The Evolution of Bitcoin

Bitcoin evolution
Source: thefinancialcommission

Bitcoin is the leading cryptocurrency in the world. It is also one of the most searched words in the year 2020.

Bitcoin has gone through different phases before getting to where it is today.

Supposing we are to discuss the evolution of Bitcoin, in that case, we will need to go back to the beginning:

  • when was Bitcoin introduced?
  • when precisely did bitcoin start?
  • the growth of bitcoin price
  • how bitcoin adoption has been growing in price over the years

It is also important to discuss Bitcoin today and the future of Bitcoin.

Without wasting much time, let’s dive into the early days of Bitcoin.


The Early Days of Bitcoin

Between 2008 and 2020, Bitcoin had lots of ups and downs. Bitcoin price has spiked, the price has fallen, and a lot has happened.

This is because the price of bitcoin is dependent on economic factors and principles.

Bitcoin is a financial/digital asset that is decentralized (Nobody controls Bitcoin).

Bitcoin is secured, liquid, and can be used for both local and international trade, and is limited in supply.

Additionally, the forces of demand and supply also play an essential role in determining the price of Bitcoin.

2008 is a year people will remember as a remarkable timestamp in the finance industry.

Bitcoin was introduced on the 31st of October in 2008 by an anonymous person or group of persons called Satoshi Nakamoto.

This pseudonymous person pioneered and introduced Bitcoin.

He made a post containing a white paper talking about a P2P electronic cash system to make payment.

It can be used as a digital investment and a whole lot of other purposes.

In the paper he released, he talked about the decentralized system of bitcoin.

The paper covered the basic concept and how it will be managed by different people and not one administrator.

He also added that the coins could be transferred or sent from Mr. A to Mrs. B without an intermediary.

The evolution and growth of BTC have paved the way for other cryptocurrencies in the market (Ethereum, Litecoin, Ripple, and 6000 others).

The journey of Bitcoin growth has been amazing and weird, but looking at it holistically, it is worth it.

Let’s delve into the major discussion.


The Difference Between Bitcoin and Fiat

Bitcoin is different from conventional cash. This is because the banks are the intermediary in transferring funds, but with BTC, it is different.

The first Block of bitcoin was launched on the 3rd of January 2009, and it was named the Genesis Block.

During the early days (the first few months) of Bitcoin’s existence, only miners had access to the coin, and then there was no real cash value or monetary value for Bitcoin.

Most people felt mining bitcoin is complex but legitimate, and at the same time, something that could only be done for fun.

After a year, the first economic transaction of Bitcoin happened.

This was between a Florida man that wanted to make a $25 value payment for two Papa John’s Pizza. He made a payment of 10,000 BTC on the 22nd of May, 2010.

The first bitcoin transaction is the 10,000 worth of BTC, which was equivalent to $25.

In today’s market, that same transaction that was carried out is worth 114 million dollars.

This is why crypto fans refer to the 22nd of May as Pizza day.

During Bitcoin’s early days, every transaction is always negotiated via the internet before payment can be made.

Fast forward to 2011, Ethereum, Litecoin, and other cryptocurrencies emerged, which also made Bitcoin push further in improving their technology.

Not only did Bitcoin became easier to buy and sell in 2010, but it also became better for exchange in 2010.

Bitcoin and Bitcoin price has not stopped growing to date.


A Brief Look at the History of Bitcoin Price

The growth in the price of Bitcoin can be seen as astronomical.

In Feb 2011, Bitcoin crossed the $1 threshold, and with time, it grew to pass the $2 threshold.

It later went up to double-figure when it hit the $31 threshold before going back to a single-digit range.

In April 2013, bitcoin reached another milestone by hitting the $200 mark and fast forward to November 2017, BTC was way above $10,000.

Within 2013 and 2017, the price of BTC also grew from $1,000 to $10,000; that’s ten times the amount in just four years!

In December 2017, Bitcoin recorded its first all-time high of $19,650, and most people started paying more attention to cryptocurrency.

After the all-time high, Bitcoin’s price still went down from the high to a low price.

The volatility made people study the cryptocurrency market.

The coronavirus pandemic also affected the digital currency because it increased in value.


The Current State of Bitcoin

As of the time of writing this article, one BTC is worth close to $40,000.

It is funny that despite the number of people using bitcoin and Bitcoin in circulation, nobody knows who Satoshi Nakamoto is.

There are different speculations and conspiracies about who he is, but nobody knows who he is.

People are doing a more advanced study on Bitcoin and the BTC market.

People are always dropping testimonies, and people are always criticizing bitcoin.

The value of bitcoin is volatile, but it is becoming more acceptable by general and conventional media.


The Future of BTC

Bitcoin evolution
source: lebow

The most certain thing about life is uncertainty; that’s why nothing is sure about Bitcoin’s future.

However, considering the recent events in 2020 and the massive adoption of Bitcoin and cryptocurrency, Bitcoin’s future is very bright.

The investment part of it is encouraging.

The transparency level and the cost-effectiveness regarding sending and receiving funds are some of the other features that make the future of BTC look brighter.

We should expect incredible adoption rates in the years to come. Regulatory bodies will continue to limit the power of Bitcoin, but it will prevail.

People have predicted that the BTC price will reach $100,000 next year, but we cannot be sure about that.

It is also essential to add that every investment comes with a risk, and that’s why you need to understand the history of Bitcoin and Bitcoin price trends.

Bitcoin can go up and come down, so expect the best and expect the worst.


 Conclusion

The growth of Bitcoin has been positive, and there is more to come in the future.

Every investor should consider Bitcoin because the future looks bright.

Bitcoin price has been volatile, but at the same time, profitable.

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