An Abridged History of Bitcoin – Timeline – NYTimes. What started as an idea in 2008 has since become a currency found in automated teller machines, used by black markets and put in portfolios that some investors want to trade like stocks. The idea represents a breakthrough in using drug site bitcoin value code to authenticate and protect transactions without resorting to a centralized bank or government treasury.
A Currency for the Times There are differing theories about why Mr. Nakamoto proposed the currency alternative. One prominent notion is that it was a response to the global financial crisis. British official weighing the merits of a second bailout for banks. The pizza cost the person 10,000 bitcoins. The virtual currency is exposed as being just as vulnerable as the paper kind, when bitcoin accounts were subject to hacking and theft. At least one group that collected donations in bitcoins decides against using them because of possible legal entanglements.
The use of the currency grows, but it’s largely relegated to corners of the Internet, including black markets that sell illegal goods. That is a lot of coin in any form, and the billion-dollar milestone turns the once-obscure online currency into a media sensation. So why the sudden run-up in value? Some point to the recent economic crisis in the European Union, which makes a currency beyond the control of governments more tempting. And as with a run-up in anything tradable — tulip bulbs, dot-com shares — there is also the hypnotic logic that says the price went up today, so that means it will go up tomorrow. What is clear, however, is that the main use of the currency appears to be illicit activity.