Connect with us

Bitcoin

The history of Bitcoin from its inception to today

Published

on

Bitcoin now has a history behind it that is starting to be relatively long 

Although the first time the Bitcoin protocol was made known to the world by its creator, Satoshi Nakamoto, was on October 31, 2008, Nakamoto had actually been working on it for some time, as evidenced for example by the fact that the bitcoin.org domain was registered on August 18 of the same year. 

Indeed, it was even since 1992 that someone was looking for a way to create a completely digital global currency, but without ever succeeding. 

Advertisement

The only one who succeeded was precisely the person (or persons) who has always hidden behind the pseudonym of Satoshi Nakamoto , and whose true identity no one knows. 

On October 31, 2008 is only the publication of the Bitcoin protocol, which is usually made to coincide with that of his birth. 

However, the Bitcoin blockchain had not yet been created at the time, and therefore there was none of BTC in circulation. The birth date of the Bitcoin blockchain, and therefore of the first 50 BTCs, was January 3, 2009, when Nakamoto himself mined the first block, or block number zero . 

Advertisement

At the time 1 BTC had no value, and was not exchangeable for anything , moreover the second block was mined only six days later, or on January 9, because Nakamoto wanted to carefully analyze that everything was working correctly before releasing the first version of the Bitcoin client just that January 9, 2009. 

However, at that point no bitcoin transaction had yet been made, only the first 100 BTCs had been created. 

The first transaction took place between Satoshi Nakamoto himself and Hal Finney, even at block number 170 . Since at the time 50 BTC were created for each mined block, 8,500 BTC had already been created before Nakamoto on January 12, 2009 made the first transaction ever in bitcoin, with which he sent 10 BTC to Hal Finney.

Advertisement

More than twelve years have passed since then, and Bitcoin has come a long way in this time. 

Now there are more than 18.7 million BTC in circulation, and almost 640 million transactions on the bitcoin blockchain have already been recorded. 

In 2009, however, there were still no platforms on which to exchange bitcoins, buy or sell them, but they could only be sent from wallet to wallet, or mined. In other words, they did not have a market value in dollars, which therefore can be approximated to zero. 

Advertisement

Mining BTC at the time was very easy, so much so that it is estimated that Nakamoto himself has mined more than a million. However in 2011 Satoshi did lose all trace of himself , and literally vanished into thin air. 

The BTC mined by him, however, have practically never been used, so much so that many believe that he has died, without leaving the private keys of his wallets to anyone. 

After Satoshi the story of Bitcoin continues

Meanwhile, the 22 May 2010 had occurred the first payment in Bitcoin’s history, when Laszlo Hanyecz paid for 2 pizzas with 10,000 BTC. Today this figure would have an equivalent value of over 570 million dollars, thus making those two pizzas the most expensive ever purchased. 

Advertisement

Therefore it is possible to say that in May 2010, that is a little over a year after its creation, a bitcoin was worth less than $ 0.01. 

In July 2010  , the first bitcoin exchange was born, Mt. Gox , founded by Jed McCaleb, and in August of the same year, the first regular bitcoin trades in dollars began on exchange platforms, at a price of about $ 0.07. In other words, its value had already multiplied seven times since May. 

The following year, 2011 , was characterized by the fact that some organizations began to accept bitcoin as a form of payment , and the fact that the first altcoins began to be created, such as Litecoin , whose first block dates back to October 7, 2011 . 

Advertisement

The following year, on November 28, 2012, there was the first halving, which halved the bonus for miners to 25 BTC per block mined, and in 2013 the first large speculative bubble was triggered which took the price of bitcoin up to over 1,100. $. At that point, compared to the initial price of May 2010, the value of bitcoin had already multiplied by 110,000 times. 

In 2014, the first major bitcoin bubble burst , and Mt. Gox failed due to a hacker attack. 

The 2015 that followed was the worst year ever for BTC price performance, with a final annual average price of $ 272, or 48% lower than the previous year’s average price. 

Advertisement

On July 9, 2016, there was the second halving , followed in 2017 by the second big speculative bubble that brought the price of bitcoin to $ 20,000. At that point, the value of BTC had multiplied by two million times compared to the initial value of May 2010. 

In 2018 the second big speculative bubble burst, but the following year, 2019 the average price fell by only 2% compared to the previous year. 

The May 11, 2020 there was the third halving , and in 2021 the price has reached new peaks reaching up to almost $ 65,000 on April 14. At that point the value of bitcoin had multiplied by 6.5 million times compared to the initial one in May 2010. 

