Bitcoin is the first decentralized digital currency, and as such it is a revolutionary technology invention. It changed the way we compute things and the way we operate software and computers. Bitcoin and blockchain are considered to be the next big wave of change after the internet.
Now, let's look at the following properties of Bitcoin:
- It's an international network of payments.
- It uses cryptography to control its creation and management, rather than relying on central authorities such as governments, banks, union territories, or intermediaries.
- It's not printed but is produced by people using software that solves mathematical problems.
- It is controlled and limited in supply, which arrests the hyperinflation problem. For example, whenever African countries were short of currency notes, they had to print more notes, which resulted in hyperinflation and brought the value of the currency down.
- Since the arrival of Bitcoin, the way Bitcoin programs are written means there will always be a maximum of 21 million Bitcoins available across the globe. The moment 21 million Bitcoins have been mined, the program will not generate any more new Bitcoins. Hence, Bitcoins will be limited in supply and this will arrest the problem of hyperinflation.
