Definition of Bitcoin

Bitcoin is a decentralized digital currency that operates on a peer-to-peer network. Created by an anonymous person or group of people using the pseudonym Satoshi Nakamoto, Bitcoin was introduced in a 2008 whitepaper titled "Bitcoin: A Peer-to-Peer Electronic Cash System." It aims to offer a new form of money that doesn't rely on traditional financial institutions or governments. Instead, transactions are verified through a process called mining, which involves solving complex cryptographic puzzles. The network is maintained by a distributed ledger known as the blockchain, which records all transactions in a secure and immutable manner. Bitcoin's value is determined by market supply and demand, and it is often referred to as digital gold due to its limited supply and store of value characteristics. Its decentralized nature and security features make it a popular choice for individuals seeking financial privacy and freedom from traditional banking systems. Despite its volatility and regulatory challenges, Bitcoin has gained significant adoption and remains a prominent player in the world of digital finance.