When it comes to using Bitcoins, wallets are a must-have. Digital Wallets store a collection of cryptographic keys, each consisting on a private and a public key. These keys are what you need to access a bitcoin address and spend your funds. To be absolutely accurate, you don’t technically store bitcoins anywhere. What you store are the secure digital keys used to access your public bitcoin addresses and sign transactions. This information is stored in a bitcoin wallet. Wallets come in different forms, designed for different types of device.

You MUST have a wallet to get started using cryptocurrencies. A Bitcoin wallet is an app or program that allows you send and receive bitcoin. Wallets also keep track of your bitcoin balance which is held in one or more bitcoin addresses. Generally, wallets also have a feature that keeps a history of your bitcoin transactions.

One of the main innovation of the Bitcoin system was the new development of a distributed computation system known as the blockchain.

The Blockchain is an open, distributed ledger that can efficiently record transactions between two parties in a verifiable, permanent way. Blockchain is the technology at the heart of bitcoin and other cryptocurrencies. Without blockchain, cryptocurrencies would not exist in their modern form. Think of blockchain as a global public ledger where all completed transactions are recorded.

Bitcoin is brilliantly composed of a rewarding system that awards miners with bitcoins in return for mining and providing the computer power to secure the network to validate transactions.