of others now exist. Here's how Bitcoin compares to the main categories:
| Feature | bitcoin_btc_2 |
|---|---|
| Purpose | Store of value, digital gold |
| Supply | Fixed 21M |
| Consensus | Proof of Work |
| Volatility | High |
| Use Case | Long-term savings, payments |
| Track Record | Since 2009 (longest) |
bitcoin_comparison_closing_html
compare_more_labelBitcoin vs Ethereum | Altcoins vs Bitcoin
Bitcoin Mining Explained
mining_intro_html
How Mining Works
Miners compete to find a specific number (called a 'nonce') that, when combined with the block data, produces a hash that meets certain criteria. This requires trillions of guesses per second. The first miner to find the correct hash wins the right to add the block and receives the reward.
The Energy Debate
Bitcoin mining consumes significant energy — comparable to a small country. However, studies show that 50-60% of Bitcoin mining uses renewable energy sources. Many miners seek out stranded or excess energy (hydroelectric, solar, natural gas flaring) that would otherwise be wasted. The debate continues, but the industry is trending greener.
Halving Impact on Mining
Every halving cuts miner revenue from block rewards in half. This forces less efficient miners offline and incentivises investment in more energy-efficient hardware. After the April 2024 halving, the reward dropped from 6.25 to 3.125 BTC per block. Miners increasingly rely on transaction fees to supplement their income.
For a deeper dive, visit our Bitcoin Halving Countdown bitcoin_halving_countdown_page_suffix
Bitcoin Wallets
A Bitcoin wallet is how you store, send, and receive Bitcoin. There are several types, each with different trade-offs between convenience and security.
Hot Wallets (Software)
- hot_wallets_item1_html
- hot_wallets_item2
- hot_wallets_item3
- hot_wallets_item4
- hot_wallets_item5
Recommended for: Small amounts, daily spending, beginners
Cold Wallets (Hardware)
- cold_wallets_item1
- • Most secure option for long-term holding
- • Physical device costs EUR 60-200
- • Immune to online hacking
- • You are fully responsible for backup
Recommended for: Large holdings, long-term storage
Exchange Wallets
When you buy Bitcoin on Binance or another exchange, your coins are stored in the exchange's wallet by default. This is the simplest option for beginners — the exchange handles security and backup. However, you don't control the private keys directly. For larger amounts, consider withdrawing to a personal hardware wallet.
Recommendation: Start with your exchange wallet (Binance). As your holdings grow beyond what you'd be comfortable losing, invest in a hardware wallet like Ledger or Trezor for cold storage. Many experienced users keep a small amount on-exchange for trading and the majority in cold storage.
Bitcoin and EU Regulation
The European Union has established one of the world's most comprehensive crypto regulatory frameworks. Here's what you need to know:
MiCA (Markets in Crypto-Assets)
The EU's landmark crypto regulation, fully in effect since December 2024. MiCA requires all crypto exchanges operating in Europe to be licensed, provides clear rules for stablecoins, and establishes consumer protection standards. Binance is MiCA-compliant and serves European customers.
Bitcoin ETFs & ETPs in Europe
European investors can access Bitcoin through regulated Exchange-Traded Products (ETPs) listed on major exchanges like Euronext, Deutsche Borse, and SIX. Products from providers like CoinShares, 21Shares, and WisdomTree offer easy exposure. US-listed spot Bitcoin ETFs (IBIT, FBTC) may also be accessible through certain European brokers.
DAC8 Tax Reporting
The EU's DAC8 directive (effective from 2026) requires crypto platforms to report user transaction data to tax authorities. This means crypto gains are increasingly tracked. Tax treatment varies by country — Germany exempts crypto held over 1 year, while France applies a flat 30% rate. Always consult a tax advisor in your jurisdiction.
For a comprehensive overview, see our Crypto Taxes in the EU guide.
Frequently Asked Questions
Is Bitcoin safe?▼
Can Bitcoin go to zero?▼
Is Bitcoin legal?▼
How much should I invest in Bitcoin?▼
What is Bitcoin mining?▼
Should I invest in Bitcoin?▼
Is it too late to buy Bitcoin?▼
What is Bitcoin halving?▼
Related Tools & Guides
Crypto for Beginners
Complete beginner's guide to crypto.
Make Money with Crypto
8 proven methods to earn.
Start Investing
Portfolio allocation & strategies.
Bitcoin Price Tracker
Real-time BTC price with OHLC charts.
How to Buy Bitcoin
Step-by-step guide to buying BTC.
Halving Countdown
Live countdown to the next halving.
DCA Calculator
Simulate dollar-cost averaging.
Bitcoin ETF Guide
Everything about Bitcoin ETFs.
Staking Guide
Earn passive income on BTC.
Start Your Bitcoin Journey
Join millions of European users on Binance. Buy Bitcoin with EUR via SEPA transfer, the lowest trading fees, and full MiCA compliance.
Create Free Binance AccountAd · Digital asset prices are subject to high market risk and price volatility. Don't invest unless you're prepared to lose all the money you invest. Terms & risk disclosure
This page contains affiliate links. We may earn a commission at no extra cost to you.
Disclaimer
This guide is for educational purposes only and does not constitute financial, investment, or tax advice. Cryptocurrency markets are highly volatile — the value of Bitcoin can go down as well as up, and you may lose your entire investment. Past performance does not guarantee future results. Always do your own research and consider consulting a qualified financial advisor before making investment decisions. This content is not intended as a solicitation or offer to buy or sell any financial instrument.
footer_educational_note