What Is Bitcoin?
Bitcoin is digital money not controlled by a central authority and instead follows the rules of its own protocol, programmed at its inception in 2009. This makes Bitcoin decentralized, nobody can control Bitcoin, and everybody can participate in the network. Bitcoin is the most widely successful use and adoption of blockchain technology. Blockchain technology is a way to send money or “value” from one person to another (peer-to-peer) without the need for third-party verification, and the network verifies the transaction.
When you purchase Bitcoin, you are investing in the Bitcoin Network. As the network grows, so does the value of your Bitcoin. Bitcoin’s network is growing faster than the internet in the late 1990s. Bitcoin’s protocol only allows for a finite number of units to be created. Bitcoin has a hard cap of 21 million. This predetermined supply makes Bitcoin provably scarce.
The growth of Bitcoins value, network, and adoption combined with its supply have brought many investors to view Bitcoin as a Store of Value or a safe place to store their earned purchasing power. The hard supply cap makes Bitcoin deflationary versus the dollar, which is constantly printed and inflationary.
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