Bitcoin – The beginning of Cryptocurrency
The Times 03/Jan/2009 – ” Chancellor on brink of second bailout of banks” – Satoshi Nakamoto
This was the first post after mining out the genesis block following the bank crisis of 2008. This marks the birth of Bitcoin which today has revolutionized Cryptocurrency and led the way for many successful allies.
Bitcoin – Not only is it the most successful Cryptocurrency but is also hailed as the pioneer in the crypto movement. Its origin can be traced to its inventor’s need for an electronic payment system based on cryptographic proof rather than trust. Since its launch in 2009, Bitcoin has risen exponentially in value, all the more, when investors started treating it as a hedge against volatility and inflation.
Traditional currencies rely on the trust reposed in the banking system. History has many instances of this trust being breached. On the contrary, Bitcoin is built on blockchain technology and hence decentralised.
Alternatives to Bitcoin
While Bitcoin is still hailed as the creator of Cryptocurrencies, there have been many noteworthy followers who have shaped the crypto market. Among the most popular ones are
1. Ethereum – Perhaps the earnest successor of Bitcoin, it went live in 2015 and have been going steady ever since.
2. Ripple – Christened after the company which manages and cashes in on the security aspect of cryptocurrencies. They work with a network of nodes that are participating banks and financial institutions. These need to be mined.
3. Litecoin – Considered a close rival to Bitcoin, barring the speed of transactions and number of coins currently pegged at 84 million, Litecoin also boasts of a founder who wishes to make himself known.
4. Monero – It is one of the most untraceable currency. Currently pitted as black money and definitely advised against.
5. Cardano – Developed by academicians and engineers and based on scientific philosophy, the Cardano is touted to be a more sustainable currency.
6. Dogecoin – Those who are pennywise should seriously look into this investment. Founded in 2013, it is still finding its foothold in the industry
7. Tron – Started out in Singapore, it was part of Ethereum before it moved to be a standalone currency in the year 2018.
8. Binance Coin – It is primarily used to pay fees on the Binance crypto exchange but it has grown substantially to be a force in the currency world.
How valuable is Bitcoin?
Though it has no intrinsic value, Bitcoin is a collector’s item today. It has been on a roller coaster ride since its inception in 2009. It has since seen many ups and downs and today it is trading at a near 37000$ after it catapulted to a high of 55000$ in early May.
There are many theories surrounding the disappearance of its founder Satoshi Nakamoto but one of his last posts might have clues to his disappearance in 2011.
“It would have been nice to get this attention in any other context. Wikileaks has kicked the hornet’s nest and the swarm is headed towards us”
Whatever said and done, it is more than just a fad or a fleeting trend. If predictions are anything to go by, it is a force to reckon with. Bitcoin is touted to break institutional barriers and take its value to the moon.
Author- Benila Jacob, Anthony Preetham