Crypto Academy Season 3 Beginners Course - Task 3: Bitcoin, Cryptocurrencies, Public chains by @atim1234

atim1234 (67)Beginner[2,4,5,6]in SteemitCryptoAcademy • 4 years ago

#(2) What Is Bitcoin and what was the Aim Behind Bitcoin Invention? Is Cryptocurrency Good For A Business To accept As Payment? Why?

What Is Bitcoin ?

According to Wikipedia, Bitcoin is an electronic money created in 2009 by Satoshi Nakamoto. bitcoin is created from an open source software that he designed, and also uses a peer-to-peer network without centralized storage or a single administrator where the United States Department of the Treasury calls bitcoin a decentralized currency.Wikipedia

Bitcoin is a sort of crypto money that was first established in this planet in January 2009, exactly amid the global financial crisis. Satoshi Nakamoto was named as the inventor of this cyber currency. Many individuals think that Satoshi Nakamoto is a pseudonym rather than a genuine name, and that Satoshi Nakamoto is the name of a group, implying that there is more than one person.

Who Is Satoshi Nakatomo ?

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One of the mysteries that has yet to be answered is the identity of the person who invented Bitcoin.

However, Satoshi Nakamoto is reported as the true name of a Japanese descendent of American citizenship in a Newsweek story titled "The Face Behind Bitcoin" released on Thursday (03/06/2014).

Leah McGrath Goodman

According to the report, Leah McGrath Goodman, a Newsweek writer, claimed to have done research by interviewing engineers who worked with Nakamoto in the early days of Bitcoin's creation.

According to him, Nakamoto is a brilliant guy who appears to have the necessary abilities as a cryptography specialist. He graduated from California State Polytechnic University with a degree in Physics.

He is also known to work with the Federal Aviation Administration in security and communications (FAA). When he discovered that a journalist intended to interview him, Nakamoto opted to keep mute and attempted to flee. "I'm no longer interested with it (Bitcoin), and I don't want to talk about it," Nakamoto told Goodman.

Reference : https://www.newsweek.com/2014/03/14/face-behind-bitcoin-247957.html

However, the Newsweek article sparked a lot of debate, particularly within the Bitcoin community, especially after Newsweek released a photo of Nakamoto, his residence, and address.

The publishing is thought to infringe on Nakamoto's privacy. Satoshi Nakamoto, who Newsweek met, has not been officially confirmed as the creator of Bitcoin, though there are strong evidence that he is.

On BBC News on Thursday (6/3/2014), the Bitcoin community questioned Newsweek's techniques for determining Nakamoto's identity. Bitcoin advocates voiced their reservations about the Goodman study on Bitcoin forums and social media. Some participants on the Bitcoin Talk site called the news fake.

They also demanded confirmation of Nakamoto's Bitcoin transactions if the individual Goodman was referring to was indeed the founder of Bitcoin. Bitcoin first appeared in 2008, when Nakamoto published his proposal for a digital money in the internet media. This form of money then gained a lot of attention in 2013, which increased its worth. In mid-December 2013, one Bitcoin was worth around $710 USD.

Reference : https://www.bbc.com/news/technology-26469895

Craig Steven Wright, who previously claimed to be Satoshi Nakatomo on the BBC television station, was a controversial individual who claimed to be Satoshi Nakatomo in 2016.

Craig's claim is based on a series of findings from a December 2015 study by Wired and Gizmodo, which determined that Craig may be the creator of Bitcoin. During his communication with the two well-known media outlets, he utilized the same e-mail address as Nakamoto. Gizmodo also publishes an email from Craig encouraging political personalities and government entities to adopt Bitcoin regulation.

Reference : https://www.bbc.com/news/technology-36168863

Aside from the contentious report, no one has been able to identify the individual or group responsible for the creation of the Bitcoin digital currency.

Bitcoin History Journey

As I previously stated, Satoshi Nakamoto released the open source code of the Bitcoin program to the world in January 2009.

The first block of the Bitcoin blockchain, which was created on January 3, 2009, might be read as a message, a hint, or just a date marker: ‘The Times 03/Jan/2009 Chancellor on brink of second bailout for banks’. On the same day, this statement was one of the major headlines of The Times.

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Many people believe that this is a remarkable statement.

The global financial crisis of 2008 was still occurring at the time, and Bitcoin was most likely an expression of rage and disappointment in response to the condition of the banking system at the time.

The Bitcoin Code may have been written in 2007, and the first evidence of its existence was when the domain bitocin.org was registered in August 2008.

A few months later, users of the cryptography mailing list got a report titled 'Bitcoin: A Peer-to-Peer Electronic Cash System' from 'Satoshi Nakamoto.'

Hal Finney

Hal Finney was the first person to accept a Bitcoin transaction. When he died in 2014, his legacy was to create a better financial system, and his cryptography is still in operated today.

In late 2010, Nakamoto formally decentralized the Bitcoin network by handing over full authority to a software engineer named Gavin Andresen.

Previously, control over the Bitcoin code was very concentrated, with only Nakamoto having the ability to make modifications to the code.

Nakamoto's most recent forum post was on December 12, and he has been replying to occasional emails for some time. While maintaining contact with Andresen till the end of April.

Then he vanished for good. According to media sources, Nakamoto requested that Andresen disregard his identity when discussing Bitcoin in public.

The Aim Behind Bitcoin Invention

Satoshi Nakamoto defines Bitcoin in a document released on October 31, 2008 on bitcoin.org, as a peer-to-peer electronic cash that will facilitate online payments over the Internet and can be transmitted directly from one party to another without the need for a financial authority. With digital signatures being a component of the solution that Satoshi wishes to give,

Bitcoin will be a solution to the problem of current financial transactions by utilizing a peer-to-peer network, since this bitcoin network will produce timestamps of transactions and will build nodes or transaction data that cannot be modified without repeating proof-of- work.

Satoshi aspired to build a decentralized payment system. This demonstrates that Bitcoin is a serious reaction to the present financial system's failing.

This mistrust coincided with the global financial crisis of late 2008. At the time, Bitcoin was popular among tech activists who were disillusioned with the flaws of the old banking system.

Is Cryptocurrency Good For A Business To accept As Payment? Why?

Indeed, numerous companies have formed that use crypto as a method of payment, both online and in the real world, and payments utilizing this peer-to-peer digital currency as a means of payment may be quicker, faster, and, of course, safe.

However, in many countries, the adoption of crypto assets as a legal means of payment has not been adopted, according to Baru El Salvador, who just passed legislation in his nation to accept bitcoin as a method of transaction, and is being followed by Paraguay and Panama.

Accepting payments with crypto assets is undoubtedly more lucrative in general, because we don't have to be suspicious or frightened to transact even in the absence of any party's tax reduction.

Also, because this cryptocurrency is decentralized, no one can govern it, there will be no more Economic Monopoly in business.

Transacting across countries becomes simpler, as there is no longer a requirement for a third party to serve as an intermediary. It will also be secure since every transaction will be validated by miners.

Conclution

Since Bitcoin's inception, cryptocurrency fans have grown in number, and numerous advances have been made, ranging from technical issues to system upgrades, all in the hopes that this cryptocurrency will be embraced by all levels of the global community.

With the nature of cryptocurrencies in general being peer-to-peer and decentralized, we naturally believe that there will be no more economic monopolies, that corruption will be reduced, that excessive tax cuts will be reduced, and that all people across the world would thrive.