Bitcoin is going to the moon.
If you haven’t heard of Bitcoin, you can think of it as money for the internet. Think peer-to-peer money transfer; it’s like PayPal but decentralized. When something is decentralized, it means there’s no single entity pulling the strings. The dollar is a centralized currency because there’s something known as the Central Bank that sets monetary policy in the country.
Bitcoin has been increasing in value like crazy, so in honor of its historic rise, let’s take a look at the most historic events in Bitcoin’s lifetime.
The White Paper is released
On October 31, 2008 a white paper, a type of research document, written by author Satoshi Nakomoto is released. This famous paper details how bitcoin would work and would become the catalyst for everything we see today in regards to cryptocurrency. It’s still available here – take a look!
The Genesis Block
The underlying technology behind Bitcoin is called the blockchain, which you can think of as a series of records that are linked together. A bundle of records forms a block and the entire linked structure is the blockchain. On Jan 3, 2009 the first block, aka the genesis block, was created.
The first transaction
January 2009: The first ever bitcoin transaction takes place between Satoshi, the author of the Bitcoin white paper, and Hal Finney, a developer and cryptographer.
Bitcoin gets a value
In October 2009 Bitcoin’s value is set at $1 = 1309 bitcoin. The price is based off the cost of electricity needed to mine a single bitcoin.
Bitcoin pizza run
In May 2010 a programmer from Florida badly wanted to purchase something using Bitcoin so he sent 10,000 bitcoin to a fellow internet denizen residing in England. The volunteer then ordered the Florida programmer a pizza from Papa John’s. Quite an expensive pizza, as 10,000 bitcoin is worth around $100,000,000 today.
Silk Road is open for business
In January 2011 the Silk Road, a dark-web marketplace for all kinds of items, including illicit drugs, is established.
Bitcoin catches the eye
November 2013: The US Senate discusses bitcoin and the price of BTC rises on the back of a blessing from FED chairman Ben Bernanke.
Mt.Gox implodes, along with the value of bitcoin
It is February 2014 and Mt.Gox, the largest bitcoin exchange at the time, suspends trading and files for bankruptcy. It turns out almost a million bitcoin had been stolen from the company, worth half a billion dollars at the time. The missing bitcoin have not been recovered to this day.
The crypto boom
Bitcoin slowly recovered between 2014 and 2017 following the Mt.Gox fiasco but 2017 was the banner year for cryptocurrencies. Bitcoin goes from $1000 to $19,000. Other currencies also soar. Everyone wants in.
Bitcoin Cash emerges
Bitcoin cash is born in August 2017 and hopes to become an alternative to Bitcoin with lower fees and faster processing times.
The story of bitcoin is not yet done. 2018 could hold many surprises and we should all be watching carefully.
At the beginning of 2014 Bitcoin was worth less than $1000 a coin. At the time of writing (Jan 16, 2018), a single bitcoin was worth more than $10,000.
That sort of unbelievable price appreciation has captured the imaginations of many a speculator, and it remains to be seen whether Bitcoin can continue its upward rise or if it will come crashing down to Earth. When it comes to Bitcoin, it’s not inconceivable that we see both events happen, probably in quick succession of one another.