Topic: Why was BITCOIN invented? - page 3. (Read 616 times)

I actually just learned the real reason why Bitcoin was created because of this topic that has already been created. Because I often hear that bitcoin is a good opportunity, source of income, savings and so on. But the depth of why Nakamoto created him, I really have no idea right now. It means that during those times, because inflation was the problem, many businessmen were afraid and worried during these times. Thanks for sharing on this forum.

Until now I am 100% sure that blockchain is the future, at that time there were still many who underestimated this blockchain because it had not happened yet. I once saw Bill Gates' interview on YouTube, about the internet, email, social media, he was even laughed at because at that time it was a strange thing.

People only judge something that makes sense at the time, until in the end when everyone uses it, they only become the last followers, this is directly proportional to investment, people buy and are tempted when they see the price soar, not when the price is low and when there is no interested person. especially the current economic situation, the government doesn't look very good, corruption, the mafia, it's time for us to forget about government, blockchain would be better implemented because it's transparent.

Maybe I can add to this. The current financial system relies on trust in a central authority, such as a bank or government, to manage and verify transactions. However, this trust has been eroded over time due to financial scandals and economic crises.

Bitcoin's direction is to create a decentralized system where trust is not required to transact value. This is achieved through the use of a decentralized ledger called a blockchain, which is managed by a network of users rather than a central authority. Transactions are verified through a process called mining, which ensures that transactions are valid and irreversible once recorded on the blockchain.

So my take on Bitcoin's solution to the problem of trust in the financial system is to create a decentralized, transparent and secure network that does not depend on a central authority.

CBDC's are just a distraction and meant to be a diversion from bitcoins. The people in government know the potential bitcoins has to free people from their control, so CBDC was created as competition. Think of this, If so much has been spent on promoting CBDC's, why is not as successful as bitcoin is? why are we not interested in it still is because we understand that the government have not made any real changes, but just improved on the fiat that they already control. It is their intention to still be able to monitor people and have them under their control.

a man name Satoshi Nakamoto invented BITCOIN for the ability to conduct government-free transactions, relying on digital signatures and digital coins rather than centralized government-issued fiats.

To get the best thing out of something, one needs to know the history, reason, and origin of a thing.  An antique can't be evaluated if its history is unknown.  Tools cannot be used to their maximum potential if we don't know why it is made or created.  Just like a bottle opener, can you use its maximum potential if you don't know that it is made to open a bottle?  History, reasons, and many other things are important in maximizing the potential and usage of Bitcoin.  It is one factor that made Bitcoin special.  So I think knowing the reason for Bitcoin's existence is important.  Because from that you can plan ahead on how to use Bitcoin to make our lives better.

I've read a lot in this forum that made a topic about bitcoin, this is the only one I've read that can be said to be really detailed that said how and why Bitcoin was made or made. So kudos to op for taking the time to explain why Satoshi Nakamoto created Bitcoin.

 So a nice sharing op you have done for adding knowledge to all the members here on this forum platform. I just now realized that because of the crisis that we were going through in 2008, it was very scary for all the businessmen during these times that the inflation caused is really worrying, fortunately bitcoin is one of the solutions regarding this matter. So thanks to Satoshi Nakamoto.

The freedom is massive that and with time bank will not be able to play with our money anyhow and make investment with it without giving our a better interest. The emergence of Bitcoin had been a big surprise to the banking sector and the government also because the rate of adoption of Bitcoin is very massive. This is just the beginning now that there are some countries that had been considering adopting Bitcoin as a legal tender. Thee market is still young and when other countries start adopting Bitcoin, the cryptocurrency market is going to be massive.

This is really great work from the op, a really good effort in compiling such useful information about the creation of bitcoin. Satoshi nakamoto is arguably the most famous name in the crypto world today and all because of his brilliant idea to invent bitcoin to resolve all sought of financial related issues we keep facing in our recent world today. Bitcoin has grown so fast since it creation as many country are now seeing its benefit and adopting it as a means of legal tender. Bitcoin was meant by satoshi to solve a lot of thing and one of them is to tackle the issue of the centralized control of people funds by the bank.

People are essentially just going to have to disobey those inevitable currency restrictions in mass. If they do, this could be the easiest revolution ever.

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That was a good write up.

Bitcoin may have been created in response to the 2008 financial crisis, but it was a long time coming. Almost like it was some sort of divine intervention because the powers that be have been using their fake money system to cause immense suffering throughout the world long before 2008.

How people got duped into trading their time and labour for unbacked pieces of paper in the first place is a testament to how far we've fallen as a society. Adding to that, the ability to create and distribute those pieces of paper (or digits on a screen) is given to members of just a few families who own and control the central banks? It's truly insane.

Anyway, without going too far down the "rabbit hole" on here, this is the article that I usually direct people to in order to get them to realize just how insidious the current banking system is, and likewise, why decentralized alternatives like Bitcoin are so important for the liberation of humanity.

https://revoltfinance.com/the-importance-of-crypto/

Bitcoin was invented for the same reason that dogs lick their balls, and the reason is... because they can.

