21st century witnessed the onset of cryptocurrency at the time, when half the world was still getting used to the internet and its many facets. Bitcoin as a currency is ever since evolving and operates on one of the breakthrough technologies of the century- Blockchain. There are many theories and speculative studies as to where the future of bitcoins lies, but what you must first know is who created it? The history of bitcoin and its underlying technology Blockchain goes back to Satoshi Nakamoto. It is unclear whether Satoshi Nakamoto was a person or a group of persons.
- On October 31st, 2008, “Bitcoin: A Peer-to-Peer Electronic Cash System” was posted to a cryptography mailing list, published under the name “Satoshi Nakamoto”. The white paper outlined the working of the disruptive technology Blockchain.
- On August 18, 2008, an unknown person or entity registered the Bitcoin.org domain.
- On January 8th, 2009, the first version of Bitcoin was announced, and shortly thereafter, Bitcoin mining started.
Bitcoin and its Use
The Bitcoin is said to have no intrinsic value and declared illegal by many governments and banks. However, the transactions in bitcoins have crossed millions. It is looked upon as a promising avenue for investing. Much before it came to be scrutinized, computer hardware retailer Dell came to be the first one to use it. Many other companies started using bitcoins and its popularity increased exponentially. The popularity is such that it became a necessary domain for framing proper guideline for taxing. While many countries have successfully framed policies framework for taxing it, there are many like China that have banned it completely. Moreover, China has openly appreciated the technology underlying the bitcoins- blockchain and is in on a verge of creating its own nationalized blockchain tech -Matrix AI, which is one of the official partners of the China’s ambitious trillion dollar project ‘One Belt. One Road’
In India, the usage of bitcoins has been discouraged and RBI is looking for ways to monitor the control over the rising cryptocurrencies as they are allege the gateways for tax evasion, corruption, illegal funding to terrorist organisation and so on.
How much was the worth of 1 bitcoin in 2009? It was worth zero! And today it is valued at INR 27lakhs and 55 thousands.
The Future ahead
The Bitcoin has a gained a lot of traction in the past decade. Additionally, more coins have come up like Etherium, MAN, Ripple and so on. We cannot prevent the rise of cryptocurrency, especially when the underlying technology is a disruptive discovery in the financial-tech. Most countries are in a bid to harness the power of the blockchain and ride the wave of change and legalise cryptocurrencies. Despite the drawbacks, the positive implications of the cryptocurrencies are unmatched. They can facilitate international transfers within a matter of few seconds, they are an excellent way to secure the supply chain management, and they are hack proof.