Advertisement

News Source

Bitcoin

Bitcoin Can Become The 21st Century Digital Gold, Says Deutsche Bank’s Macro Strategist

Published

on

While Bitcoin can continue growing to become the “digital gold,” Ethereum has the ability to be the “digital silver,” according to Marion Laboure.

Marion Laboure – Macro Strategist at Deutsche Bank – believes bitcoin has the potential to become the “digital gold” of this century. However, she expects the cryptocurrency’s price to be “ultra-volatile” in the next few years.

Laboure also praised Ethereum’s use cases, labeling the asset as the “digital silver.”

Advertisement

BTC – The Gold of The Future

According to Marion Laboure – Analyst and Macro Strategist at Deutsche Bank – Bitcoin possesses all the necessary qualities to step in when the world suffers from rising inflation, doubt, and fear due to the COVID-19 pandemic and the governments’ actions. As its supply is fixed (there will be no more than 21 million BTCs in existence), she stated that the asset could be a successful choice as a protection against the growing inflation.

The increased control by authorities over the population could be another factor that would make bitcoin attractive to the people. Laboure reminded that in such cases, throughout the years, humankind has turned towards assets that were not under the governments’ jurisdiction, such as gold. With that said, the executive believes BTC could become the “21st-century digital gold.”

It is worth noting that Deutsche Bank had a different opinion on the matter in the recent past. Last year, a report from the German multinational investment bank stated that bitcoin’s high volatility is an obstacle that makes the digital asset not a “reliable source of value.”

Advertisement

According to Laboure, though, BTC’s enhanced fluctuations would not last forever. The asset remains “risky” as of the moment and could be “ultra-volatile in the foreseeable future” but just like gold, which has also experienced this issue, BTC would eventually overcome it.

While bitcoin is the pioneer in the crypto space and the largest digital asset by market capitalization, Laboure also praised Ethereum’s merits. She pointed out that it is more than a cryptocurrency as it offers many applications and use cases such as decentralized finance (DeFi) projects.

In fact, most of the trendy non-fungible tokens (NFTs) are part of the Ethereum blockchain and she noted ETH could be the “digital silver.”

Advertisement

Laboure concluded that no other cryptocurrency would become stronger than Bitcoin or Ethereum in the next five years.

Marion Laboure
Marion Laboure, Source: Deutsche Bank

Crypto’s Obstacles

Deutsche Bank’s strategist also spoke about the disadvantages of the cryptocurrency space with lack of regulation being the main one. She sees the industry much more settled once this issue gets solved. The environmental concerns that crypto mining causes are the other big hurdle:

“In one year, Bitcoin uses around the same electricity as the entire population of Pakistan (c.217M people),” she reminded.

This has been a growing concern this year, but the number of companies and parties aiming to solve it has increased exponentially as well. For instance, several leading cryptocurrency exchanges have already launched initiatives that would make them carbon neutral, including FTX, BitMEX, and Gemini.

CBDCs, Cash, And Crypto

Laboure also gave her two cents about central bank digital currencies. She prefers decentralized cryptocurrencies saying that the centralized nature of the CBDCs would not be attractive to society. In any case, she believes both assets together with cash would successfully co-exist in the economic network.

Advertisement

On another note, Deutsche Bank’s CIO, Christian Nolting, opined somewhat differently on the matter. Back in May, he said that the impending launch of CBDCs would be a major threat to bitcoin in terms of serving as a currency:

“A widespread introduction of CBDCs accompanied by higher regulation of cryptocurrencies could create a more challenging environment for crypto assets as some of their advantages compared to traditional financial assets would fade in the longer term.”

News Source

Advertisement
Continue Reading

Bitcoin

Bitcoin goes up again and valuation reaches 2% and tokens reach up to 19%.

Published

on

Even as criticism from China intensified and the weekend slumped, cryptocurrencies started the week in recovery.

With a slight increase in the early hours of this Monday (27), Bitcoin was already recovering 0.93%, reaching US$ 43,621. In 24 hours, the currency has accumulated 2% in appreciation.

Ether, the currency linked to the Ethereum blockchain, started the day up 0.83%. In 24 hours, the currency has already recovered more than 5% of the value lost last Friday and Saturday, with the impact of statements from China.

Advertisement

In addition to them, other currencies also show signs of recovery. According to TradingView data, altcoins such as Cardano, XRP, Dogecoin and Polkadot also recovered.

Cardano’s currency, for example, recovered 0.67% of its value, reaching $2.22. XRP rose about 1.84% to $0.96.

Solana’s cryptocurrency stays with its big moves, both down and up. This Monday morning, the currency was up 8.44%, returning to US$ 147.05.