Simple as that, the technology was there, the cryptography was there, the coding language was there, it was about get the idea, the tools and put it all together.

We don't have to break our heads asking this kind of question, the important thing is it was invented and why that happened doesn't matter at all, the real question is, how can we use it to make our lives better?

The simple explanation of why Bitcoin was invented is this.

Governments hold power over trade and barter involving money. Governments are extremely corrupt in this. They constantly steal from the people in ways so deceptive that most people don't even realize it. Bitcoin was made so that governments would lose their control, and the free market would take over.

Bitcoin isn't perfect. If it was, the people would automatically see the advantages of Bitcoin, and government money would simply die.

Playing with interest rate is like a short term but quick remedy to the inflation rate, it is not an actual solution though. This is why we are seeing the attempts to lower the inflation by increasing interest rate by the FED is starting to fail and inflation stays up.
To solve inflation the government simply has to stop printing more money! But they can't do that because they have already run out of money to spend, so they have to print more out of thin air. Hence the huge national debt US has which is $31.6 trillion!

He was talking about the adoption and acceptance of Bitcoin as a currency, not the adoption about Bitcoin as a commodities because both of them are different. Most of countries are accepting Bitcoin as a commodities, you can trade, buy or sell Bitcoin, but most of countries not allow their citizens to use Bitcoin as a legal tender where you spend it directly to buy something.

When you use Bitcoin as a legal tender when your government doesn't allow it, that's considered as a crime for them.

I don't know how we are moving away from original purpose of bitcoin?

There are multiple use cases and people are free to use bitcoin with different use cases. You can not ask others to do the same as you do. Like a gun can be used to protect people or to kill people but a gun is a gun. Bitcoin is Bitcoin and it was not created to serve bad use cases but with time, many types of use cases will appear.

The adoption of bitcoin is good enough and I disagree with you that there is lack of adoption for it. You can say it about 10 years or 6 years ago but now, adoption is good enough.

A great piece of work OP, well done. I agreed on that part that we are moving away from the original purpose of bitcoin. One of the big reasons for that is the lack of adoption and acceptance of bitcoin as a currency but hey at least we are keeping and collecting bitcoin as an asset now and waiting for the right time.

We are still under our government and banks when it comes to financial activities, so we are not free until we can make full use of bitcoin.

Merited you for the effort of compiling list of information for us.  anyway, it is clear that the financial crisis of 2008 motivates  Satoshi Nakamoto to create Bitcoin.  The failure of banks  contributes to the attribute and feature of Bitcoin.  I am thankful to Satoshi Nakamoto in creating  Bitcoin, the first decentralized blockchain technology that proliferated over the years and disrupting the financial institution giving more power to the holder than the banking system.  Without the creation of bitcoin, we maybe still under the grasp of this greedy financial institution and our money and transfers are still under their mercy.

People are very naive and selfish.  And they are not necessarily interested in what is new.  But rather in what could bring them an instant quantifiable advantage.  Being your own Bank sounds cool.  But that is pretty much it.  When you look at the average Bitcoin 'investor', they praise their investment as if they had their Bitcoin the traditional way.  Non custodial Wallets.  No KYC.  Writing down their own Seed.  So on.  They praise their Bitcoin that they bought off platforms selling you a Bitcoin they promise you that you own, but you never know when that Bitcoin 'you own' leaves your Wallet without your knowledge.  What is the point, other than speculative reasons, of purchasing an asset you do not own.  I see none.

Bitcoin is gaining interest and this interest is probably at an All Time High.  But, it still needs so much time before people truly acknowledge what it can do.  It will gain the most interest when users of today will start praising what Bitcoin can do for them when inflation gets really, really bad and people go desperate.  Until then, this community will just have a decent steady growth.  What Bitcoin is capable of doing is crazy.  The Fiat system is collapsing.  I feel like it is.  The Banking system is collapsing.  Do just I feel this way?  Bitcoin can be at least a temporary bridge between Fiat and what ever comes next (probably CBDC).  If this happens.  Bitcoin will gain so much traction!

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Regards,
PrivacyG

Good day everyone,

 let's talk about Bitcoin again on these occasions. In the banking crisis in America, many banks collapsed due to the continuous increase in interest rates. Inflation is still high, and this is also the situation why Bitcoin was invented to prevent this from happening.
And it's just sad that most people don't know this, because they only look at Bitcoin as a speculative asset that increases in price and many buy when it goes down. But they don't understand the purpose. So in this conversation, we will find out why BITCOIN was invented.

