Introduction to Bitcoin
Bitcoin is the world's first decentralized cryptocurrency, created in 2009 by the pseudonymous Satoshi Nakamoto. It introduced the concept of a peer-to-peer electronic cash system that operates without a central bank or trusted intermediary.
Key Properties of Bitcoin
┌──────────────────────────────────────────────┐
│ BITCOIN AT A GLANCE │
├──────────────────────────────────────────────┤
│ Maximum Supply: 21,000,000 BTC │
│ Block Time: ~10 minutes │
│ Consensus: Proof of Work (SHA-256) │
│ Genesis Block: January 3, 2009 │
│ Block Reward: 3.125 BTC (2024 halving) │
│ Halving Cycle: Every 210,000 blocks │
│ Transaction Fee: Market-driven (sat/vB) │
│ Divisibility: 1 BTC = 100,000,000 sats │
└──────────────────────────────────────────────┘
The Bitcoin Whitepaper
Satoshi's 9-page whitepaper, "Bitcoin: A Peer-to-Peer Electronic Cash System," solved the double-spending problem without requiring a trusted third party. The key insight was combining proof-of-work with a public ledger to create consensus among strangers.
Bitcoin Halving
Every 210,000 blocks (roughly 4 years), the block reward is cut in half. This deflationary mechanism ensures Bitcoin's supply is finite and predictable.
Year Block Reward BTC per Day (approx)
2009 50 BTC ~7,200
2012 25 BTC ~3,600
2016 12.5 BTC ~1,800
2020 6.25 BTC ~900
2024 3.125 BTC ~450
2140 0 BTC Mining rewards end
Supply cap reached at 21 million BTC
Why Bitcoin Matters
Bitcoin proved that decentralized digital money is possible. It introduced blockchain technology, demonstrated that consensus can exist without central authority, and created a censorship-resistant store of value often called "digital gold."