“where does bitcoins come from?” this question has repeatedly surfaced due to the impact bitcoin has made over the last decade.
People can’t just sit and not wonder where it all started from. So today you are going to find out the origin of BTC and how it can benefit you.
Important: Pay attention and read every text on this article for better understanding
Before we go into where does bitcoin comes from I think you should know what it is first. So Without further delay lets dive into what it is and where it originated from.
What is Bitcoin?
Bitcoin is a kind of electronic money that has no central authority.
This means that btc operates without a central bank and it enables users to send and receive money worldwide, without the need of a third party ( Banks or payment gateways ) which is also known as a peer to peer transaction.
Bitcoins are not printed like the Dollars or like any other fiat currency.
Rather they are been mined electronically using a computer and software.
Most people still don’t know that BTC is equivalent to real cash. meaning it is exchangeable. you can sell it for cash or use cash to purchase bitcoin just like Gold.
BTC are stored on bitcoin wallets which allows you to send and receive it.
Do you know the reason why I love Bitcoin?
It’s fast, cheap to use, Untraceable and the government has zero control over it.
Things you should know
> The smallest unit of a bitcoin is called Satoshi
> It uses Blockchain technology which is a public shared Ledger where the entire bitcoin transactions are recorded.
> The price of a BTC is determined by demand and supply of the bitcoin market. This has been a major factor as to why the value keeps on fluctuating.
> BTC has been programmed to have a total supply of 21 million bitcoins.
> You need a Bitcoin Wallet to store, receive and send BTC.
> BTC is the abbreviation used for bitcoin.
> Satoshi Nakamoto is the founder of BTC.
where does bitcoin come from?
In the year 2009, an anonymous software developer named Satoshi Nakamoto introduced the first Cryptocurrency being Btc.
The goal was to create a solution to independent exchange so money can be transferred electronically without a third party ( being the banks ) and without a trace.
With Bitcoin, everyone is their own bank.
A group of people or a person named Satoshi Nakamoto created the first cryptocurrency. although the inventor of BTC has been hiding his or their true identity from the media.
The reason for being anonymous is not officially known yet.
So the question where does bitcoin come from has been answered.
How to benefit from it
The existence of cryptocurrency has created investment opportunities all over the world, the two major ways you can benefit from BTC is by Trading and Hodling.
Trading BTC involves buying and selling, You may not be able to buy 1BTC as a result of the price but you can buy a fraction of bitcoin ( 0.05btc ) or lesser.
Buying and selling of BTC can be profitable because of the fact that bitcoins price always fluctuates.
For example, 1 BTC could be $6000 now and the next minute it might be $9000 or even less than $6000.
Remember Bitcoin is an Asset just like Gold.
The goal is knowing when to buy and setting the amount you want to sell at.
The best time to buy is at a low price and sell when price increases and you see potential returns this might not be immediate and at times the price of bitcoin drops which is caused by demand and supply.
Warning: You will lose some percent of your money mostly when the price falls.
the good thing there is that it will always rise back or surpass its previous price.
But might take more or less of a month while in some cases just days. It all depends on the demand and supply of the market, I recommend you check coinmarketcap frequently for market supply.
The word Hodling was created in 2013 in a bitcoin chat forum by an investor who was watching BTC price fall sharply. but decided not to sell his coins.
So he wrote a post titled “I am hodling” meaning holding the cryptocurrency for future use hoping the price will increase.
For example, You buy 1btc for $7000 and set a goal to not never sell your coins. not untill btc rises to $7500 or more before you sell.
Your ability to not sell till your goal is achieved is called Hodling.
After taking your time to read where does bitcoin come from. I hope you now get the concept of the first cryptocurrency and how it came into existence.
If there is anything you would like to ask or add on this topic.
Please drop a comment below. thanks for reading.