Bitcoin FAQ

What is Bitcoin?

Bitcoin is an electronic currency & payment system based on an open-source, peer-to-peer internet protocol. There is no centralized issuer; instead individual users volunteer computing power in effect executing and recording the Bitcoin network’s transactions in a decentralized way. More information can be found at bitcoin.org and blockchain.info.

Why do bitcoins have value?

They have value because people find the Bitcoin protocol to be a useful means of value transfer. Because there is a fixed amount of bitcoin, the value is purely determined by aggregate supply-demand.

So it’s like a currency, but it isn’t backed by a government? That doesn’t seem right.

Bitcoin begs the question: “Can there exist a currency backed purely by mathematics and computing power instead of a central issuer?” Government backed fiat currency has long been the norm. It is a system where units of currency can be added or subtracted at the whim of the issuer. Staunch Bitcoin supporters feel it’s no advantage to the health of a currency that a few people have the ability to make arbitrary changes to it. With fiat currencies, the issuing government is charged with protecting all aspects of the currency, including counterfeiting. In the case of Bitcoin, math and computing power replaces government. The anti-counterfeiting duties are done by computer code and have never been defeated. There are many other aspects to consider on the subject of mathematics and computing power currency governance. The Bitcoin project is truly an economic experiment.

Where can I buy and sell bitcoins?

You can buy them from whoever has them and sell them to whoever wants them. There are centralized exchanges as well as decentralized options.  We do not endorse any one exchange method, it is on the user to show up at SwCPoker with bitcoins.

This seems so complicated.  I just want to play poker.

We offer this information for anyone who is interested, but understanding the science behind Bitcoin is irrelevant to playing on Seals. Once you have an account balance, it’s normal poker from there. (Normal poker with low rake and cashouts in less than 12 hours, thanks largely to the effectiveness of what we’re talking about.)