The world's first cryptocurrency, created a new chapter in the field of digital economy.

Understanding Bitcoin

Bitcoin is a digital currency. Satoshi Nakamoto, reportedly a Japanese software engineer, allegedly created it, however no one knows for sure the real identity of the creator. Bitcoin started in the year 2009 with the price of $0.1 and today its price is more than $6000.

Total Amount of Bitcoins

There was a total supply of 12 million Bitcoins decided at the time of its creation and today more than 70% of these have been mined by the Bitcoin mining industry. As more are mined and as time goes on, the difficulty of extracting them increases.

Who generates Bitcoin

Miners generate Bitcoin. Miners verify the transaction and each verification is credited block reward, or to put it simply, an allocation of Bitcoin. The smallest unit of a Bitcoin is a Satoshi.

Importance of Bitcoin

Today Bitcoin's price is more than $6000 and most of the alt-coins are traded in Bitcoin so there is a huge impact in the market of the Bitcoin. The Bitcoin market is volatile; it goes up and down as market activities dictate, the movement in price can be significant in a very short period of time.

Bitcoin History


In the year 2007, Satoshi Nakamoto started research on the project which was completely decentralized and was open to the global digital community and could be used through the internet.


The domain name was registered. In November 2008 a link to a paper authored by Satoshi Nakamoto titled Bitcoin: A Peer-to-Peer Electronic Cash System, was posted to a cryptography mailing list.


The Bitcoin network came into existence with the release of the first open source Bitcoin client and the issuance of the first Bitcoins, with Satoshi Nakamoto mining the first block of Bitcoins ever (known as the genesis block), which had a reward of 50 Bitcoins.


Based on Bitcoin's open source code, other cryptocurrencies started to emerge. The Electronic Frontier Foundation, a non-profit group, started accepting Bitcoins in January 2011, stopped accepting them in June 2011, and began again in May 2013.


In January 2012, Bitcoin was featured as the main subject within a fictionalized trial on the CBS legal drama The Good Wife in the third-season episode "Bitcoin for Dummies". The host of CNBC's Mad Money, Jim Cramer, played himself in a courtroom scene where he testifies that he doesn't consider Bitcoin a true currency.


In February 2013 the Bitcoin-based payment processor Coinbase reported selling US$1 million worth of Bitcoins in a single month at over $22 per Bitcoin.

Bitcoin Price Speculation

Bitcoin price may cross $10,000 in next few months as the price keeps increasing.
A majority of the reporting about Bitcoin in the present is price based, and thus people are buying in because of a "fear of missing out". MacLeod feels none of them truly believe in or care for the technology in any way, and most are probably unaware of the supposed benefits that blockchain technology is even meant to bring. Rather, it is just a "gold rush" for many people.
In the long run, when the "gold rush" ends, it will only be the projects that have managed to achieve actual usability that will be the long-term winners.

Bitcoin Legalities


A few countries have accepted bitcoin and have decided to actually create laws that govern bitcoin transactions. The first country to completely accept bitcoin was Japan. Starting on the 1st of April, bitcoin was considered a legal form of payment in Japan, with several public institutions accepting it as currency. The laws governing banking have yet to change, but these are also being considered in order to make bitcoin even more usable.


These are those countries with set laws regarding Bitcoin, although some don't consider it an actual currency as for example, Japan does. Most countries around the world fall into these category. In the US, for example, the CFTC has classified Bitcoin as a commodity while the US Treasury Department sees it as a money service business (MSB). None of these financial regulators consider it a currency, however it should still be reported on tax returns.

Bitcoin ATMs

What is Bitcoin ATM

A Bitcoin ATM is an internet machine that allows a person to exchange Bitcoins and cash. Some Bitcoin ATMs offer bi-directional functionality; these machines enable both the purchase of Bitcoin as well as the redemption of Bitcoin for cash. In some cases, Bitcoin ATM providers require users to have an existing account in order to transact on the machine.