Bitcoin is a decentralized digital currency that was invented in 2008 by an unknown person or group of people using the name Satoshi Nakamoto. It was released as open-source software in 2009. Bitcoin is the first cryptocurrency, and it uses peer-to-peer technology to operate without a central authority or banks. Transactions are verified by network nodes through cryptography and recorded in a public distributed ledger called a blockchain.
Bitcoins are created as a reward for a process known as mining, which involves solving complex mathematical problems. They can be exchanged for other currencies, products, and services. Bitcoin has been praised for its decentralized nature, limited supply (with a maximum of 21 million bitcoins), and potential as a hedge against inflation, but it has also faced criticism for its association with illegal activities, high energy consumption, and volatility in price.
