Bitcoin fundamentals: Everything you need to know in 2025

Henry Fisher
Senior Content Specialist
5 minute read
|27 May 2025

Video summary

Bitcoin is often misunderstood, but it is one of the most important financial innovations of our time. In this video, Henry Fisher, Senior Content Specialist at CMC, offers a clear and balanced overview of Bitcoin. It is ideal for both beginners and those looking to deepen their understanding.

Whether you are a trader, investor or simply curious about how Bitcoin fits into the future of money, this session covers key concepts and practical insights to help you navigate the Bitcoin landscape with confidence.

What you’ll learn

This educational video breaks Bitcoin down into five key sections:

  • What is Bitcoin?
    Bitcoin is a decentralised digital technology that enables people to store and transfer value without relying on banks or central authorities. It is more than just a currency. It is a protocol, a network and a new form of money.

  • What is money?
    To understand Bitcoin, it is essential to first understand the history and function of money. This section explores the evolution of money, from barter and commodity systems to fiat currency and now digital alternatives like Bitcoin.

  • How does Bitcoin work?
    Learn how Bitcoin operates at a high level. This includes blockchain technology, mining, Bitcoin’s fixed supply and the halving mechanism. You will see why Bitcoin is often referred to as digital gold.

  • Misconceptions and risks
    Bitcoin is sometimes labelled as a scam, a bubble or a tool for criminals. This section addresses common myths and also explores genuine risks such as volatility, regulatory uncertainty, complexity and infrastructure vulnerabilities.

  • Bitcoin in the real world
    Discover how Bitcoin is being used around the world. From legal tender in El Salvador to a store of value in countries facing inflation, this section shows Bitcoin’s growing role in finance and its potential to promote financial inclusion.

Why this matters

Bitcoin is not just for tech enthusiasts or short-term traders. It is a rapidly evolving technology that challenges traditional views on value, ownership and financial systems. Understanding Bitcoin gives you the tools to make more informed decisions, whether or not you choose to invest.

Want to learn more?

From CMC:

External educational resources:

Books:

Videos:

Websites:

Disclaimer:

This video provides general information only and does not take into account your objectives, financial situation or needs. Consequently you should consider the information in light of your objectives, financial situation and needs. Investing in CMC Markets financial products, including derivatives carries significant risks and is not suitable for all investors. The examples in this video are hypothetical and are provided for illustrative purposes. They are not intended to suggest how an underlying asset might perform or how CMC Markets might exercise its power or discretions. Fees, charges and margin rates are subject to change. This video is not to be construed as a solicitation or an offer to buy or sell any financial instruments, or as a recommendation and/or investment advice. It does not intend to support an investment decision and it should not be relied upon by you in evaluating the merits of investing in any financial instruments. CMC Markets believes that the information in this video is correct, and any opinions and conclusions are reasonably held or made on information available at the time of its compilation, but no representation or warranty is made as to the accuracy, reliability or completeness of any statements made in this video. CMC Markets is under no obligation to, and does not, update or keep current the information contained in this video. Neither CMC Markets nor any of its affiliates or subsidiaries accepts liability for loss or damage arising out of the use of all or any part of this video. Any opinions or conclusions set forth in this video are subject to change without notice and may differ or be contrary to the opinions or conclusions expressed by any other members of CMC Markets.

Important information regarding CMC’s CFDs:

You do not own, or have any interest in, the underlying assets. We recommend that you seek independent advice and ensure you fully understand the risks involved before trading. Spreads may widen dependent on liquidity and market volatility. New Zealand and CMC Pro clients could lose more than their deposits. It’s important for you to consider the following CMC Markets documents before you decide whether or not to acquire any of the financial products including information about CMC Markets’ services, including our fees and charges:

CMC Markets Asia Pacific Pty Ltd ABN 11 100 058 213 AFSL No. 238054 www.cmcmarkets.com.au Please consider the relevant Product Disclosure Statement ('PDS') or Information Memorandum (for CMC Pro accounts). Information about CMC Markets’ services, including our fees and charges, is also contained in our Financial Services Guide (FSG) and Information Memorandum (for Australian CMC Pro accounts). Our Target Market Determination for CFD products includes a description of who our financial products are suitable for and is available on our website.

CMC Markets Stockbroking Limited ABN 69 081 002 851 AFSL No. 246381 https://www.cmcmarkets.com/en-au/stockbroking

Participant of the ASX Group (Australian Securities Exchange) and SSX (Sydney Stock Exchange) and Cboe Australia. Please consider the relevant Terms and Conditions including our Financial Services Guide. If relevant, please also consider our ETO PDS. Our Target Market Determination for ETO products includes a description of who our financial products are suitable for and is available on our website.

CMC Markets NZ Limited Company Registration Number 1705324 www.cmcmarkets.co.nz Please consider the relevant PDS and the relevant Terms and Conditions of Trading for New Zealand. Information about CMC Markets' services, including our fees and charges, is also contained in our Other Material Information (OMI) document.

Beginner
Cryptocurrencies
Invest fundamentals
Support
Support
x

Welcome to CMC Markets Support!

To begin, please select the product your query is related to.

Share investing
What's this?
Buying and selling shares on the stock exchange
CFDs
What's this?
Leveraged trading on the open and close price of a trade