Think about bitcoin like one huge ledger shared by all the users: When you pay for something with bitcoin, or get paid, then your deal is taped on the ledger. Computer systems then work to verify the deal by addressing complicated mathematics equations, and the winner is awarded with even more bitcoins. The procedure is understood as “mining,” however do not get too covered up in that: Just the computer system powerhouses get their bitcoins this method.
The currency has democratic roots. The concept was to take power out of the hands of the central lenders and governments who generally regulate the flow of currency.