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What are Cryptocurrencies - Bitcoin

Bitcoin - Bitcoin (BTC) is the pioneering cryptocurrency introduced to the world in October of 2008. The principle innovation is the creation of a network that enables users to send and receive bitcoin without the need to trust a bank or escrow service. The trust is built into the protocol by combining several elements of cryptography and astute insight into human nature.

Bitcoin - Bitcoin (BTC) is the pioneering cryptocurrency introduced to the world in October of 2008. The principle innovation is the creation of a network that enables users to send and receive bitcoin without the need to trust a bank or escrow service. The trust is built into the protocol by combining several elements of cryptography and astute insight into human nature.

Since that time it has gained popularity as the best performing asset of all time, in terms of the rate and magnitude of dollar value appreciation. Bitcoin enjoys the largest share of capital in the cryptocurrency / web3 market and will very likely continue to grow. 

Bitcoin plays a vital role in the nascent economy of digital assets, acting as a store of value; a reservoir of energy that forms the basis and justification for all other digital assets. Institutions such as BlackRock and Fidelity have applied to the SEC to launch an ETF based on the market (spot) price of BTC. If these, and several others like them, are approved, demand for bitcoin will grow quickly because it signals to the traditional financial markets that bitcoin is a legitimate investment opportunity, and it enables many retail investors to shift some of their portfolio balance into bitcoin with ease. Purchasing bitcoin now may help you to to take advantage of the “rising tides float all boats” strategy.

Bitcoin is highly decentralized and nearly impervious to brute force attacks. The cost of co-opting the network (AKA a 51% attack) is much greater than the reward of accomplishing this task. The network is secured by its legendary Proof of Work consensus mechanism that requires “miners” to expend large amounts of money and considerable capital investments in hardware technology in order to compete with each other to earn the mining reward, currently 6.25 BTC/ mined block. A new block is mined approximately every 10 minutes. This timing is another layer of protection for the network and is enabled and protected by the “difficulty adjustment.” 

For a more in-depth description of Bitcoin please see our article “Bitcoin Is Money - And So Much More.”

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