Whilst many will have heard mention of Bitcoin in recent years as the revolutionary new currency sweeping through the globe, how much do we really know about Bitcoin? As Bitcoin and other cryptocurrencies become even more popular, we, at RCPro.com delve deeper into the history of Bitcoin. Through learning more about the history of this founding father of the cryptocurrency sector, we can also better understand the surge in cryptocurrency trading which has occurred, particularly in recent years.
The Foundations of Bitcoin
Although not the first attempt to develop a cryptographic currency (this stretches back to eCash in the 1980s), Bitcoin was the first established, and decentralized cryptocurrency. The encrypted currency was first produced in 2009, with the genesis block being mined on January 3rd 2009 by the still mysterious creator of Bitcoin, Satoshi Nakamoto.
Since those early days, Bitcoin has reached lofty heights, achieving a record high price of almost $18,000 per Bitcoin toward the end of 2017. The recent years of steady growth in the Bitcoin market have not only led to the spawning of almost 4,000 other cryptocurrencies, or alt-coins, but also to a highly lucrative Bitcoin trading market.
Reasons behind the Success of Bitcoin
Charting such a meteoric rise will of course lead to questions about why or how this mysteriously created “electronic currency” has become so popular and given rise to a cryptocurrency market trading millions of dollars’ worth of Bitcoin and other currencies on a daily basis. Learning how to trade Bitcoin is one reason why new members are attracted to the currency, though there are several other key reasons which have led to its current success.
The all-round anonymity which Bitcoin and other cryptocurrencies facilitate acted as an initial draw for many of the community of users. This reason still holds true. Investors and general users alike formed a strong bond around the ethos of privacy. This started and continues as society becomes less and less private for individuals and companies. Breaking away from this pattern was a positive in the eyes of the early adopters.
Naturally, whilst this privacy and anonymity created its own issues, it also helps in vastly increasing the level of network and transactional security. This is an area in which Bitcoin and other cryptocurrencies still hold vast superiority over traditional payment processes.
Working in tandem with the benefits of privacy are the positive aspects of decentralization. Bitcoin as well as other cryptocurrency options, identified a desire within society to break away from the control of traditional large companies and government oversight. The control of both these elements is something which continues to be more prevalent in society, and Bitcoin offers another solution.
Decentralization allows society and the individual community members to regain their voice and control. This is something which appealed greatly to the initial members of the Bitcoin community and a point which they continue to preserve. Being decentralized also allows many intermediaries to be removed from transactions, decreasing cost as well as increasing transparency.
Trading cryptocurrency for profit is one of the main reasons why people are attracted to Bitcoin and other cryptocurrencies. There are an array of success stories from those who have made their fortune in trading cryptocurrency. Typically, a Bitcoin broker will be the starting point for any new trader. Though there are many pitfalls, learning how to start trading cryptocurrency can be a potentially lucrative endeavor and one which cannot be ignored as a major contributory factor in the growth and success of Bitcoin and the industry.
Trading Bitcoin, whether through a reputed cryptocurrency broker, or directly with other community members is also key to creating a liquid market and pushing toward a scenario where cryptocurrency and Bitcoin are fully integrated in our daily lives.
As we have noted, the history of Bitcoin is long and still rather elusive in many respects. There is little doubt though that its introduction has provided a spark which has ignited the community. This can be seen through the exponential growth in cryptocurrency trading sites and continued use of Bitcoin in more and more ways. This is evident not only when trading on a cryptocurrency platform, but within our own daily purchases and transactions.
This article was brought to you by RCPro, a top forex trading broker where you can engage in trading a range of markets including trading Bitcoin with many other currency pairs in the forex market.
Disclaimer: This content does not necessarily represent the views of IWB.