Understanding Bitcoin: What It Is, How It Works, and Its Legal Status | by Premikalai | The Capital | Jan, 2025
In the ever-evolving landscape of digital finance, Bitcoin stands as a beacon of innovation and disruption. But to truly appreciate its impact, we must journey back to its inception. So, what is Bitcoin? At its core, Bitcoin is a decentralized digital currency that emerged in 2009 under the mysterious pseudonym Satoshi Nakamoto. This enigmatic figure — or perhaps collective — sought to create a new form of money that operated independently of traditional banking systems.
The origin of Bitcoin is intricately tied to the revolutionary technology known as blockchain. Blockchain technology serves as the backbone of Bitcoin’s functionality, providing a secure and transparent ledger system that records transactions across multiple computers. This decentralized approach ensures that no single entity has control over the entire network, which was precisely Nakamoto’s intention: to foster trust in an environment free from centralized oversight.
Understanding the founding of Bitcoin requires us to delve into this symbiotic relationship between cryptocurrency and blockchain technology. As decision-makers in your respective fields, recognizing the foundational principles…
