Bitcoin (BTC)

Bitcoin (BTC) is the first and most valuable cryptocurrency. Launched in 2009 by the mysterious Satoshi Nakamoto, Bitcoin introduced the idea of peer-to-peer digital money powered by blockchain technology. With its limited supply of 21 million coins, it’s often called digital gold.

What is Bitcoin?

Bitcoin is a decentralized cryptocurrency that allows people to send and receive money without banks or governments. Every transaction is stored on the Bitcoin blockchain, a secure and transparent public ledger.

Launch year: 2009
Creator: Satoshi Nakamoto
Consensus mechanism: Proof-of-Work mining
Maximum supply: 21 million BTC

How Does Bitcoin Work?

Bitcoin transactions are confirmed by miners, who use powerful computers to solve mathematical puzzles. This process, called Proof-of-Work, secures the network and rewards miners with new bitcoins.

Because the supply is capped, Bitcoin is deflationary in nature – meaning scarcity could increase its long-term value.

Why is Bitcoin Important?

Limited supply: capped at 21 million BTC → scarcity makes it attractive as a store of value.
Global access: anyone with internet can send or receive Bitcoin.
Censorship-resistant: no authority can block or reverse your transaction.
Proven security: 15+ years of continuous operation makes it the most battle-tested cryptocurrency.

Bitcoin is considered the foundation of the entire crypto ecosystem and remains the most recognized and trusted digital asset.

Bitcoin Use Cases

Digital gold: hedge against inflation and store of value.
Peer-to-peer payments: transfer money without banks or middlemen.
Remittances: cheaper and faster cross-border payments.
Investment asset: many investors hold Bitcoin as a long-term portfolio diversifier.

Risks of Bitcoin

Like any asset, Bitcoin comes with risks:

Price volatility: BTC price can rise or fall quickly.
Energy usage: Proof-of-Work mining consumes significant electricity.
Scalability: limited throughput (~7 transactions per second).
Regulation: governments may impose restrictions or taxes.

Lanzo Tip 🪙

Don’t buy Bitcoin just because of hype. First learn how wallets and recovery phrases work, and only invest what you can afford to lose. Bitcoin is powerful, but knowledge is your real safety net.