Let's start, in 2008 the world experienced a financial crisis and it started in America. And because the dollar is everyone's reserve currency, our financial system is interconnected. So when there was a crisis in America, everyone was affected. And one of the reasons for this is the housing market bubble where housing prices have increased. Due to the loss of the bank's lending practices. Aside from that, banks issuing subprime mortgages and investing in complex and in financial instruments known as derivatives are also risky practices. So when the banks started to collapse then it created a ripple effect throughout the financial system. This was followed by the collapse of the stock market which led to a global recession and many people lost their jobs and homes. Here many people saw the vulnerabilities of the financial system that is built on trust and it can happen again in the future, which is what America is experiencing now. This is also the time that Bitcoin was created by an unknown individual group or person with the pseudonym "Satoshi Nakamoto". And its whitepaper was published the same year and the very first transaction took place in January 2009.

Bitcoin was created with a vision, that the people of the world have control over their money and their financial lifestyle. With Bitcoin, there are no central authorities or governments that control the money supply. The supply of Bitcoin is fixed and every bitcoin that enters circulation takes place in a process called BITCOIN MINING.

The main problem that Bitcoin wants to solve here is the "Issue of Trust" our current financial system now depends only on TRUST. Since gold no longer backs up the dollar, our monetary policy is too reliant on centralized authority like a central bank. This is the one that has control over the money supply and set interest rate and this is where the problem arises. Like Inflation, this is the event that increases the price in the market even services, and the purchasing power of our money weakens. And if we compare with the past times, the price was cheaper before. One of the main reasons inflation occurs is because there is too much money in the economy. When people have a lot of money there is more demand for goods and services, which causes the price to go up.

When the interest rate is low or almost non-existent, it is easier for people to borrow money from banks, businessmen, entrepreneurs, and many others. When people have a lot of money, they want to spend money, spending activity will increase, and the demand for goods and services will increase, causing the price of goods to increase. And that's the problem because prices are increasing, but the value of people's savings is decreasing, and wages are not increasing, so the purchasing power of our money is weakening when the supply of our money is increasing. Because of this, we will not want it to end up in "Hyper Inflation" which has already happened in other countries. So when the FED notices that inflation is rising, they have to raise the interest rate, so that the demand for people's spending decreases, and they can't simply borrow money from the bank because the interest rate is high. When no one spends much, there is no demand for goods then the price will go down.

Another problem with monetary policies is asset bubbles, when the interest rate is low it can cause more speculations and asset bubbles, the price of real estate or stocks becomes over-inflated and let's include crypto and when the bubble bursts those who bought the market hype are the ones who will lose.

Another problem with the current monetary system is the DEBT CRISIS, when the interest rate is low, individuals or businesses can take on debt, which will cause a debt crisis. Because when the borrowers are unable to pay their loans it could lead to widespread defaults and bankruptcy which in turn will lead to a financial crisis.

So in this system, the control is in the central entity, just one mistake in controlling the decrease and increase of interest rate disaster is the result. If you lower the interest rate you will go to Inflation, if you increase the interest rate you will go to Recession. So there needs to be a balance, which is never done because inflation continues to rise and the time of the financial crisis is still coming.

And Bitcoin fixed this problem because it only has a fixed supply so there is no inflation, it cannot be manipulated by the central government. So many say that Bitcoin is money for people. But they don't see it because they only think of Bitcoin as a speculative asset or risky type of investment. Bitcoin is more than just a currency, it can revolutionize the entire monetary system.

Because with Bitcoin we can take back control of our financial life and it creates a more fair and equitable world. And it is secure to financial institutions because it uses a decentralized ledger called BLOCKCHAIN. A public ledger in that we can see all bitcoin transactions from the very beginning. In traditional finance, we cannot see that perhaps we can see something but this is the only thing they want us to see because they are the ones who have control over it. BTC is constantly being updated and verified by the network of computers all over the world, trustless and permissionless. The Fiat currency is considered an experiment since the 1970s and has not been tampered with by anything.

For thousands of years people are using gold as a form of money, it is a primary form of currency, even during ancient civilizations, such as Egypt and Mesopotamia gold and silver are considered money and it has been proven over time. Gold, because the government has no control there, cannot produce their gold because it still needs to be mined. Unlike Fiat currency, they can print trillions whenever they want it. with Gold, they can't do that, and the same with Bitcoin.

So if the FIAT currency is a failed experiment why don't we go back to the Gold standard? After all, this is the money we have been using for thousands of years. That means, it's been proven over time, well those in authority will not allow that. Because Fiat currency has another characteristic that Bitcoin and Gold do not have, a system of control. Remember money is power, whoever controls the money controls the world. Gold is a freedom money same as Bitcoin. BTC is only because its an internet money, it is suitable for the digital age, and as long as we have the internet bitcoin will tribe. Cryptocurrency and Bitcoin can be used as alternative money, but the authorities will not allow cryptocurrency to dominate. That's why they created their type of cryptocurrency the CBDC. The system of control is still the same monetary system, which means that what is happening to the Fiat currency today is the same as the CBDC. Because the system that will be followed is the same, the only difference is that they have upgraded the technology, which means it will still result in the problem that our village's financial system is facing.

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[1]What is Inflation?
[2]what is hyperinflation?
[3]What is Bitcoin?
[4]what is Blockchain?
[5]when does bitcoin start?
[6]what is Fiat currency?
[7]what is CBDC?