Among numerous Cryptocurrency options available on the internet, the most widely and used Cryptocurrency is BitcoinsThe Bitcoins are the digital currency that had its prevalent usage in stock exchanges, trading centers, gambling games, sports, and lots more.
The Bitcoins came to this digital currency world on January 3rd, 2009 by Satoshi NakamotoInitially, there were no transactions made with BitcoinsThey were exchanged among Satoshi and his peers for rewarding purposes.
Bitcoin’s real transaction happened when two people bought two pizzas by selling 10,000 bitcoins.
At that time, people did not know about the value, and when rated in the current scenario, they had bought two pizzas for 38 Million Dollars!!
Evolution of Bitcoins
Everyone knew that the year 2008 was a bad luck year as they were a recession in the financial and banking system, which leads to various financial crises all over the world.
At that time, only a white paper was released to the public, telling them they will be able to transact digital money online without any banking intermediaries or other middlemen in between.
This attracted the attention of all financial solution seekers, especially because of the peer-peer nature of Bitcoin transactions.
People were astonished to hear the fact that for performing a bitcoin transaction, people do not have to pay any transaction fee.
Bitcoin transactions, unlike traditional banking systems, take only minutes or a maximum of 24 hours to complete the transaction!
Another important attracting feature of a bitcoin transaction is people will be able to mine only 21 Million BitcoinsSo mining of bitcoin will be done with a limitTherefore there is no inflation in a bitcoin community.
But in a traditional currency system, the government publishes limitless currencies, and when starvation for currency emerges, it will affect the money value and lots of price hick-ups leading to inflation.
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The Distributed Ledger System
Another reason for the tremendous evolution of bitcoin is its distributed natureEvery bitcoin transaction is stored in a large public database called a blockchain.
Every transaction is stored as blocks, and each block is encrypted with a hash key code based on the previous block’s hash code.
Because of this nature, a small change or transaction made in one single block will be known to all other blocks, thus ensuring that Bitcoin transactions are highly secured.
Another important aspect of blockchain technology is its anonymous natureEverybody in the transaction chain will be able to see the transactions and the total bitcoins owned by every user associated with a transaction.
But the personal details associated with a transaction like a name, address, mobile number, etccannot be predicted by anyone.
Thus this anonymous nature of bitcoins made a positive impact on those people who wish for a revolution in the traditional money system.
Bitcoin transaction for black money trading
As there were no intermediaries or any banking system, initially, the Bitcoin transactions were attracted by many black market traders, as no one will know the identity of the transaction owner.
The first bitcoin trading for black markets was initiated by Silk Road, where the trading included Marijuana and some other illegal businessesBut during 2013, they were caught by the U.S government, where they had earned 144,336 bitcoins!!
In the year 2010, Mt.Gox launched a bitcoin exchange, where people will be able to buy or sell bitcoins.
Later on, many people had the problem that they were not able to withdraw the bitcoins invested, and during the year 2014, Mt.Gox was filed for the ruin of bitcoins.
At that time, the value of bitcoins was in heights, and all the bitcoin owners got profited after making the bitcoin investment.
But in the middle, bitcoin value degraded, and at that time, other cryptocurrencies like Ethereum, Litecoin emerged.
Later on, again, bitcoins emerged with technological advancements across the globe and became one of the top most used cryptocurrenciesMany web infinitytrader.app for making bitcoin transactions emergedAfter bitcoin, many coins like Ethreum, Litecoin, Dogecoin etccame into the market with good use cases.
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The irreversible nature of bitcoins and the illegal black money trading were the only two sets of backs of bitcoins.
Irreversible nature means, if you had made a wrong transaction to a receiver or if a receiver is not genuine, no one will be able to identify the owner for the transaction.
But despite these, bitcoins evolved and have been widely used by many people across the globe due to its peer-peer and anonymous nature.