Bitcoin is a form of digital currency that was founded in 2009 by an anonymous individual with the pseudonym Satoshi Nakamoto. This coin is characterized by no banks or third parties to effect its transactions. Bitcoin be used for many intended purposes, such as the purchase of gadgets or booking hotels on Expedia.
However, the coin had a significant breakthrough in 2017, when its price had a surge into thousands of dollars.
Bitcoin Cryptocurrency: An Overview
Created in 2008 as a smart response to the then Great Financial Crisis that made most economies of the world slip into recession, Bitcoin creation was intentional to remediate the total reliance of the financial world on just banks as the middlemen in all financial transactions.
The primary goal of Satoshi Nakamoto, Bitcoin’s developer, was to expunge the meddlesome of banks from financial transactions with the replacement of a peer-to-peer payment system that is devoid of third-party confirmation. This has so far relieved banks of their engagements in all financial transactions.
As a decentralized digital currency, Bitcoin reliance is on the “proof of work” standard that makes use of mathematical algorithms for transaction verification. So blockchain network comes in place of the central network (banks).
Bitcoin Revenue Model
Bitcoin functions outside the premise of government regulation or any corporation. The way Bitcoin generates money is in a semblance of the gold commodity. The coin works and operates as a network based on incentives’ construct. In essence, Bitcoin miners are always rewarded to keep the thriving of Bitcoin alive because they are the ones solving complex mathematical puzzles to create more Bitcoin.
It is safe to affirm that Bitcoin is the first decentralized autonomous company in the world, which functions as the regular central bank.
What Is The Mission Of Bitcoin?
Bitcoin was created to build a global ecosystem that works in contrast to the prevailing financial system. Its major focal point is on ensuring transparency in the financial world.
Due to its decentralized structure, Bitcoin offers a tamper-proof algorithm with a predictable monetary policy that can be subjected to verification at any point in time. Owing to its independent property structure, there is a sovereignty of owner by anyone who has Bitcoin.
However, Bitcoin can be transferred or received by its users at any time and anywhere. Its development was implemented based on alluding respect to human rights, even as it is not within the government’s regulatory framework. To this end, some people uphold the integrity of Bitcoin akin to Democracy. Bitcoin is the currency of the people, created by people, and for the people.
How Bitcoin Proves To Be Revolutionary
Without any form of reliance on third parties, the emergence of Bitcoin has been able to address the double-spend problem. This is hinged on its feature as a scarce digital asset that is not in any way connected to any authority of the world.
Bitcoin is stereotypical of separation of power between money and government. Its influence is synonymous with the fusion of digital dollar and digital gold. The coin is reputed as the first digital scarcity that does not require trust, except for verification.
Similar to other methods of transaction over the internet, third parties, like banks or brokers are not required to verify their transactions. Available to all and sundry without hoarding, Bitcoin is the first neutral digital payment infrastructure in the world. With this innovation, Bitcoin has been able to leverage technology to make money evenly accessible.
For over a decade, Bitcoin has been tested and earned validation from individuals and corporate groups. This has enabled it to be accepted and adopted as the new form of money in most countries of the world, especially in El Salvador that it has been adopted as the official legal tender of the country. Therefore, now is the best time to invest in Bitcoin if you are in support of its revolutionary potential via technology.