History of Blockchain

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Learn about the history of Blockchain and Bitcoin.

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Hello in this video I am going to talk about the history of blockchain and Bitcoin are thinking about doing a lesson just on the history of blockchain. But the history of blockchain and Bitcoin is so intertwined. You can't ignore one without the other software. I'll combine the two lessons together. So I think one of the most crucial things to mention is the 2007 2008 financial crisis, also referred to as the 2008 financial crisis, but ultimately, it began he actually began before division seven, but really, the war happened began in 2007. So I will create a separate video covering the 2007 development aid financial crisis in more depth, so stay tuned for that.

But in 2007, a individual or group we do not know yet called Toshi NACA moto began working on the concept of Bitcoin and blockchain eventually what became these technologies. So, this is 2007, Satoshi Nakamoto began conceptualizing conceptualize in a new system is ultimately due to what happened in 2007 and 2008. This is what led Satoshi Nakamoto or the group, again, we do not know if Satoshi Nakamoto is a person that is a group of people is the person even still alive where we live with that he is ashamed, we do not know this information, there are speculations of who he or she or the group may be, but we do not have hard evidence. Then, in 2008, the domain bitcoin.org was registered. So, this was beginning to solidify the blockchain and Bitcoin legacy. This is in August because they never key event that happens in 2008 and that if In October, he Bitcoin white paper is published, which essentially is research and AI ideas of how Bitcoin and blockchain and more importantly, in decentralized distributed system works.

It's free to view. If you just Google Bitcoin white paper, definitely recommend checking it out. It's quite a big read, but it's very interesting, very fascinating. And it shows you the insight of Satoshi Nakamoto. Again, whether it's an individual or a group of people, then in 2009 into further numbers and nine in December of 2009 The first Bitcoin transaction occurs. So the first conceptualized in 2007 A took two years for the first transaction to occur using Bitcoin and using blockchain.

Something I think they definitely worth mentioning is the cypherpunks of the 1990s because a lot of the technology and the ideas and the philosophy that went into bitcoin and blockchain ultimately came from the individuals of the cypherpunk movement in the 1990s. I'll cover that in a separate video as well. This is a very interesting topic, and the whole idea of a decentralized system has been around for over 100 years. So again, it's not wholly new concept for the first time it was implemented very well or as it will be very soon as we step through the history. So, in May of 2010 may of 2010 the first real weld transaction occurs and this is for just wait for this, it is for 10,000 Bitcoins. 10,000 bitcoins I know if you know the value of bitcoins, you know, a lot 10,000 bitcoins, and it was for a pizza.

So, ate pizza We're a nice little pizza here. I wouldn't mind having a pizza was this is this cheese or any of the top end you want it to be hopefully they didn't transact for this pizza condition and two very good looking pizza. Pizza. And if you know the value of Bitcoin and you know there's a lot as of today, Bitcoin went to its all time high of $5,200. So if we just do a simple calculation 10,000 multiplied by five fatter than 200 we get $52 million dollars. So a pizza was bought with $52 million worth of today's Bitcoin help the individual still have those bitcoins and then later in 2010, in July 2010 and two Ly 2010.

The exchange mount Gox established which is no longer around now because I've already covered this in a separate video why you went down and ultimately what happened to it and it is establish and change at its height, it was dealing with over 70% of the bitcoins and either crazy amount then in February of 2019 In February of 2011 Bitcoin reaches parity with the US dollar and this was a big moment because people started taking it seriously then. And then in June of 2012 in June of 2012 block 181919 GaNS are 18 1919 is the largest block at this time, sorry about that The largest block with one fan and 322 transactions that is 100 blocks as one single block with 1322 individual transactions, which is just the crazy number from 2007 when it was nothing more than just an idea to 2008 the domain name being registered and the first transaction than the mega pizza transaction, I think that's what it should be called the mega pizza transaction.

One five and freedom 20 just in a single block nine total in a block. Lazy, insane. And then we're not too sure but roughly 2011 and to further than 12 somewhere around But there there is fraud and illicit behavior and this is when really gained momentum. So, fraud and illicit behavior. How Bitcoin gain and you might be thinking, what exactly is BTC This is just short for Bitcoin. This is almost how you know on stocks you have ticker symbol, this is the equivalent of that.

