Bitcoin Basics

Bitcoin is the first ‘decentralized’ digital global currency. It is not a physical form of currency, and it is completely computerised.

Bitcoin can be sent globally and operates without and government or bank. It utilises peer-to-peer software and cryptography. Bitcoin uses blockchain technology , which is transparent and uses a decentralized public ‘ledger’.

Blockchain technology is ‘immutable’ which means that data can not be edited or changed. The blockchain consensus algorithm which is used by Bitcoin, is known as ‘proof of work’.

Bitcoin uses ‘open source’ technology, and is publicly accessible. Developers can contribute and collaborate on the Bitcoin protocol daily.

Who Invented Bitcoin?

In 2008, Satoshi Nakamoto invented the first decentralized digital currency and Bitcoin was born. However, we are still not sure of the true identity of the individual or group of individual’s behind the assumed name.

Many individual’s have claimed to be Satoshi Nakamoto, but have not provided sufficient proof, therefore the mystery remains unsolved.

Bitcoin had no financial value initially, during the first two years. The community developed over time and in 2010, Satoshi left the development of Bitcoin in 2010.

Control Over Bitcoin

It was once believed that the government or a bank has to have power over the stability of currency. However, due to the excessive printing of money by banks over recent years, without any backing from a tangible asset such as gold, inflation has risen dramatically. This decreases the value of currency over a period of time.

We have complete control over Bitcoin, rather than a centralized entity or organisation.

What Else Do I Need To Know About Bitcoin?

We have only touched the surface of Bitcoin! Explore our other posts about mining, sending Bitcoin transactions, Bitcoin security, the blockchain technology behind Bitcoin, wallets and storage, and way more useful info on the world of Crypto!

Discover the exciting world of Crypto and Web3 with Totally Coined!