I addressed this one yesterday, so unless there still isn't something you understand, I'll skip it today.
It means that the transaction(s) history has been guaranteed and the funds haven't been double spent.
See the previous answer.
The original hashcash function was conceived to combat email spam by requiring the sender to validate the email using processing power equal to $0.01 in electricity. The theory was that spammers would have to spend a lot in electricity to send out millions of spam messages everyday.
The SHA256 hash algorithm was created by the NSA.
The rate of block creation is adjusted every 2016 blocks and is set to decrease by 50% every 210,000 blocks. It's set to 6 blocks per hour. So there is 24 hours in a day, 365 days in a year and 4 years per 50% halving cycle equals ~210,000. If you add up all the block reward cycles (which started at 50 and get cut in half every 4 years), you get (50 + 25 + 12.5 + ...) = 100.
100 * 210,000 = 21,000,000
Not really. In order to change the bitcoin protocol, there has to be consensus by the economic majority. The economic majority is those who hold bitcoins. You'd be asking everyone that has a bitcoin to voluntarily devalue their coins. I don't see that happening.
Quoted from TRAMD:
What stops another digital currency from overtaking Bitcoin as the accepted de facto digital currency?
Nothing. Just like nothing stops another company from exceeding Apple's market share and killing your stock value.
Quoted from TRAMD:
The more the value of something relies on consensus value, the less safe it is. Bitcoin's value is 100% consensus value.
You mean like the USD or any other form of paper currency?
Quoted from TRAMD:
I just don't see it. Maybe I'll miss out on a huge opportunity with Bitcoin but I think I (and anyone else who didn't get in years ago and isn't mining it) already did. Bitcoin needs more investors to increase in value so I think that those invested in it will say anything to get the rest of us to maintain the pyramid/ponzi scheme that is Bitcoin.
Quite the opposite. I'm a supporter of bitcoin, but other than answering your questions, I have yet to tell you to go buy any. It's like any other investment / gamble / whatever you want to call it. Sometimes you win and sometimes you lose.
My personal opinion is that over my lifetime, I've seen the transition from cash to checks to EFTs. The logical next step is something completely digital. Sometimes I don't even think the younger generation knows that cash exists and everything is credit / debit cards and EFTs.
It's possible that the government will step in, pitch a fit and make bitcoin illegal. Most likely to push their own cryptocurrency on everyone, but that's another argument. Or, they might jump on the wagon with Japan and recognize it as an official currency. Either way, there is risk and there is reward. I figure I'll throw some money at Bitcoin and Ether and see if it sticks. If not, no big deal. I'm not cashing out my 401K here or dumping my life savings on it. No worse that I've done on some stocks over the years.