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Thursday 14 December 2017

Origin of Bitcoin and mystery surrounding it

How Bitcoin originated and who created it?

how and who created bitcoin and mystery behind bitcoin

Bitcoin originated in 2009.Since then Bitcoin has experienced significant highs and lows. Last week, the cryptocurrency surpassed an $16,000 evaluation for the first time in history. Bitcoin is considered the preeminent cryptocurrency in the world. There's plenty of mystery surrounding its creation.Who created it ,how it is created etc..

Here is the timeline of Bitcoin,
In 2008, the first inklings of bitcoin begin to circulate the web. In August 2008, the domain name was registered online. Two months later, a paper entitled 'Bitcoin: A Peer-to-Peer Electronic Cash System' authored by ‘Satoshi Nakamoto’.But who is this Satoshi Nakamoto.Identity of Satoshi Nakamoto is still unknown.It may be a single genius or a group of talents who like to stay anonymous for number of reasons.

Bitcoin runs through an autonomous software program.Bitcoin is just one among thousands of cryptocurrency.

In 2010, a handful of merchants started accepting bitcoin in lieu of established currencies.
The cryptocurrency began attracting interest from tech elites, as well. In 2012, Cameron and Tyler Winklevoss purchased $10 million worth of bitcoin, and, in less than a year their investment had more than tripled. It's been estimated the Winklevoss twins own 1% of all available bitcoin.

In 2011, the Silk Road, an online marketplace for illegal drugs, launches. It uses bitcoin as its chief form of currency.

Two years after its origin, the mysterious figure known as "Satoshi Nakamoto" disappears from the web.

Google "Satoshi Nakamoto" and the results will lead you straight to image after image of an elderly Asian man. This is Dorian S. Nakamoto, named "Satoshi Nakamoto" at birth. He is almost 70 years old, lives in Los Angeles with his mother, and, as he has reminded people hundreds of times, is not the creator of Bitcoin.

The Craig Wright controversy:In 2016, Australian entrepreneur Craig Wright claimed to be the creator of Bitcoin and provided disputed code as proof. But finally he also withdrew.

In the course of determining the identity of Satoshi Nakamoto, there's one person who has been thumbed again and again: hyper-secretive cryptocurrency expert Nick Szabo, who was not only fundamental to the development of Bitcoin, but also created his own cryptocurrency called "bit gold" in the late '90s.

In 2014, a team of linguistic researchers studied Nakamoto's writings alongside those of thirteen potential bitcoin creators. The results, they said, were indisputable. “The number of linguistic similarities between Szabo’s writing and the Bitcoin whitepaper is uncanny," the researchers reported, "none of the other possible authors were anywhere near as good of a match."Szabo firmly denied these claims, both in The New York times story and in a tweet: "Not Satoshi, but thank you."

Recently , Tesla and SpaceX founder Elon Musk denied being Bitcoin's creator. 

Nakamoto has written extensively about Bitcoin, authoring close to 80,000 words on the subject in the course of two years. His work reads like that of a native English speaker. Judging by Nakamoto’s spelling, and his use of British colloquialisms, it's thought he might hail from the UK. The timing of his posts seem to indicate this fact as well: It's been pointed out that Nakamoto posted during UK daylight hours.

The Wikipedia entry on Satoshi Nakamoto names at least 13 potential candidates as being responsible for the creation of Bitcoin.

Why would the inventor of the world's number one cryptocurrency choose to remain anonymous?It might have number of reasons.

History of such currencies are not quite good.

In 1998, Hawaiian resident Bernard von NotHaus dabbled in a fledgling form of currency called "Liberty Dollars" to disastrous results: He was charged with violating federal law and sentenced to six months of house arrest, along with a three-year probation.

In 2007, one of the first digital currencies, E-Gold, was shut down amid contentious circumstances by the government on grounds of money laundering.

If the inventor of Bitcoin wants to remain anonymous, it's for good reason: by maintaining anonymity, they've avoided adverse legal consequences, making their anonymity at least partially responsible for the currency's success.

Besides, one of the founding principals of Bitcoin is that it's a decentralized currency, untethered to conspicuous institutions or individuals. In his original proposition on Bitcoin, Nakamoto wrote, "What is needed is an electronic payment system based on cryptographic proof instead of trust, allowing any two willing parties to transact directly with each other without the need for a trusted third party."

A closer look at one of Nakamoto's original postings on the proposal of Bitcoin sheds some light on his possible motivations.

In February 2009, Nakamoto wrote, "The root problem with conventional currency is all the trust that's required to make it work. The central bank must be trusted not to debase the currency, but the history of fiat currencies is full of breaches of that trust. Banks must be trusted to hold our money and transfer it electronically, but they lend it out in waves of credit bubbles with barely a fraction in reserve. We have to trust them with our privacy, trust them not to let identity thieves drain our accounts."

Even after 9 years of its creation , brain behind bitcoin is still a mystery.

Read Bit coin original Whitepaper:

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