10 years ago, on October 31st, 2018, the bitcoin guru, Satoshi Nakamoto created the first blockchain project called the Bitcoin. The world’s most important innovation next to internet was born on this very day.
Can you believe it? It’s been a decade and in hardly any time, Bitcoin has emerged so strongly. Here’s a brief rundown of how the decade went by so far.
Bitcoin’s Early Years
It all started back in 2008 when Satoshi Nakamoto released the first ever white paper. The initial transactions were made between proponents to test out the cryptocurrency. And strangely enough, here’s a cool fact that the first Bitcoin exchange, BitcoinMarkets, actually came about in 2010, which is two years after its release!
The Rise of the Dark Lord (read: net markets)
Everyone knows that when bitcoin first came out, people used it for illegal purposes. It was hip on the darknet marketplaces and people were using it to obtain all sorts of things like drugs, weapons, hacked accounts and more.
The most famous one as we are all aware is the Silk Road. Roughly over $1 billion went through it before it was shut down by the Federal Bureau of Investigation in 2013.
This is what led to the popular misconception and it became known as the currency used by criminals. But when Overstock said it was going to accept Bitcoin in 2014 and the University of Nicosia took a similar step, is what cleared its image in a way. During that time BTC climbed over to $1,200.
The Fall of Mt Gox
This was a major turning point for Bitcoin. You can say that this collapse became a do or die situation for the cryptocurrency. So, back in 2013, China’s central bank prohibited Chinese banks from using BTC and as a consequence, locals stopped accepting it as a mode of payment.
It all went haywire when Mt Gox suspended its deposits and withdrawals over “technical issues.” We all know that’s a code word for something fishy. And, then soon after, amidst claims of insolvency and “technical issues”, it collapsed.
Hundreds of million dollars’ worth BTC were stolen and cryptocurrency’s price came flying down.
The bitcoin went from $1000 to $300.
After the horrendous Mt Gox collapse, Bitcoin really suffered. But fortunately enough, Steam, a gaming platform started accepting Bitcoin payments through Bitpay. The number of Bitcoin ATM surged to over 700 and a number of merchants accepting cryptocurrencies surpassed 100,000.
Things took a wild turn at the start of 2017. It kicked off the year at $1,000 after slowly climbing out of the hacker’s rut. More and more were attracted to the cryptocurrency ecosystem and thanks to the ICO boom and the incredible returns.
This pushed more people to invest as they had a fear of missing out; this, according to analysts, created a speculative bubble. It reached its all-time high of about $19,800 in late 2017. After that, the price started dropping again.
In 2017 the Bitcoin’s blocks were running on full capacity. This created lags in transactions and forced users to compete to get their transaction in the next block. The scaling issues arose and this resulted in the creation of Bitcoin Cash.
Yet another crash
In 2017, China’s communist cracked down the crypto market and banned initial coin offerings (ICOs) from the country. But despite it, the country saw numerous developments.
There has been a lot of focus on the crash because some crypto assets are down to 90 percent from their all-time high. Regardless of the struggles, Bitcoin still continues to survive as there have been noticeable developments during the last few months.
A little could be said about what the next decade might unfold but let’s hope it brings good news.