How will the virtual currency change in 2011?

Bitcoin reloaded: from currency to speculative object

Brave new crypto world?

If you want to immerse yourself in the world of cryptocurrencies, you must first understand Bitcoin, the mother of all cryptocurrencies. Bitcoin is first and foremost a virtual currency that can be used to pay online, but also in shops. In contrast to conventional currencies, Bitcoin is managed decentrally via the blockchain and controlled by a large network of users, which ensures transparency and security. All participants act anonymously with a public key. That means: All transactions made within the currency are visible to all participants in the network and can therefore no longer be manipulated.

This relationship between transparency and anonymity enables Development of completely new organized communities based on completely different rules of distributed trust. In addition, the failure of individual computers in the network does not lead to the failure of the entire system, which gives it a great advantage over centrally managed structures. The innovative combination of decentralization, transparency and anonymity creates a future-oriented form of organization in our digitized world that could change entire areas of the economy and society.

It is unclear who created Bitcoin. Satoshi Nakamoto is the name of the inventor of the technology. Nobody knows who is really behind the pseudonym with which the decisive software was published - but Satoshi Nakamoto is very likely worth billions today. In 2008, the momentous Bitcoin whitepaper appeared on the Internet for the first time. "The core problem with conventional currencies is the level of trust that is necessary for them to work," writes the mysterious Satoshi Nakamoto. And that's exactly what makes Bitcoin so attractive: It works without having to trust a bank - or a state. There is no longer a central authority to which one's assets are blindly placed in their hands. You only have to trust the technology. And that seems to be the better alternative to more and more people. Transparency and decentralization are the core values ​​of Bitcoin: Everyone can see all transactions that have ever been made - and nobody stands alone at the interface and can arbitrarily intervene in what is happening.

From the darknet to the stock exchanges

Bitcoin has had an unprecedented triumphant advance since the white paper was published. The first payment with Bitcoin was made in 2008. At that time, 10,000 Bitcoins were transferred from an early crypto fan for two pizzas ordered. At the beginning of 2011, Bitcoin reached the value of one US dollar for the first time. Today is a single bitcoin more than 30,000 euros worth (as of January 2021). If the buyer had foregone the pizzas back then and instead kept his bitcoins, he would be a multimillionaire today.

Initially known as the currency that can be used to buy drugs on the Darknet, Bitcoin has long had a dubious reputation. The fact that Bitcoin can be used to buy illegal goods and services on the Darknet remains, of course. But Bitcoin has long outgrown the Darknet. Formerly decried as the currency of virtual black markets, it is now a hot topic at business conferences, strategy meetings - and in the mainstream media. A lion's share of the crypto community is active on the stock exchanges today to increase their money. The money is invested in a wide variety of coins, with the Bitcoin itself is often still the gateway drug for crypto speculators is. The chance to increase your own investment tenfold or even a hundredfold in a short period of time is a real possibility in the crypto world.