Satoshi Nakamoto’s Bitcoin white paper celebrates its 13th birthday
The iconic Bitcoin White Paper is celebrating thirteen years of its financial disruption after it was published on October 31 by an entity named Satoshi Nakamoto.
The paper, titled Bitcoin: A Peer-to-Peer Electronic Cash System, had foreseen the need for a peer-to-peer digital payment system that is completely self-governing other than being a highly secure stream.
The Bitcoin network was launched on January 3, 2009, the cost of each Bitcoin being $0.0008.
Surprisingly, Bitcoin was initially seen as a big threat by traditional finance models. Still, thirteen years of community support fueled its growth, making Bitcoin one of the most profitable investments in the digital age.
At present, Bitcoin maintains a stable trading value that is quite above $60k after it experienced a gradual appreciation of 7,749,999,900 per cent since its launch.
The original Bitcoin white paper has proposed a solution that would prevent double-spending without the risk of having to trust a third party. To achieve this, the paper mentions using “honest” nodes that can confirm transactions by overpowering all bad actors concerning the raw central processing unit (CPU) power of computers.
Bitcoin’s white paper has 15 “honest” and one “dishonest” mentions, hence detailing the need for honest nodes in ensuring the credibility of each transaction.
As stated by Satoshi Nakamoto in the paper, there is a proposed system for all electronic transactions without the need to rely on trust. The honest nodes thus vote with their CPU power, and express their acceptance of valid blocks by then working on extension and simultaneously “rejecting invalid blocks by refusing to work on them.”
Bitcoin’s blockchain has presently mined block number 707542, which had offered a mining reward of 6.25000000 BTC.
As the Bitcoin ecosystem is gradually approaching its hard cap or maximum supply of 21 million BTC, the developer community would soon need modification of the existing rules for incentivizing the miners that confirm Bitcoin transactions on the blockchain.
The white paper also suggests that any needed rules and incentives can then be enforced with the provided consensus mechanism.
On this 13th birthday of the white paper, prominent Crypto Entrepreneur, Anthony Pompliano, has joined in on the celebrations.
Despite the ongoing cryptocurrency crackdown by various international governments and authorities, the year 2021 marks the start of Bitcoin’s legacy as a legal tender in El Salvador.
Bitcoin’s long term effect on El Salvador’s economy would also determine the asset’s mainstreamification among other national jurisdictions.
After thirteen years of its inception, Bitcoin’s and other crypto coins’ success as viable investments are attracting investors of all ages and from all walks of life.
CEO of Tesla, Elon Musk, one of the richest men in the world, has also voiced support for cryptocurrencies very recently at California’s Code Conference.
Musk was reported to say that he believes it is not possible to “destroy crypto”. However, governments can try to “slow down its advancement.”
Further, Musk also shared that he believes cryptocurrencies are “fundamentally aimed at reducing the power of a centralized government,” which is the reason for Bitcoin’s slow adoption rate.
