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Is Bitcoin a Secure Payment Method?

When we talk about payment, various things come to mind. But perhaps the most important among those is the thought of the safety of the payment.

There are a few things to know about bitcoin first in order to know about its safety. Firstly, the bitcoin wallets have addresses that constitute about 34 characters. These addresses are further of three types, P2PKH, P2SH, Bech32. This gives every address a unique identity. An address has to be written exactly in order to prevent rejection by the bitcoin software. A mistyped address has a probability of approximately 1 in 4.29 billion to not be rejected by the software. That is like 99.9999% secure. Also, the new ‘Bech32’ type addresses are not case sensitive I.e. they have a zero probability of being accepted.

Secondly, when a transfer of money occurs from one address to another, miners verify it and attach it onto the blockchain. The transaction becomes unmodifiable after it has been verified by approximately at least 7-10 people. This means furthermore miners can verify a single transaction, making the record even safer.

Thirdly, the blockchain is guarded by the utmost best cryptographic functions. Thousands of computers access and continuously operate the blockchain. Hacking into it would require a person to simultaneously hack into all thousands of those computers which.

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Also not to forget that no third party is involved in bitcoin and absolutely no one can block, or freeze your funds or question you on why are you spending it. In short, no one’s ever going to question you about anything. You should, on the other hand, know what to do with your funds and your addresses otherwise you could lose them.

The only disadvantage that bitcoin apparently has is its volatility. A transaction takes some time to get verified and you can lose some amount of money during that period, due to fluctuation of the price.

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All in all, the safety of payment through bitcoin depends mainly on the knowledge of the person himself. If a person knows how to keep his addresses safe, makes sure to enter the correct address during transactions, knows the pros and cons of software wallets and their vulnerability to hacking, knows how the statistics of bitcoin work, it’s a fair way for him then.

The final verdict is dependent on every person itself. Because the security of bitcoin is subjective, that means it depends on what you as a person find easier. Do you find third party people to handle things for you? Or you like to subtract those people and get hold of it on your own?

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Ahsan Khalid

Blockchain Developer. An Electrical Engineer with majors in software development. I present forward my insight regarding the latest happenings of the blockchain world. All views on my articles are my own. Email: ahsan@blockpublisher.com or editor.news@blockpublisher.com

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