Thirteen years ago, on October 31, 2008, the very first Bitcoin white paper was published online by someone using the pseudonym Satoshi Nakamoto. The document that detailed the foundations of the world’s first cryptocurrency was titled “Bitcoin: A Peer-to-Peer Electronic Payment System”. He underlined the advantages of this futuristic online payment system, totally autonomous by nature. Back then, each token of what is now the world’s most valuable cryptocurrency was priced at $ 0.0008 (around Rs. 0.060), a far cry from today’s prices.

In that white paper, Nakamoto noted that the world needed an “electronic payment system based on cryptographic evidence instead of trust, allowing two willing parties to deal directly with each other without the need. from a trusted third party “.

Marking the ‘iconic day,’ Bitcoin enthusiasts around the world tweeted birthday greetings to the crypto-coin, as well as its whitepaper. Internet users are sending messages filled with gratitude for Nakamoto, who remains anonymous to this day.

The idea behind Nakamoto’s cryptocurrency idea was to create a way to avoid financial institutions serving as trusted third parties to process electronic payments and take discounts as a service fee.

“While the system works quite well for most transactions, it still suffers from the weaknesses inherent in the trust-based model. Completely irreversible transactions are not really possible, as financial institutions cannot avoid dispute mediation. The cost of mediation increases transaction costs, limiting the minimum practical size of the transaction and reducing the possibility of occasional small transactions, and there is a greater cost in losing the ability to make non-reversible payments for services. non-reversible ”, the white paper noted thirteen years ago.

Although it has often been seen as a challenge to existing financial systems and institutions in many parts of the world, Bitcoin has skyrocketed over the past thirteen years.

Currently, each token of the cryptocurrency trades at $ 64,400 (around Rs. 48.2 lakh) in India.

Nakamoto capped the number of bitcoins at 21 million, which means there will only ever be 21 million Bitcoins. As of August 2021, 18.7 million bitcoins were available, leaving around 2.3 million to be mined, according to a report from Investopedia. Limiting the supply makes Bitcoin scarce and keeps its value on the rise.

Meanwhile, Nakamoto’s fate remains unknown. In 2011, the mysterious inventor of Bitcoin bade farewell to the crypto space and apparently “moved on to different things.”

Bitcoin tokens in Nakamoto’s wallet amounting to over $ 66 billion (approx Rs. 496,814 crore) are not being spent at this time.

Interested in cryptocurrency? We discuss all things crypto with WazirX CEO Nischal Shetty and WeekendInvesting Founder Alok Jain on Orbital, the Gadgets 360 podcast. Orbital is available on Apple Podcasts, Google Podcasts, Spotify, Amazon Music and wherever you get your podcasts.

Leave a Reply

Your email address will not be published.