Decentralization since the 80s

It all started when Bitcoin was confused for physical money by my uncle, who is about to dive into trading, saw multiple visual bitcoins online. He asked me a couple of questions such as what is bitcoin?, How can I get one?, What is the origin of this "Bitcoin" I see all the time go online?, How did it even become accepted as a digital currency?, and How will it help me while getting started with Trading?. I then informed, described and updated him with this the digitalization and decentralization story. All I had to do was to guide him with my knowledge in this following story.

The mechanism of processing and accessing digital assets have existed even before the application of Bitcoin was widespread. Chaum a cryptographer, published his ideas in 1982 on Blind Signatures that later, in 1993, evolved into the technology behind Electronic Cash. Satoshi Nakamoto, in 2008, published a white paper that introduced bitcoin as a peer-to peer Electronic cash system channelled towards tackling Transparency, Immutability and the double-spending issue with a proof of work system in conjunction with Adam Back’s Hashcash in 2002. Blockchain is the underling decentralized architectural technology that supported the application and implementation of Bitcoin. Nevertheless, the idea of Cryptocurrencies such as Bitcoin was taken in consideration but not developed by Chaum back in 1982. The combined prevalence of the Bitcoin cryptocurrency with the vast implementation required significant exploration in respective sectors as the Blockchain technology has been used to resolve the present problems of trust, decentralization, data control and ownership.

The market price of bitcoin is not stable but has proven quite advantageous for early investors. As at December 2015, the market quality of bitcoin was around $2000. As at 30th January 2020, which was my birthday, I observed the rate of Bitcoin to around $12,000 and in just 10 months, 5days, 26th December 2020 precisely, it rose over 200% to $27,000. I, spent an hour in the shower same night my uncle asked me that Bitcoin question, the only thing I was thinking about was: had I known, I should have invested at least $50 and by now should have about $120 or $120 for $260 now. I then said to myself once I get out of this shower, I must make a move instead of beating around the bush and only answering to questions about this digital asset.

Bitcoin is a public Blockchain meaning anybody can use this technology in a decentralized fashion. Bitcoins function through Ethereum smart contracts which is the public Blockchain. This public Blockchain has a consensus mechanism that confirms transactions and promotes automation, which is called the Proof of Work. Cryptocurrencies are structured as public Blockchains. Bitcoin expels third-party interference and the need for centralization in contrast with banks. You do not have to go to the bank, you do not have to worry about altercation due to infrastructure., you do not have to worry about your data being accessed as data is sent across the Blockchain.

Blockchain is the mastermind underlying technology behind Satoshi Nakamoto's introduction of bitcoin. Bitcoin, today is changing and digitalizing the outlook of the financial industry, boosting business continuity. Anyone can buy and manage a bitcoin with provided electronic bitcoin wallets. It will be a smart move to invest in Bitcoin and I will say that to my uncle over a hundred times. Take this example for a fact, I deposit $100,000 into my normal savings bank account and after one whole year, i will never, under no circumstance, see a profit of up to $100 with that large amount of deposit, neither a loss. Now take this $100,000 and buy Bitcoin currently worth at $37,000 per Bitcoin, meaning i have about 2.6 bitcoins which can generate much more profit of over $1000 compared to banks that cannot issue out an annual profit of $100. Investing in bitcoin does not guarantee that you will not lose, but if you understand this bitcoin asset, you can take risks and you understand the market, then bitcoin should be at the back of your mind.