How bitcoin was created
Satoshi Nakamoto began developing bitcoin in 2007. The development of the cryptocurrency fortuitously coincided with the crisis of 2008, when many people lost faith in the banking system.
On Oct. 31, Nakamoto published a bitcoin white paper outlining how the system works. He drew on scientific research as well as the work of cryptographers and cryptographers to create it.
The genesis block of bitcoin was mined on January 3, 2009. The first transaction took place nine days later – Nakamoto sent 10 BTC to developer Hal Feeney.
Where the term blockchain comes from
Blockchain is a key element of bitcoin and most other cryptocurrencies. It is a decentralized, interconnected chain of blocks into which all transactions that take place on the network are recorded. In English, blockchain translates to “blockchain. Nakamoto himself never uses the term in a bitcoin white paper. But it does contain the words “chain” and “block.
The word “blockchain” was first used in an email by Hal Feeney in 2009. It is not clear how the two words turned into one, but in 2016 almost everyone used the term blockchain.
The first bitcoin ATM
In 2013, the first bitcoin ATM started operating in Vancouver, Canada. It was installed in the Waves Coffee House cafe. Thanks to the ATM, everyone was able to exchange bitcoins for cash and vice versa.
The Bitcoin split
Bitcoin is an independent, decentralized cryptocurrency. All transactions are decided by the community. As BTC grew in popularity, the network began to slow down. The community realized that if nothing was changed, soon it would take not even days, but weeks to verify and confirm a transaction.
Two factions emerged in search of a way out of the situation. They could not agree, and on August 1, 2017, bitcoin split into two cryptocurrencies, Bitcoin (BTC) and Bitcoin Cash (BCH). The feud between the factions did not end there. Their representatives continue to attack each other.
The year 2017 was remembered as a true cryptocurrency fever. People around the world were not just interested in digital money but began buying it up to make a quick buck. This provoked a rise in the rate of cryptocurrencies. Bitcoin won the most in this situation. In December 2017, the rate of BTC reached almost $20,000.