00:00traditional currencies are centralized meaning that they are controlled by a single authority such as a government or bank this
00:08creates a single point of failure that can be exploited by hackers or other malicious actors
00:14bitcoin on the other hand is decentralized meaning that it is spread out across a network of computers this makes
00:23it much more secure as there is no single point of failure
00:26but why is decentralization so important to answer that question we only need to look at what happened in 2016
00:35when a major hack at the nice hash exchange resulted in the theft of 60 million dollars worth of bitcoin
00:42despite this massive theft the bitcoin network continued to operate without interruption this is because no single entity controls bitcoin
00:53the network is maintained by a global community of miners and developers who are incentivized to keep it running smoothly
01:01decentralization also helps to ensure that bitcoin is censorship resistant this means that no one can prevent you from using
01:09it to buy goods and services
01:11no matter where you are in the world you can use bitcoin to transact freely part four supply and demand
01:18like any other asset the price of bitcoin is determined by the forces of supply and demand
01:25however there is one major difference
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