Ever since Bitcoin emerged in 2008, the concept has been surrounded by some confusion and, of course, a great deal of intrigue. The first of its kind, this new, decentralized currency, with no need for banks (Bitcoin can be transferred between users via the Bitcoin network, a peer-to-peer network that authenticates transactions by nodes and records them on a blockchain), immediately gained popularity and traction with individuals and companies from all around the world.
Satoshi Nakamoto is perceived as the creator of this innovation; however, this theory has not yet been proven. On October 31, 2008, a paper titled Bitcoin: A Peer-to-Peer Electronic Cash System was posted to a cryptography mailing list, and Nakamoto was named as the author. Because no facts about his identity or personal information have ever been confirmed, many people believe that the name may actually be a pseudonym for a group of individuals.
Despite its mysterious development and rare qualities, and even though the majority of people were in the dark about the details, many still wanted to be involved and learn how to obtain some themselves. Now, over a decade after its invention, Bitcoin remains one of the most popular topics of conversation and one of the most sought-after “items.” In fact, it is the most-traded form of cryptocurrency on the market to date.
Although Bitcoin was introduced in 2008, it was not until 2009 that Nakamoto mined the starting block (which included 50 Bitcoins), often referred to as the Genesis Block and released the open-source software. For about a year, early contributors were the only people mining the new currency, but in 2010, the first recorded commercial cryptocurrency transaction took place. Programmer Laszlo Hanyecz made the first official cryptocurrency purchase of two Papa John’s pizzas for 10,000 Bitcoins, a total that is worth over $300 million today.
Due to its prevalence in the black market, multiple countries began enforcing regulations on Bitcoin. The People’s Bank of China initiated the most severe of these actions on three separate dates, prohibiting its use on a limited scope in December 2013, banning it completely in September 2017, and targeting key miners in June 2021. Cryptocurrency and Bitcoin may seem overwhelming, but once you learn more about this fascinating creation and begin your own excursion, who knows what you will find?