Although the entire crypto industry has had a great year, the new hype around Bitcoin seems particularly justified. BTC has set an all-time high set at $73,750.07 in March. With a new halving event in April, most experts believe that the ATH could reach a new level soon.
If you plan to buy BTC, use the Bitcoin calculator to learn about its current value and how much you can get for your investment. In the meantime, read these fascinating facts about Bitcoin to learn more about the currency.
1. Creation of 184 Billion BTC in 2010
From the start, the plan was to have no more than 21 million bitcoins in circulation. The mining process has already made over 93% of that number available. That scarcity is partially the reason for BTC’s current value since it increases demand.
Bitcoin developers take security seriously, but mistakes happen. In 2010, an unknown user identified a flaw in the source code. They used it to make 184 billion BTC coins with a single block. The mistake was quickly noticed in the community, and the developers corrected the bug by releasing a soft fork in less than six hours. The patch restored the blockchain to before the creation of those coins, with the code that would reject potential overflow transactions that cause that type of mistake.
It’s worth noting that the problem happened in 2010. Bitcoin was only worth $0.3 and wasn’t a huge hit like today. The network has had numerous updates since then, which all contributed to security. The developers keep implementing changes and discussing updates, such as the one that Bitcoin moves to proof of stake at some point. All this means that such a huge exploit like the bug from 2010 is unlikely to occur again.
2. The First Recorded Bitcoin Transaction
An important day in the history of BTC was May 22, 2010. According to reports, that’s when the first Bitcoin transaction ever occurred. Laszlo Hanyecz bought two pizzas with BTCs, and everything occurred on the Bitcoin Talk forum.
The transaction wasn’t direct, but Laszlo posted that he’d like to buy two pizzas and is ready to pay 10,000 BTCs. Another user took up the offer and paid for the food delivery to Laszlo. The pizzas were estimated to be worth around $25, while the Bitcoins the user received were valued at $41. Today, 10,000 BTCs are worth over $200 million!
3. Possible Candidates for Satoshi
Although Bitcoin is the leading crypto, we have no idea who created it. The developer only revealed his pseudonym as Satoshi Nakamoto.
Speculations are always interesting, and these are our best guesses on who could be Satoshi:
- Hal Finney. Finney was a respectable community member and a Bitcoin software pioneer. As an encryption expert, he could have been the BTC creator. Finney passed away in 2014 due to ALS degenerative disease.
- Nick Szabo. Szabo suggested the smart contract concept all the way back in 1994. He even designed Bit Gold, which many consider a precursor to Bitcoin and the first digital currency.
- Wei Dai. The pattern is obvious — cryptographers are the top guesses for BTC creators. Dai made B-Money in 1998, and many ideas were later a part of the BTC’s white paper.
- Adam Back. Back’s Hashcash project used the proof-of-work concept, which Bitcoin later implemented in the mining mechanism.
4. Bitcoin’s Market Capitalization Exceeds PayPal’s
PayPal is the leading global electronic payment network, with over 420 million active users in 200+ different markets. Its market cap is estimated to be around $66.59 billion.
What if we tell you that Bitcoin’s market capitalization exceeds $1 trillion in 2024? It significantly exceeds PayPal, and it’s obvious why more people are attracted to it. Transactions are more anonymous, and sending money is easier, especially if you transfer it overseas.
5. Liberland’s Adoption of Bitcoin
Vit Jedlička is a Czech politician who strongly believes in libertarianism. In 2015, he founded the Free Republic of Liberland. Jedlička found a small, unclaimed piece of land between Serbia and Croatia and decided that it would be the territory of the independent country.
Liberland doesn’t have official recognition from any country. The interesting thing about this micronation is that it bases its economy on cryptocurrency — it adopted Bitcoin. The idea is for financial transactions to occur on the blockchain while also being recorded in the country’s systems.
6. Some Countries Banned Bitcoin
Liberland is a positive example, but many countries also banned Bitcoin. China is the most significant example. Although it used to be a major market component, China limited crypto activity in 2017. A few years later, it banned trading platforms and mining. The government stated that money laundering and financial stability were the reasons for the ban. As an alternative, it offered e-yuan (CBDC), a digital asset controlled by the authorities.
Potential criminal activities were the reason for the crypto ban throughout Africa, including Algeria, Morocco, Ghana, Libya, and Egypt. Bolivian authorities in South America have also banned crypto trading due to the risk of fraud and lack of consumer protection.
7. Bitcoin Black Market
Bitcoin and other cryptos aren’t centralized and offer a high degree of privacy, making them suitable for illegal activities. In 2011, a guy named Ross William Ulbricht even created a darknet market called Silk Road. Its goal was to offer a marketplace for illegal transactions with Bitcoin.
The transactions on Silk Road usually involved hacked passwords, drugs, and illegal private data. The FBI uncovered the operation in 2013 and shut it down. They seized over 144,000 BTCs. Ulbricht was sentenced to life without an option for parole.
8. Bitcoin Has Been Sent into Outer Space
Genesis Mining turned an interesting idea into reality in 2013. They created a weather balloon and inserted a Bitcoin paper wallet into it. The balloon was sent into the Earth’s stratosphere and reached an altitude of over 20 kilometers.
That’s where the first space transaction occurred. Genesis managed to transfer a couple of Bitcoins to and from the wallet in the balloon. They even made another flight later to increase the altitude to 34km!
Conclusion
Bitcoin has had an exciting journey, and the odds are the future will be equally fun. The currency has a strong potential, especially since everyone agrees it’s the crypto market leader. If you are a crypto enthusiast, BTC could be a wise investment. Always keep it on your shortlist and consider the right moment to add it to your portfolio!
