Bitcoin and its History
The digital asset used as a medium for the exchange of money is known as Cryptocurrency. It is stored on a database digitally and secured using cryptography. Bitcoin is the first and most popularly used cryptocurrency that was released in 2008. It is an open-source currency, and the bitcoin network is not controlled or governed by any authority. The bitcoin transactions are stored digitally. It has three main characteristics:
- Origin – It was developed anonymously by a group known as Satoshi Nakamoto.
- Technology – It works on Cryptography, and transactions are secured using encryption.
- Usage as Money – Rise in the btc price shows the increasing popularity of bitcoin.
Growth of Bitcoin Price
The market and changes set the price of BTC according to their selling price. The rate also depends upon various factors such as:
- Market Liquidity
- Political Events
- Technological developments
Since 2011, the bitcoin rate has seen enormous growth, indicating its bright future. After studying the graph of BTC price, thefollowing scenarios are visible:
- In 2011, it was accepted by the Electronic Frontier Foundation, which later stopped accepting because of uncertainty in regulation.
- In 2012, the Bitcoin Foundation was launched with thousand of merchants and accepted it as a payment system.
- In 2013, the bitcoin price rose to $22.
- In 2014, the cryptocurrency exchange got an endorsement from the US CFTC.
- In 2015-2016, several cryptocurrency exchanges were subjected to hacking.
- In 2017, businesses started exchanging bitcoin as a means of payment. As a result, this year has seen an astronomical increase in the bitcoin price.
- In 2018, it saw a drop of $3,000 whereas, in mid-2019, it increased by $13,000.
- In 2019, the bitcoin Future Exchange, Bakkt, was launched.
- In 2020, CME Options were launched.
Future of Bitcoin Price
Bitcoin seems to have a blazing future as it is being adopted as a digital currency widely. The freedom of traders without any interruption marks the difference between bitcoin and paper currency. The bitcoin transaction is also free from any sales tax. In the coming years, there is so much more to explore on the topic.
