Since 2009, Bitcoin has come a long way while proving its worth, improving its regulatory status and generating interest worldwide through media and the Internet. From having zero relative value to fiat as a currency in the early days to a value of $ 19,783.06 in December 2017, bitcoin has shown tremendous power. Today, almost everyone, whether they know anything about blockchain technology or not, has at least heard of Bitcoin.
Below is a timeline meant to express how far Bitcoin has come in such a relatively short time, from its inception as a revolutionary concept to an asset hoarded by large, listed companies. It has had to deal with various kinds of disruptions and demolitions and has endured them all. Let’s take a look at how well Bitcoin has performed over the past decade and the new trend in the space that could take it even further.
Bitcoin’s Journey So Far
Bitcoin was created in 2008 when a true cryptocurrency was introduced for the first time ever. Bitcoin’s whitepaper was released by Satoshi Nakamoto as “Bitcoin: a peer-to-peer electronic cash register systemWhile Nakamoto’s identity has remained a mystery ever since. It was launched to provide a decentralized peer-to-peer currency trading and exchange system that does not involve a third party to slow down the transaction process and charge extra money for allowing transactions.
But Bitcoin, more than any other cryptocurrency project, has become a resource for all genders, countries and races – characterized by the highest market capitalization of any cryptocurrency. The number of daily Bitcoin transactions have increased from approximately 201,600 transactions per day in 2016 to approximately 381,650 transactions per day in 2019.
As the world’s most versatile cryptocurrency, bitcoin has been used to purchase goods and services, or as an investment vehicle and tool to achieve sovereignty. It is easily exchangeable for other cryptocurrencies or other fiat currencies through various exchanges. Before Bitcoin came into existence, a number of digital money technologies predominated, but each had its limitations and included third-party systems. Bitcoin came as a revolution that went beyond these electronic money systems.
Bitcoin has affected almost all areas of life, especially the economic, banking and financial sectors. Every transaction made on the Bitcoin blockchain is digitally recorded to ensure high security and fast speed. While all transactional information is shared by all nodes in the network, the identities of the transacting individuals are kept secret and never disclosed. The financial and economic power once owned solely by governments and central financial institutions has been revolutionized by the invasion of Bitcoin and blockchain technology, leaving these institutions on their guard against these breakthrough technologies.
Bitcoin’s journey as an asset today and in the future
Over the past decade, there has been a constant fluctuation in bitcoin’s financial value against the fiat currency.
But overall, bitcoin has maintained its integrity from 2013 to 2019. Bitcoin trading took off 2013 when it was valued at $ 13.50 at the beginning of the year, before reaching $ 220 in early April and falling to $ 70 at the end of April of that year.
The chart below shows how volatile Bitcoin prices were between 2013 and 2019:
Today, bitcoin is recognized as a currency, more than just an investment tool. Bitcoin is openly accepted in most developed and developing countries around the world. There have been 583,532 million BTC transactions so far in 2020 alone (as of this writing on November 5, 2020)
For much of 2020, bitcoin maintained a price bracket below $ 10,000 with a low of $ 5,000 in the first half. As of November 3, 2020, bitcoin is valued at $ 13,731. Bitcoin prices are as unpredictable as the weather, but we can expect steady growth in value until the end of 2020. I expect Bitcoin to hit its all-time high by the end of 2020, partly due to the new trends in the world. area of decentralized finance. (DeFi).
At the time of writing in total 18,534 million BTC is currently in circulation, but only about 169,200 BTC are locked into other DeFi projects through “wrapped” bitcoin projects that actively lock it on other blockchains.
According to these statistics, less than 1 percent of all BTC in circulation is now locked in other DeFi projects. But as DeFi experiments attract more public attention, gain confidence, and capture more bitcoin, bitcoin’s value and usefulness will increase.
Bitcoin is still true to its goal of freeing people to transact on their own terms while ensuring security and anonymity. Bitcoin has vastly improved in its financial and technical aspects over the past decade and still has a long way to go. Once Bitcoin pushes its way through tax obligations, legality and a solid position in the international currency markets, Bitcoin will become the ultimate currency of the future while scaling up to a major payment network.
This is a guest post from Fernando Martinho. The opinions expressed are entirely XX proprietary and do not necessarily correspond to those of BTC Inc or Bitcoin Magazine.