So Bitcoin gains momentum, Silk Road opens and we're not talking about the old Chinese Silk Road or the super Silk Route. This is They online website on the dark web and this transacts in a bunch of different stuff from drugs to weapons and a whole heap of other just crazy stuff. If you want to know more information about Silk Road Feel free to google it there's a lot of information about it, I definitely was read Silk Road can be argued as one of the most influential parts of making Bitcoin succeed because he allowed a anonymous and anonymous currency to be used on the dark web for illicit behavior. And then also random at the same time, man Gox is hacked which is not very good and shut down for seven days then the government governments warn of terrorist financing and FBI reported I believe so they are scared that an anonymous currency will lead to terrorist funding and die is a valid concern because ultimately he helped facilitate hate this.

But one thing I do want to briefly mention about Silk Road though it did deal in illicit goods and services, it actually reduced crime rate. Because no longer were the days where you had to go into a dark alleyway and get some drugs from a some criminal and you might have been stabbed or shot or robbed or anything like that it was over the net. So it's all a lot safer. Again, I'm not excusing their behavior, but if you ask a law enforcement that I have an impartial mind, they said that it actually had a positive impact. But again, it is a bit more complex than that. So it's not quite as clear cut as any was bad or good.

And then in June 2012, again, so 2012 is a very big year, in June of 2012. bass is launched and that's a bitcoin wallet and from Cisco and this is one of the most popular wallets used today. And if you're interested in dealing cryptocurrencies, especially Bitcoin definitely recommend checking out Coinbase an immensely popular one. Then he may have to further thousand and 13 the first Bitcoin ATM for your first automated teller machine debuted and San Diego for the first ATM so it's really picking off now Bitcoin is and people are taking serious they are 110 Bitcoin in the conventional fiat currency methods so ATM for example, having means that they can access easily via websites and eventually apps as well. So things are really picking off now in August of 2013 the New York State deep part ment of financial services they issue pain as to 22 Bitcoin companies, this is obviously not good for the big coin market I can tell you it recovered since then, that several hits but it has always recovered so far.

A lot of the time, the government are afraid big conventional banks are afraid of new technology. They spoke about the internet by the industrial revolution in a very similar way they are speaking about Bitcoin and ultimately blockchain because that's when they said Bitcoin and they talking about in the native way. A lot of times they're talking about the underlying decentralized distributed technology. And then, in November, actually, I did just miss out one little thing on metal finger occurs over here. It's quite a big one. And this is my 2013 poin base.

Raises $5 million in venture funding, if you're interested who funded them, it was Union Square ventures a really big venture fund almost forgot about mentioned that that's very important. Then in 2013, November 2013, that is, Bitcoin reaches over $1,000 like we remember, those 10,000 bitcoins now would be worth $10 million into van 13. They're worth a lot more now. Bitcoin reaches over $1,000 and this is after the market perceives the us senate hearings were positive. So these hearings are good and bitcoins skyrocketed, which is fantastic for Bitcoin fans. Then in 2014, February 2014 attacks occur on exchanges and it ultimately led to the collapse of Mount Gox this collapse and as a result, the bitcoin price immensely.

Again, don't worry It's a happy ending. It comes back then in September of 2014 and September 2014. Pay Pal Pao think you've heard of PayPal, they announced, announced and now Bitcoin integration. So not only could you use it on dark web or using some other services that aren't very mainstream, you can now use it on an immensely mainstream application such as PayPal, which is obviously really helping solidify The legitimacy and ultimately the legacy of Bitcoin and blockchain. So ever since then there's obviously been a war about the development Korean. But this overall covers the history.

And what has been occurring since 2007. With the financial crisis and Satoshi Nakamoto is conceptualizing an amazing decentralized distribution network to actually be a reality. I know this has been a very long video. There's a lot to cover. I hope you enjoyed it. If you have any questions, feel free to ask, feel free to go through the video again and just having a look at the history of it.

It's an amazing story. And as usual, thanks for watching, and I hope to see you in my next lesson.

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