Ginolà Ali
Ginolà Ali 7 minutes reading from Bitcoin

The 12 Mainstream Cryptocurrencies of 2009

1/ Thread: Days1 BTC

On January 3, 2009, a pseudonymous genius named Satoshi Nakamoto officially invented Bitcoin.

2/ Whoever this mystery person or group is, they managed to create the world's first cryptocurrency that would soon change everything as we know it. Formally defined, Bitcoin (capital “B”) is a global, borderless, decentralized protocol that enables

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the peer-to-peer exchange of the bitcoin currency (lowercase “b”), which has a fixed max supply and a known, decreasing issuance rate. It allows us to send money to anyone, anywhere in the world, without the need for an intermediary.

Bitcoin doesn’t aim to do anything innovative — rather, it offers an improved alternative to the existing inequitable, inaccessible, and inflationary financial system. By decentralizing finance, we are progressively simplifying a system so complex that it locks out nearly

5/ two billion people worldwide, and turning it into a permission-less network that anyone can be a part of.

6/What Does Bitcoin Solve?

6-1/ Centralization Centralization: Bitcoin alleviates the need for a centralized third-party system — like a credit card company or a central bank — to confirm and validate transactions. Rather than requiring the current base-layer financial system to broker our transfers and

settlements, Bitcoin works purely peer-to-peer, ridding the need for trust in a centralized government controller.

6-2/Verifiability Verifiability: Bitcoin enables unit-level currency validation that isn't possible with fiat (government-backed money). For instance, there are plenty of fake dollar bills in circulation (the U.S. Treasury estimates that one in every 10,000 bills is counterfeit)

that the average person fails to discover. However, nobody can create fake bitcoin because the Bitcoin network is secured cryptographically via a public blockchain that anybody can access and validate any amount of bitcoin as real.

6-3/Inflation Inflation: Bitcoin's supply is capped at 21 million. There will never be any more bitcoin than that. No one can just "print more bitcoin" like we currently print dollars, inflating the money supply.

Unlike fiat currencies, bitcoin doesn't take away your purchasing power over time.

7-/ "you don't understand anything I'm saying" Don't worry, if concepts like "blockchain" and "decentralization" may seem confusing at the moment, but I will explain everything in detail over the next few days.

8-/ "But... how come I don't need to trust anyone? How do I know that bitcoin isn't a scam? Will bitcoin make me rich? What is the intrinsic value of Bitcoin? There has to be someone who manages bitcoin, right?".

9-/ These are all valid questions that will soon be answered that hopefully everyone can understand. For this 'introduction, we will briefly cover the skeleton of how bitcoin works.

9-The Bitcoin Blockchain Ah, yes.The mystical, almighty blockchain that is supposedly revolutionizing the tech industry right now.While it may seem daunting to try and understand what a blockchain is and how it operates,you basically already know what it is the name gives it away

10-/ Yes, it is literally a chain of (digital) blocks that holds data as a publicly visible ledger. Its history and validity are verified by Bitcoin full nodes across the globe that each keep a full copy of the blockchain history.

11-Because transactions are secured by the public blockchain, there is no need for an intermediary source of trust in order to confirm that your coins are real or that your transactions aren’t fraudulent; the publicly verifiable, mathematically programmed,

cryptographically sound Bitcoin blockchain is the only proof you need.

13-/ Bitcoin is Sound Money It's no secret that the current financial system is deeply broken. With rampant hyperinflation, global economic inequity, and dependence on the nation-states that hold global power, fiat isn't truly backed by anything sound —

14/ it's a product of power and control. If we want to escape the control of the powers that be, we'll need an alternative system. Bitcoin is a currency with no central authority. No government can control it, so it's not going to suffer from endless rounds of quantitative easing

or any other money printing schemes governments employ.

This post is based on this twitter thread.

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