What Is Bitcoin ?
Bitcoin is the world's first and most well-known cryptocurrency — a form of digital money that exists purely online.
It was introduced in a 2008 whitepaper by an anonymous person (or group) using the name Satoshi Nakamoto, and the Bitcoin network officially launched in January 2009.
Core Idea and How It Works
Bitcoin is designed to be:
Decentralized — no central bank, government, or single company controls it.
Peer-to-peer — you can send it directly to anyone in the world without intermediaries (like banks or payment processors).
Secure and trustless — transactions are verified by a global network of computers using cryptography.
The technology behind Bitcoin is called a blockchain — a public, distributed ledger that records every transaction ever made in an immutable (unchangeable) way. Everyone can see the transactions, but personal identities are pseudonymous (linked to wallet addresses, not real names).
New bitcoins are created through a process called mining:
Miners use powerful computers to solve complex mathematical puzzles.
When solved, they add a new "block" of transactions to the blockchain and earn newly minted bitcoins as a reward (plus transaction fees).
This also secures the network.
Bitcoin has a strict supply limit: only 21 million BTC will ever exist. About 19.98 million are already in circulation (as of early 2026), with the rest released gradually until around 2140.
Key Characteristics
Digital gold — Many people view Bitcoin primarily as a store of value (like gold) rather than everyday spending money, due to its scarcity and historical price appreciation.
Divisible — 1 BTC = 100,000,000 satoshis (sats), so you can buy or send tiny fractions.
Borderless and censorship-resistant — Useful for cross-border payments or in places with unstable currencies/banking systems.
Volatile — The price can swing dramatically (tens of percent in a single day is common).
Current Status (early February 2026).
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