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Introduction

Bitcoin is the most popular and the largest decentralised cryptocurrency in the world that aims to facilitate quick and affordable payments.

Bitcoin's native blockchain token is denoted by the initials BTC. The current market capitalisation of the coin is close to $900 billion with a maximum supply of coins capped at 21 million tokens. As of now, the circulating supply is approaching the 19 million coin mark which is close to 90% of the maximum supply.

A Brief History of Bitcoin

The Bitcoin network's real founder is unknown as it was invented by an individual who used the pseudonym Satoshi Nakamoto. The first whitepaper for the project was published in 2008 that proposed the concept of a distributed ledger. Nakamoto was the first person to mine a block on the network which is known as the genesis block.

Gavin Andresen was eventually named chief developer for bitcoin when Nakamoto gave ownership of the network alert key and the code repository to him. Patching flaws and introducing new features have been among the many contributions made to the cryptocurrency's software over the years by a wide community.

What Makes Bitcoin Different?

Bitcoin's top differentiator is its first mover's advantage as it is the world's first cryptocurrency. Currently, there are millions of stakeholders in the community including traders, developers, organisations, financial institutions, and ideological backers. It was the first cryptocurrency to cross the $1 trillion capitalisation mark for a brief period.

How Does Bitcoin Work?

Bitcoin relies on the SHA-256 algorithm to secure the blockchain which is one of the most powerful hashing protocols. The coin can be mined by anyone who commits computing power to solve cryptographical equations that are used to verify transactions on the network. However, it has become increasingly difficult to mine BTC tokens due to an over-crowded field of miners.

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