.png){kind=logo}
The most well-known and valued cryptocurrency in the world is Bitcoin, which was developed in 2008 by an unidentified individual or group known only as Satoshi Nakamoto. The price of a single bitcoin rose from less than a cent to more than $60,000 at its peak during its rapid rise. Numerous turning points in Bitcoin's history have affected the currency's development and contributed to its success.
The biggest turning point in its history may have been the invention of Bitcoin. Satoshi Nakamoto released the "Bitcoin: A Peer-to-Peer Electronic Cash System" white paper in 2008, and on January 3, 2009, the Genesis block, the first block of the Bitcoin network, was mined.
A developer by the name of Laszlo Hanyecz carried out the first Bitcoin transaction in the real world on May 22, 2010. He purchased two pizzas for 10,000 bitcoins, and the transaction became known as "Pizza Day." For the first time, Bitcoin was utilised as a means of exchange as opposed to merely a speculative asset.
At the time, the biggest Bitcoin exchange in the world was Mt. Gox, a Tokyo-based business. But in February 2014, the exchange was hacked, and about 850,000 bitcoins—worth $500 million at the time—were taken. This incident, which was among the biggest security lapses in Bitcoin history, left a lasting impression on the sector.
Using Bitcoin as a form of payment, users may buy and trade illegal narcotics on Silk Road, an online marketplace. In October 2013, the FBI shut down the website, and Ross Ulbricht, its creator, was taken into custody. This incident brought Bitcoin into the attention of the general media and caused heightened examination of the cryptocurrency.
Developers can create and implement decentralised apps (dApps) using the decentralised Ethereum platform. The introduction of smart contracts to the world with the launch of Ethereum in July 2015 opened the door for the creation of numerous more blockchain-based projects.
A soft fork upgrade to the Bitcoin protocol called Segregated Witness (SegWit) raises the block size cap and fixes a transaction malleability flaw. SegWit's activation in August 2017 marked a critical turning point for Bitcoin since it made it possible to create second-layer scaling solutions like the Lightning Network.
In August 2017, a hard fork of Bitcoin called Bitcoin Cash was produced. A debate regarding the most effective strategy to scale the Bitcoin network led to the split within the community. Because Bitcoin Cash has a higher block size limit than Bitcoin, transactions can be completed more quickly and for less money.
Trading in Bitcoin futures began in December 2017 on the Chicago Mercantile Exchange (CME) and the Chicago Board Options Exchange (CBOE). This was a crucial step in the adoption of Bitcoin because it allowed for the first time its trading on a regulated exchange.
The price of Bitcoin hit an all-time high of $20,000 in December 2017, which was a crucial turning point in the history of the cryptocurrency. Increased institutional investor interest and the start of Bitcoin futures trading were cited as the causes of the price spike.
The Bitcoin network experiences a halving event every four years where the incentives for mining new blocks are reduced by half. This incident is important because it brings attention to Bitcoin's finite supply and deflationary monetary policy.
Conclusion: These are some of the key milestones that have shaped the Bitcoin as a popular cryptocurrency. While there have been challenges along the way, Bitcoin has persevered and continues to be a major player in the cryptocurrency industry.
Join our WhatsApp Channel to get the latest news, exclusives and videos on WhatsApp
_____________
Disclaimer: Analytics Insight does not provide financial advice or guidance. Also note that the cryptocurrencies mentioned/listed on the website could potentially be scams, i.e. designed to induce you to invest financial resources that may be lost forever and not be recoverable once investments are made. You are responsible for conducting your own research (DYOR) before making any investments. Read more here.
