While Bitcoin has only been around for a few years, it’s really interesting to take a look at the history of the cryptocurrency. We’re going to go over the basics of Bitcoin history so that you can see for yourself why so many people are very excited about the possibilities of this new virtual currency. Some of the narrative is a bit murky, but it’s still possible to sit back and examine how Bitcoin got started.
Birth of Bitcoin
Some would say that the birth of Bitcoin happened on August 18, 2008, when the bitcoin.org domain name was registered. Others say that it is October 31, 2008, when a paper on Bitcoin was published online. Another important milestone came on January 3, 2009 when the Genesis Block – the first in the block chain – was established. This is really what made Bitcoin a reality.
Growth of Bitcoin
During 2009 and 2010, news of Bitcoin spread far and wide online. Many milestones were reached during these early years. For example, on January 12, 2009, you have the very first Bitcoin transaction – block 170 – which was transferred from Satoshi to Hal Finney. This showed that the system worked. In February of 2010, the Bitcoin Market was established.
Other milestones were reached during this early growth of Bitcoin as well. For example, in May of 2010, Bitcoin user laszlo was the very first person to purchase pizza with Bitcoins. He agreed to give 10,000 BTC in exchange for around $25 worth of pizza, which was provided by jercos. This goes to show that the value of bitcoins was still relatively low in 2010.
By February 9, 2011, Bitcoin finally reached parity with the US dollar. At MtGox, one of the biggest Bitcoin exchanges online, 1 BTC was worth $1 USD. This further showed that the dream of Bitcoin was a reality. Since that time, the value of bitcoins has risen quite a bit. What’s interesting is that it behaves like an actual market, with prices fluctuating up and down. This has allowed some to make money by speculating on where the value of bitcoins might go in the future.
Future of Bitcoin
What does the future hold? This is a very good question – one that many people are asking themselves. Many signs point to Bitcoin becoming even more popular in the years ahead. While more regulations may be put in place as its use expands, this is not necessarily a bad thing. In fact, this may help Bitcoin become more acceptable around the world. And when this happens, Bitcoin growth is going to be hard to stop as a global currency arises.
If you want to know even more about the history of Bitcoin, including how you can quickly and easily get in on the action, you need to download our comprehensive Bitcoin eBook. It has everything you need to know about bitcoins. From the history of how they were created and launched in the world to the best ways to mine bitcoins, we’ve put together a complete look at everything related to Bitcoins that is great for beginners.