Bitcoin (BTC) is the first decentralized cryptocurrency, introduced in 2009 by the pseudonymous Satoshi Nakamoto. It operates on a peer-to-peer network, allowing users to transact without intermediaries like banks. Transactions are recorded on a public ledger called the blockchain, ensuring transparency and security.
As of May 2025, Bitcoin has solidified its position as a mainstream investment asset, embraced by the global portfolio. Initially created as an internet-based medium of exchange, Bitcoin has evolved into a digital counterpart to gold, respected for its long-term value appreciation despite short-term volatility. A major catalyst in increasing its acceptability was the approval of Bitcoin ETFs 15 months ago, which enabled a surge in institutional and retail investment by providing a regulated investment vehicle.
Bitcoin's value has increased 700-fold since May 2013, compared to the S&P 500's threefold growth, and it has doubled since early 2024. Amid global economic uncertainty, many investors are diversifying into traditional assets like gold and now Bitcoin, positioning it as a reliable store of value during times of financial instability.
As of May 8, 2025, Bitcoin is trading at approximately $99,077, approaching the significant $100,000 threshold. This rally is attributed to the Federal Reserve's decision to maintain interest rates, which bolstered investor confidence and spurred bullish sentiment in the cryptocurrency market.
Bitcoin's decentralized nature, limited supply, and increasing adoption continue to influence discussions on the future of digital currency and payment systems.