How Long Has Bitcoin Been Around?

Share On Facebook
share on Linkedin

In 2007, an important person started working on this digital currency.  The founding document describes the technical and economic fundamentals of the currency in detail. The first online Bitcoin exchange opened in February 2010. The first real Bitcoin payment takes place in May 2010: A programmer in Florida pays 10,000 Bitcoins for two pizzas (which were worth over $ 170 million in December 2017). The first Bitcoin transaction between two smartphones was successful at the end of 2010. At the beginning of February 2011, 1 bitcoin was worth the same amount as 1 dollar for the first time. The first Bitcoin exchanges outside the United States appear. The Bitcoin Foundation is founded in September 2012. The core team of software developers wants to support this financially and continuously improve the Bitcoin network.

©

Why suddenly this huge interest in Bitcoin?

For a long time, cryptocurrencies, and with them Bitcoin, have been an issue for computer experts, mathematicians and monetary policy revolutionaries. Libertarian free spirits and opponents of monetary policy determined by central banks saw the new currencies as a way of no longer being dependent on the meanwhile ultra-expansionary monetary policy of central banks or the budget policy of over-indebted countries. More or less semi silk organizations also recognized the potential of the new technology to anonymously move money online.

 

 The speculators discovered the price potential of Bitcoin –

This trend was accentuated in 2017. At the beginning of 2017, the digital currency was trading at $ 1,000, and the cryptocurrency passed the $ 19,000 mark by the end of the year. Market observers assume that only a small single-digit percentage of the coins is used for payments. Investors are hoarding the rest in the hope that prices will continue to rise. So the supply remains scarce with rapidly increasing demand. In early December, several options exchanges in the United States decided to launch futures contracts on Bitcoin. This can also be used to place bets on falling Bitcoin prices.

This makes cryptocurrencies attractive to institutional investors such as hedge funds. There have been investment products on. The trustpedia.io offered detail knowledge of blockchain asset management.

In the wake of the rise in bitcoin, a rapidly growing biotope of cryptocurrencies is developing. By issuing new rights to cryptocurrencies, so-called Initial Coin Offerings (ICO), the offer grows every day. But the area of ​​application goes beyond pure payments. Blockchain technology also enables other secure transactions without an intermediate instance – such as the real estate business; the role of the notary would be taken over by the blockchain.

 

How does Bitcoin differ from “normal” currencies?

They are not linked to a country’s monetary policy and that central banks do not have the exclusive right to issue these currencies.  This is to prevent inflation. Central banks, on the other hand, can – as shown in previous years – create money without a limit if their monetary policy so requires. But even though Bitcoin has just started to make the central bank currencies obsolete, there are also connecting things. In contrast to commodity currencies, both have no intrinsic value. Like central bank money (ideally), cryptocurrencies are divisible, durable, transportable, and difficult to forge and above all: scarce.

 

In addition to Bitcoin, there are now a wealth of other cryptocurrencies. How do they differ?

As late as 2011, Bitcoin was the only cryptocurrency. However, the convincing concept led to numerous alternative currencies (“alt coins”). There are now over 1300 of them. Bitcoin’s main competitor is Ether from Ethereum. The technology created by the then 19-year-old person in 2013 is also based on the blockchain, but is more powerful than Bitcoin and capable of executing smart contracts itself. Ethereum also pursues a different goal: it is less about paying with ether than it is about building entire organizations on an electronic, decentralized basis. Most of the so-called Initial Coin Offerings (ICO) is therefore based on Ethereum.

So using bitcoin is not as hard. One can easily make money from this currency with little knowledge. There are many blog on the internet which gives deep knowledge of how to make money with bitcoin. So get knowledge of bitcoin currency and earn money.

 

CLICK HERE TO REGISTER FOR FREE ON ADVFN, the world's leading stocks and shares information website, provides the private investor with all the latest high-tech trading tools and includes live price data streaming, stock quotes and the option to access 'Level 2' data on all of the world's key exchanges (LSE, NYSE, NASDAQ, Euronext etc).

This area of the ADVFN.com site is for independent financial commentary. These blogs are provided by independent authors via a common carrier platform and do not represent the opinions of ADVFN Plc. ADVFN Plc does not monitor, approve, endorse or exert editorial control over these articles and does not therefore accept responsibility for or make any warranties in connection with or recommend that you or any third party rely on such information. The information available at ADVFN.com is for your general information and use and is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation by ADVFN.COM and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Authors may or may not have positions in stocks that they are discussing but it should be considered very likely that their opinions are aligned with their trading and that they hold positions in companies, forex, commodities and other instruments they discuss.

Leave A Reply

 
Do you want to write for our Newspaper? Get in touch: newspaper@advfn.com

By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions

P: V: D:20200805 13:24:25