Bitcoin first began when a white paper titled “Bitcoin: A Peer-to-Peer Electronic Cash System” began to circulate on a cryptography mailing list.
The white paper was signed by an individual going by the pseudonym of Satoshi Nakamoto. And to this date, Nakamoto’s identity has still not been entirely confirmed.
In 2009, Satoshi Nakamoto “mined” the very first block on the Bitcoin blockchain and set into motion a series of events that would lead to the cryptocurrency’s current fame and status.
But I know what you might be thinking:
What even is Bitcoin? What is blockchain? What is “mining”? What is a cryptocurrency? Why was Bitcoin even created? Does Bitcoin even have any value? And how could this “Bitcoin” be worth tens of thousands of dollars? Is it all just a massive scam?
The debate surrounding Bitcoin is vast, and there’s no shortage of opinions on the subject. In this series we’ll attempt to dissect the history and motivations behind the cryptocurrency’s creation, as well as the big debate on the topic.
We’ll try to answer the question of whether Bitcoin truly is worth something, or whether the investments that have been put into Bitcoin are nothing but pure speculation.
In this first part we will also dive into the technicalities of what “blockchain technology” actually is, how it works, and why it’s so important.
If you’ve heard of an “NFT” then this will also be very important in understanding they are as well. NFT’s are also operating on “blockchain” technology.
This series isn’t going to focus too much on the investment side of Bitcoin – whilst that still plays a role in the story, we’re more focused on the motivations and the debate on the topic.
However, I do believe that by understanding WHAT you are investing in, you shape yourself up for a much better financial decision than just blindly following FOMO and potentially risking your hard-earned money.
But how does Bitcoin actually work?