Update Oct. 31, 2:05 pm UTC: This article has been updated to include quotes from Nexo.
Bitcoin’s foundational document, the white paper written by its creator, Satoshi Nakamoto, has turned 16.
On Oct. 31, 2008, Nakamoto shared the “Bitcoin: A Peer-to-Peer Electronic Cash System” white paper with a cryptography mailing list, proposing a decentralized, peer-to-peer network capable of preventing double-spending through proof-of-work consensus.
Bitcoin white paper. Source: Bitcoin.org
Just three months later, Nakamoto mined Bitcoin’s first block, known as the genesis block, rewarding 50 Bitcoin (BTC), and launched what is now the world’s largest cryptocurrency network.
Sixteen years later, Bitcoin has reached a market value of over $1.42 trillion, making it the 10th largest asset globally, according to CompaniesMarketCap.
World’s largest assets. Source: CompaniesMarketCap
Days ahead of the white paper anniversary, Bitcoin’s price climbed to a seven-month high above $73,600, coming within $200 of a new all-time high, which some analysts expect to occur after the US presidential election.
Related: Bitcoin ‘Trump hedge’ rally lacks macro conditions for all-time high
Bitcoin: becoming a new “digital gold” for institutions in just 16 years
Bitcoin’s growth has been boosted by investor confidence and institutional adoption for its role as a store of value, according to Mithil Thakore, co-founder and CEO of Velar.
Velar told Cointelegraph:
“Bitcoin has evolved from a niche digital experiment to a global asset class that rivals traditional stores of value like gold. But unlike gold, which has taken thousands of years to establish itself, Bitcoin managed to capture institutional attention, spark regulatory debates, and drive a global decentralized finance movement — all in just 16 years.”
Bitcoin’s maturity, according to Thakore, is evident through rising long-term holdings by institutions, deeper integration with traditional financial markets and growing adoption as an inflation hedge.
Top Bitcoin holders in the world. Source: Eric Balchunas
Highlighting institutional interest, the world’s largest asset manager, BlackRock, surpassed $30 billion in Bitcoin holdings through its spot Bitcoin exchange-traded fund (ETF) on Oct. 30.
Bitcoin ETFs have increasingly attracted attention, underscoring Bitcoin’s transformation from a niche digital currency to a major financial asset.
Related: China’s growing debt a great Bitcoin ‘buying opportunity’ — Arthur Hayes
Bitcoin is the best currency for “financial freedom,” says Tether CEO Paolo Ardoino
Bitcoin has grown to become the world’s best currency, according to Paolo Ardoino, the CEO of Tether, the world’s largest stablecoin issuer.
Speaking exclusively to Cointelegraph at Plan B Lugano in Switzerland, Ardoino said:
“I’m a Bitcoiner. I believe that Bitcoin is the best currency in the world, but not everyone is ready yet. People have bigger struggles in their lives and at this moment, they don’t have the time to invest to understand Bitcoin yet. But, I believe that the role of USDt is also reducing the barrier of entry for these people into Bitcoin.”
Bitcoin, Ardoino added, offers unique value as an alternative to traditional fiat currencies facing inflation pressures, calling it the “ultimate option for financial freedom” in a volatile economic landscape.
Tether’s Paolo Ardoino, interview with Cointelegraph’s Zoltan Vardai, clip. Source: YouTube
While some see Bitcoin as a teenager, the asset’s resilience and 16-year growth are outstanding compared to most technological developments that fade due to rapid innovation, according to Elitsa Taskova, chief product officer at Nexo, who told Cointelegraph:
“Today, the longevity of a technology like Bitcoin is extraordinary — think of it as a company from the 1970s that’s still a market leader today. In a world where most innovations fade within a decade, Bitcoin’s 16-year impact is the equivalent of a 50-year reign a few decades ago.”
Some crypto firms are celebrating the white paper’s 16th anniversary, including Nexo, which announced its rebranding to a digital asset wealth platform.
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