The evolution of Bitcoin can be traced through several key milestones and events since its inception in 2009:
1. **Creation and Whitepaper (2008-2009):** Bitcoin was created by an individual or group using the pseudonym Satoshi Nakamoto. In October 2008, Nakamoto published a whitepaper titled "Bitcoin: A Peer-to-Peer Electronic Cash System," outlining the principles of a decentralized digital currency. On January 3, 2009, Nakamoto mined the first Bitcoin block, known as the Genesis Block, marking the launch of the Bitcoin network.
2. **Early Adoption and Mining (2009-2010):** In the early days, Bitcoin was primarily used by cypherpunks and enthusiasts experimenting with the new technology. Mining, the process of validating transactions and adding them to the blockchain, was initially possible using regular CPUs. Laszlo Hanyecz famously made the first real-world transaction with Bitcoin in May 2010, exchanging 10,000 BTC for two pizzas.
3. **Price Discovery and Exchanges (2010-2013):** Bitcoin's price began to emerge as exchanges like Mt. Gox and others facilitated trading against fiat currencies. The price of Bitcoin experienced significant volatility during this period, reaching parity with the US dollar in February 2011 and surpassing $1,000 for the first time in late 2013.
4. **Scalability Debate and Forks (2014-2017):** As Bitcoin's popularity grew, so did concerns about its scalability. The community debated various proposals to address this issue, leading to the activation of Segregated Witness (SegWit) in August 2017. Additionally, disagreements over the block size limit led to contentious hard forks, resulting in the creation of alternative cryptocurrencies like Bitcoin Cash and Bitcoin SV.
5. **Institutional Interest and Regulatory Scrutiny (2017-2019):** Bitcoin attracted increasing attention from institutional investors and mainstream financial institutions during this period. However, regulatory scrutiny also intensified, with governments worldwide grappling with how to classify and regulate cryptocurrencies.
