Cryptocurrency is a hot topic these days. It seems that everyone is talking about the marvels of Bitcoin. People have made and lost a fortune trading them. What do we know about bitcoin’s origins? It is a common industry standard, but where did it come from?
Bitcoin made its first appearance on the market on August 8, 2008, when a domain named bitcoin.org was registered online. A newspaper devoted to cryptography was created and circulated by cryptography mailing lists. It focused exclusively on Bitcoin, giving the whole stream a flutter. Satoshi Nakamoto was the creator of this newspaper. The man’s identity was instantly a sensation in the world. It wouldn’t be easy to discover the identity of this man, as many believed.
What is Bitcoin?
Bitcoin is an autonomous, blockchain-based digital currency. It’s based upon a software program that allows users “mine” bitcoins using a computer-based system. 21 million coins will be made available throughout the program. 18.5 million of these have already been mined by program users. The currency can be stored or used internally or externally, and its value has increased over the years. Many cryptocurrencies are now accepting, copying, and imitating it around the globe.
Nakamoto wasn’t the only one to succeed! Hal Finney, a console game designer and a member of the cypherpunk community became a supporter of bitcoin. After Nakamoto’s announcement of the decentralized exchange, he was the first to mine bitcoins during a testing phase. Finney was able to draw some clues about Nakamoto’s identity, even though Nakamoto kept his identity secret.
He believed Nakamoto was Japanese and was brilliant with his method and program. Finney has been accused of creating bitcoin, but many have tried to blame him. However, he insists that he is not guilty. Finney has kept the first 10 bitcoins he mined in an offline wallet. They will be passed on to his family as an inheritance. Every bitcoin is now worth more than $50,000, and it’s only getting better!
Bitcoin was a small part of the online cryptocurrency movement for years. Over the last few years, bitcoin has become more mainstream in brick and mortar shops and venues. Businesses around the globe, and particularly in the US, have started to invest heavily in bitcoin. The most notable example being Tesla who bought $1 billion worth of bitcoins.
Customers can also pay with bitcoins. The decentralized currency gained popularity and was soon sought after by other investors, including the Winklevoss twins, who bought $10 million worth of bitcoin. They now own 1% of all bitcoin currently available.
Every good thing has a downside, and bitcoin is no exception. The bitcoin system is virtually untraceable, making it the preferred currency for those involved in illegal business or drugs. It was difficult for law enforcement to trace and track anyone involved in illegal drugs or substances via a website called Silk Road. This was a problem for law enforcement but it allowed bitcoin to be recognized as a currency and increased its global influence.
Although Nakamoto was quiet during the rise of bitcoin, he vanished completely from the internet in 2011. He told a bitcoin developer that he was “moving onto other things” and quickly disappeared. He left behind many writings, and the foundation for bitcoin. He was a shadowy figure who sat behind the throne, but he was a strong influence on the cryptocurrency world.
Although many names have been suggested as Nakamoto’s true identity, no one has yet claimed the title or shown their face as creator of bitcoin.