Bitcoin, created in 2008 and launched in 2009 by an individual or group using the pseudonym Satoshi Nakamoto, represents a significant innovation in the realm of digital assets. As a decentralized cryptocurrency, Bitcoin operates on a peer-to-peer network without reliance on any central authority or government backing. This characteristic has rendered it the first globally accessible currency, accessible to anyone with an internet connection. Key characteristics of Bitcoin include its decentralization, limited supply, security measures, and notable price volatility. Bitcoin's supply is capped at 21 million coins, contributing to its status as a deflationary asset and impacting its long-term value. Transactions on the Bitcoin network are secured through cryptographic techniques, reducing the likelihood of unauthorized alterations or counterfeiting. Bitcoin serves several purposes, including acting as a potential store of value, facilitating peer-to-peer transactions, and offering an alternative for cross-border remittances, particularly in regions with limited access to traditional banking services. Investors often include Bitcoin in their portfolios as a means of diversification and potential capital appreciation.
