If you’ve heard about Bitcoin and have been wondering what it is, you might consider asking a different question. Asking “why Bitcoin” provides a better starting point because that question points towards the problem Bitcoins creators were trying to solve. Here’s “why Bitcoin” in 60 seconds.
Bitcoin emerged from the 2008 financial crisis in response the Wall Street bailouts and the currency creation that made the bailouts possible. People were angry because the currency created transferred the losses from Wall Street to the public at large.
Bitcoin grew from that anger as a technological response to currency creation. Bitcoin’s creator might have looked at it like this:
The problem is that you have a centralized money network with a human manager who has the power to create currency. The answer might be to build a decentralized money network that replaces the manager with computer code and strictly limits currency creation.
What people who are confused by Bitcoin need to understand is that Bitcoin advocates see currency creation as a superpower that enables the theft of people’s wealth. The 2008 bailout of Wall Street provides but one example of the use of a financial super power that Bitcoin advocates aim to end by making people’s savings impervious to inflation.
Change Money Change Everything
Bitcoin is a technology driven social change movement. The power of the movement stems from the “Unstoppable Code” characteristics of the Bitcoin network. A new block occurs every 10 minutes without respect to what any politician or central banker thinks or outlaws.