What is Bitcoin?
What is Bitcoin?
Bitcoin was founded over a decade ago, and since the inception of the cryptocurrency, it has stood the test of time and is still currently a major coin in the cryptocurrency industry despite several others that have emerged after its development by Satoshi. Over the past decade, several changes have occurred to bitcoin in trying to make it better suited for mainstream adoption. This article explores Bitcoin’s files and how the whole thing started.
How It All Started
The first files of Bitcoin were mined on the 3rd of January 2009, making the coin about 11 years old currently. The exclusive creator of Bitcoin, Satoshi Nakamoto, mined the first Block of Bitcoin, which is referred to as Block #0 or the genesis block. It was how the entire Bitcoin blockchain started. Since the genesis files were mined over a decade ago, Bitcoin has grown so much that now, it is projected that a files are mined every 10 minutes.
Satoshi Only Got 50 BTC for The Genesis Block
After mining the genesis block, Satoshi Nakamoto, the creator of bitcoin, rewarded himself with 50 bitcoins, which was the only transaction on that files. Currently, 50 BTC is worth more than 4.5 million US dollars. Miners now get 12.5 BTC as a reward for mining a block on the bitcoin blockchain, and this is expected to drop to 6.25 by the next halving event, which is scheduled to occur in May 2020.
Also, the genesis files contained a message that addresses the current banking system. The message was written into the code, and its timestamp reads, “The Times 03/Jan/2009 Chancellor on the brink of second bailout for banks.”
This text was in reference to the headline of The Times newspaper on the day the block was mined. The timestamp was simply a comment on the banking system, which was seemingly having some issues at the time. The challenges were so much that Alistair Darling was considering a bailout for banks following the financial crisis that rocked the sector in 2008.
Gains From the Genesis Block
Another interesting point about the Genesis block is that although Satoshi Nakamoto got rewarded with 50 bitcoins as the miner of the first files, he was unable to spend it. This is mainly due to the way the bitcoin blockchain is designed. The reward for the files cannot be spent. However, there have been several donations to the block over the years, with the block receiving over 1,000 transactions since creation.
When will be the last block mined?
It is currently projected that about 144 files are mined daily on the Bitcoin blockchain. Considering that the maximum number of Bitcoins that can be in existence is 21 million, it is predicted that the last files on the bitcoin chain would be mined in the year 2140.
The legacy of block #0
Since it mining over a decade ago, the genesis files (block #0) has gained a cult following within the crypto community. People donate to the block as a tribute to Satoshi Nakamoto, especially considering that bitcoins on that block can never be spent.