It is one of the greatest mysteries of our time. A facility that has it all and that so much like no other, not even rudimentary! What is the talk about? It is also considered the revolution of the financial world of the 21st century. Already a hunch? Recently, this sensational facility celebrated its 11th birthday. To this day, the creator of this revolution remains a mystery.
Sensational return: 310 million% in just 11 years
At the end of 2008 the Bitcoin whitepaper was published and a sensation was born. Initially Bitcoin was not yet traded on a stock exchange and thus the price was very low. The first transaction on the stock market was $ 0.003 (source: Wikipedia). To put it bluntly, the price was not even a single penny! At today’s price of just under $ 9,300 (as at 07.11.2019), it is an increase of as much as 310 million percent! But, if you put the low price in the beginning in relation to the maximum price of Bitcoin (20,089 $ on 17.12.2017 Source: coinmarketcap.com) then this would even increase by almost 670 million percent! The purest madness. No other asset class achieves a better return.
Note: Changed on 07.11.2019
Our readers pointed out a small mistake in the article, thank you for the feedback. It was about calculating the daily return of Bitcoin since the first trading day. The correct calculation leads to the conclusion that Bitcoin has a daily return of 0.43% since the first trade until today (07.11.2019).
What does that tell us? The Bitcoin has proven itself in the long term until now, even if he could register some strong price declines. It seems like Bitcoin is unstoppable. We are curious how the further development will be.
That’s the investment
Incredible return of over 300 million percent! What exactly does that mean? Quite simply, if you had invested in the initial time only a single Euro in Bitcoin, you would have today (November 2019) over 3 million. It has never been easier to become a millionaire with a Euro bet. If you take the Bitcoin price from its all-time high of 2017/18 as a speaker, you would be almost a millionaire in the double-digit range.
As early as October 31, 2008, the Bitcoin whitepaper was published by the infamous Satoshi Nakamoto. Bitcoin should turn the financial world upside down and give every average citizen in the world access to money. So the idea of Satoshi. You know next to nothing about the creator of Bitcoin. It is not even known if it was just one person or group of people who wrote the algorithm and brought Bitcoin to life. Everything so mysterious, as only the best thriller would give. A technology is born that may decisively shape our future: the blockchain.
Blockchain: The technology of the future?
Blockchain can be thought of as a kind of network. A network consisting of computers that are distributed decentrally. This is also the linchpin of this technology. Decentralization offers the possibility of very high security. Information in this network is not that easy to hack, as it is spread across all machines. As soon as a certain critical mass of “participants” in the network has been exceeded, security increases. It is theoretically feasible to hack 50 computers, but at 1 million it is practically impossible.
More and more states and companies are testing Blockchain application, whether in medicine, internet of things, identity or financial products. The Blockchain could revolutionize our lives and become a dominant technology. Whether this is interspersed but is still unclear, since the technology is not only since yesterday, but only now seriously investigated.
Bitcoin is the good that brought Blockchain to life. Transactions of the bitcoin ecosystem are based on the blockchain. Bitcoin already exists for 11 years and it has not been able to hack Bitcoin once. Although there were hacks in connection with Bitcoin, these are mostly hacked exchanges, which is why Bitcoin is put in bad light. It remains to be seen if Bitcoin technology will catch on.