Bitcoin is a cryptocurrency and a payment system invented by Satoshi Nakamoto. Transactions are verified by network nodes through cryptography and recorded in a public dispersed ledger called a blockchain. Bitcoin is unique in that there are a finite number of them: 21 million. You can get all the authentic information on the bitcoin motion site that can help you to start your journey in bitcoin trading safely. The history of Bitcoin is fascinating, so read on!
Creation of Bitcoin
Bitcoins were created as a reward for a process known as mining. They can be exchanged for other currencies, products, and services. As of February 2015, over 100,000 merchants and vendors accepted bitcoin as payment. Bitcoin can also be held as an investment.
The first Bitcoin specification and proof of concept were published in 2009 in a cryptography mailing list by Satoshi Nakamoto. Bitcoin development started in January 2009 after the release of Bitcoin’s whitepaper by Satoshi Nakamoto. Bitcoin was released as open-source software in the Bitcoin.org domain on Sourceforge on 9 January 2009. Bitcoin mining nodes were installed by some early adopters, which started processing Bitcoin transactions on Bitcoin’s network and securing it with Bitcoin mining.
Earlier History of Bitcoin
On 22 February 2011, Nakamoto handed over control of Bitcoin’s source code to Gavin Andresen, Bitcoin’s chief developer at the time, and transferred all Bitcoin copyrights to him, thus transferring full ownership of Bitcoin to him. On January 13, 2009 —a month after Bitcoin’s launch—the Bitcoin network came into existence after Satoshi mined the first ever block on the chain (known as a genesis block). Embedded in this coinbase transaction of 50 Bitcoins there is an encoded text that reads: “The Times 03/Jan/2009 Chancellor on brink of second bailout for banks”
Emergence of Bitcoin
This proves that the Bitcoin blockchain emerged from a real-world economic situation and not another case of computer hacking. This also shows that Bitcoin was introduced as open-source software on January 3rd, 2009 by Satoshi Nakamoto, which means that nobody is allowed to exploit it, claim it is their property or try to manipulate its value.
As far as anyone knows, Satoshi Nakamoto disappeared completely in 2010 after going public with Bitcoin’s source code, having spent even 1 Bitcoin. During his absence, he has remained an enigmatic character. He left a lot of questions unanswered: While known for his work with Bitcoin where he has been dubbed “the father of Bitcoin”, very little is known about him. Bitcoin experts have tried to discover his true identity, but there are no solid facts.
The Bitcoin community believes that Satoshi Nakamoto has never meant Bitcoin as an attempt to be the free currency of drug dealers and terrorists, which makes it completely different from other currencies since Bitcoin doesn’t encourage illegal activities.
It’s also worth noting that Bitcoin was created to avoid controls by governments, central banks, and financial institutions, which means that no one can control its value or print more money like it is done with traditional currencies (for example Tether USDT ). This way Bitcoin supports democracy by giving power to the people who vote with their spending habits rather than having them controlled by big financial institutions.
BTC doesn’t involve in illegal Activities
Since everything about Bitcoin is in the open, Bitcoin has never been used for any illegal activity. Bitcoins are given away freely to all who want them, and buying Bitcoin is easier than opening a bank account (no one knows how much money you have). Bitcoin transactions are never 100% safe because it’s still possible to hack into users ‘ computers but this is not what Bitcoin’s creator Satoshi Nakamoto had in mind when creating Bitcoin.
Bitcoin was created by someone using the alias of “Satoshi Nakamoto” (which could be an individual or a group of people) that built upon existing ideas of cryptographic currency which were made by David Chaum – Digicash (1982), Wei Dai – B Money (1998), Nick Szabo – Bit Gold (1998), Adam Back – Hashcash ( 1997) and Hal Finney – Reusable Proof of Work (RPOW) (1997). Bitcoin protocols are the only decentralized digital currencies with no central control. Bitcoin creates p2p transactions that are recorded on an immutable public ledger known as blockchain technology. Bitcoin’s source code is open-source which means it can be modified by anyone if they’re willing to do so.
Conclusion
Bitcoin has faced some problems like other cryptocurrencies, for example, Bitcoin exchanges getting hacked, Bitcoin forks happening, Bitcoin losing its value due to speculation, etc., but Bitcoin’s community is very active in solving these problems through Bitcoin Improvement Proposals or BIPs. The number of Bitcoins awarded to miners who successfully authenticate their blockchains.