Bitcoin, introduced in 2009 by an anonymous figure known as Satoshi Nakamoto, is a digital currency and the first decentralized cryptocurrency. It runs on a peer-to-peer network using blockchain technology—a public ledger that records all transactions securely and transparently. This structure allows Bitcoin to function independently of central authorities like banks or governments, appealing to those who value financial autonomy and privacy.
Bitcoin is "mined" through a process that involves solving complex mathematical problems, which verifies transactions and adds them to the blockchain. Miners are rewarded with new bitcoins, creating an incentive to maintain the network. However, mining is energy-intensive, raising concerns about environmental impact.
One of Bitcoin’s core attributes is its limited supply: only 21 million bitcoins will ever exist. This scarcity has contributed to its value appreciation and volatility. While its price can experience sharp fluctuations, Bitcoin has attracted attention as both a speculative investment and a "digital gold" with potential as a hedge against inflation.
Though Bitcoin’s adoption has grown, it faces challenges like regulatory scrutiny and scalability issues. Yet, it has also inspired a thriving ecosystem of other cryptocurrencies and blockchain applications, fundamentally impacting the global financial landscape.