$BTC

Bitcoin is a decentralized digital currency that was created in 2008 by an anonymous person or group of people using the pseudonym *Satoshi Nakamoto*. It was introduced as an open-source software in 2009. Bitcoin operates on a peer-to-peer network without the need for a central authority, such as a government or financial institution, to regulate or process transactions.

Here are some key points about Bitcoin:

1. **Blockchain Technology**: Bitcoin transactions are recorded on a public ledger called the blockchain. This decentralized ledger ensures that all transactions are transparent, secure, and immutable (cannot be altered once confirmed).

2. **Mining**: Bitcoin uses a consensus mechanism called proof-of-work (PoW). Miners use computational power to solve complex mathematical problems, and the first miner to solve the problem adds a new block of transactions to the blockchain. In return, miners are rewarded with newly created bitcoins and transaction fees.

3. **Limited Supply**: The total supply of Bitcoin is capped at 21 million coins. This limited supply helps create scarcity, which is often cited as one of the reasons Bitcoin is compared to digital gold. New bitcoins are introduced into circulation through mining, but the rate of creation decreases over time through "halving" events, occurring roughly every four years.

4. **Decentralization**: One of Bitcoin's key principles is decentralization. Unlike traditional currencies controlled by central banks, Bitcoin operates without a central authority. This gives users control over their own funds and transactions, with no need for intermediaries like banks.

5. **Volatility**: Bitcoin is known for its price volatility. Its value can fluctuate dramatically in short periods, which can result in significant profits or losses for investors and traders. This volatility is partly due to its relatively low market capitalization compared to traditional assets.