Advertisement

The cryptocurrency meme, Dogecoin, rose slightly compared to the market, rising only 0.28%. According to the TradingView charts, the currency was selling for $0.207530 at 8:00.

Also, tokens from games like AXS, from Axie Infinity also rose again after the weekend crash. With an increase of 2.01%, the AXS returned to the level of US$ 65.04. The ALICE token, from My Neighbour Alice, was also up 3.37%, reaching US$ 10.27.

Finally, the ATLAS tokens, from the Star Atlas game, and the BAKE, from the BakerySwap, were also high this Monday morning. While ATLAS rose 6.88% to $0.08, BAKE rose more than 16% to $1.74.

Advertisement

China’s critics continue to rock the cryptocurrency market

China’s central bank said last Friday (24) that all transactions related to cryptocurrency are illegal in the country.

The People’s Bank of China (PBOC) has also stated that it will prevent financial institutions, payment companies and Internet firms from facilitating the trade in cryptocurrencies and will strengthen monitoring of the risks of such activities.

After the official statement, the popular Huobi exchange blocked new users from registering with a Chinese phone number. In a statement on Sunday it said it “would phase out existing user accounts in mainland China” by Dec. 31, as reported by Bloomberg.

Advertisement

China’s government has intensified its crackdown on cryptocurrencies, and its efforts to restrict trade and mining have increased, which has heavily impacted the price of cryptocurrencies. The sharp falls come to worry specialists.

One of the reasons China wants to ban the use and mining of cryptocurrencies is energy consumption. According to the Beijing government, the vast amounts of electricity used in the country come from coal plants.

With the banning of cryptocurrencies in the country, the intention is to reduce carbon emissions and also to inspect cases of financial fraud that had been taking place in Chinese territory. The country recorded more than $2 million in fraud in a few weeks. The cases of money laundering and cryptocurrencies also worried the local government.

Advertisement

Also read: Vietnamese project promises to be the next Axie Infinity and raises US$1.7 million

Also read: Thetan Arena: What is known about the new play-to-earn game?

Read also: Analysis: China stocks drove Bitcoin price this week

Advertisement

News Source

Continue Reading

Bitcoin

Bitcoin Price Analysis: BTC still tests $44,000, ready to break higher today?

Published

on

  • Bitcoin price analysis is bullish for today.
  • BTC/USD tests $44,000 resistance.
  • Bitcoin is set to break higher today.

Bitcoin price analysis is bullish today as more upside was seen overnight, with the $44,000 resistance briefly broken. Therefore, we expect further upside to follow, likely leading BTC/USD towards a higher high later today.

Bitcoin Price Analysis: BTC still tests $44,000, ready to break higher today? 1
Cryptocurrency heat map. Source: Coin360

The cryptocurrency market traded with a bullish momentum over the last 24 hours. The market leader, Bitcoin, has gained 1.27 percent, while Ethereum is up by 3.8 percent. Meanwhile, Solana (SOL) is the best performer today, with a gain of almost 9 percent.

Bitcoin price movement in the last 24 hours: Bitcoin briefly breaks $44,000

BTC/USD traded in a range of $42,822.37 – $44,313.25, indicating mild volatility over the last 24 hours. Trading volume has declined by 11.66 percent and totals $28.9 billion, while the total market cap trades at $821.7 billion, resulting in the market dominance of 42.25 percent.

BTC/USD 4-hour chart: BTC looks to set higher high today?

On the 4-hour chart, we can see the Bitcoin price action testing the $44,000 mark, which, once broken, will open up the way for a lot more upside.

Bitcoin Price Analysis: BTC still tests $44,000, ready to break higher today?
BTC/USD 4-hour chart. Source: TradingView

Bitcoin price action traded in a bearish momentum over the past weeks. After an initial spike lower on the 7th of September, during which BTC/USD lost more than 15 percent, a several-day consolidation followed.

The $44,000 mark served as support several times until it was broken as a result of reversal from the $48,500 swing high. Early last week, Bitcoin finally found support at $41,000.

Advertisement

What followed was a reaction higher during the middle of the week to $45,000. However, on Friday, another spike lower was made to $41,000. After further consolidation, BTC/USD made the fourth test of $41,000, again with rejection, indicating that bears are exhausted, and a market reversal is due this week.

Bitcoin Price Analysis: Conclusion 

Bitcoin price analysis is bullish for today as bulls pushed BTC back to $44,000 resistance overnight. As long as the bullish momentum persists later today, we should see a break higher, with the next target the $46,500 resistance. 

While waiting for Bitcoin to move further, read our guides on NFT Games, CoinJar, as well as Bitcoin Memes.

Advertisement

News Source

Continue Reading

Trending