Questions have arisen about whether Bitcoin becomes a multilayer system. Well, the answer is yes. This article wants to outline the various layers on which Bitcoin is located. It’s all yours!
Have you heard of those who refer to bitcoin as digital gold? It is clear that cryptocurrency is rapidly gaining popularity and acceptance in the world of cryptography. It is estimated that the value of the currency will increase further. However, it is also noted that the currency can gain or lose 50% of its value overnight. This provokes speculation among investors, but the currency is nonetheless a “digital gold”. And to the question of whether bitcoin is a multilayer system, one must know that bitcoin exists in two main layers. They are the mines and the semantic layers.
The mining layer
This is the layer in which the coin is created. In addition to bitcoins, ether is also created in this layer. After the coins are created, valid blocks of bitcoins are transferred to the ledger. This is where currency generation takes place. It should be noted that currency is generated from transactions contained in bitcoin blocks. Blogs are known as transaction fees. Currency can also be generated from the network itself or it can be said “from the air”. The main advantage of generating money from the net is that it provides incentives to miners.
The semantic layer
This provides a very important platform. The semantic layer is the layer in which bitcoins are used as a means of payment. It also provides a platform for bitcoins to be used as a reserve value. The layer looks very important, right? Bitcoin currency holders sign valid transactions that indicate the start of the transfer of bitcoins between the nodes of the semantic layer. The transfer can also be done through the creation of smart contracts. Smart contracts transfer currencies between different accounts.
The lightning network
You’ve probably not heard of the lightning network. This is the latest invention that the bitcoin community has launched. This layer will have the ability to run on top of Bitcoin. With this invention, will come an application layer that is added to bitcoin. It will be so exciting. The most interesting aspect is that its value can also be used to make payments. This will be possible by transporting its value between people. With the invention of the lightning network, bitcoin will become a transport layer and an application layer.
To date, the value of bitcoin is estimated at about US $ 9 billion. It was also known that bitcoin is a decentralized cryptocurrency. This means that it works without the control of a bank or an administrator. Bitcoin is surely taking over the crypto world.
It is also important that the technology used during bitcoin mining is called blockchain technology. It works by allowing the distribution of digital information and not copying. Crypts are really an exciting topic and in the near future bitcoins could outperform our major currencies.