the Recap: 12/31/2020

💲 Bitcoin 💲

My good ol’ pal Victor is a Bitcoin enthusiast. He gave me the idea and helped write this post so shoutout Vic!

What is it?

• Bitcoin is a decentralized computer network that utilizes blockchain technology. This decentralization means, there is no central authority (like banks) managing and keeping track of transactions. Everything is peer to peer, so anyone with a computer can verify transactions.

• This concept was released in 2008 by a person under the pseudonym Satoshi Nakamato. Nobody knows who this person really is 🕵🏽‍♂️

Quick Hitters (s/o All the Smoke Podcast)

• There are currently 18.5 million bitcoins, a small amount of coins will continue to be created through a process called mining, until there are 21 million bitcoins in 2140.

• This scarcity leads some to believe that it will serve as a store of value, similarly to gold.

• 1 Bitcoin was worth ~$7 bands at the beginning of the year, current value for 1 is ~$29k 📈 . Quadrupling an investment in one year like this is bonkers.

Why are people so high on Bitcoin, so high on Bitcoin?

• Similar to how the internet freed the control of information, Bitcoin can do the same for money.

• Governments and central banks have controlled the supply of money, Bitcoin can liberate us from this paradigm.

• The decentralized network enables people to be their own bank. You are able to send money to anyone in the world without any third party or institution.

Hope you all have an enjoyable New Year’s Eve. Another year and opportunity to be better than we were in 2020.

Stay well.