$BTC BTC, or Bitcoin, is the first and most well-known cryptocurrency, created by an anonymous entity known as Satoshi Nakamoto in 2008. It operates on a decentralized network, meaning it is not controlled by any central authority, such as a government or bank. Instead, it relies on a technology called blockchain, which is a distributed ledger that records all transactions across a network of computers.

Bitcoin is designed to function as both a store of value and a medium of exchange. It uses a proof-of-work consensus mechanism, where miners solve complex mathematical puzzles to validate transactions and add them to the blockchain, earning new bitcoins as a reward. This process also ensures the security and integrity of the network.

Bitcoin transactions are pseudonymous, meaning that while they are publicly recorded on the blockchain, they are not directly tied to an individual’s identity. Bitcoin’s total supply is capped at 21 million coins, which makes it a deflationary asset, as no more coins will be created after this limit is reached.

Bitcoin has gained significant attention as an investment asset and has sparked the development of thousands of other cryptocurrencies. Its volatility, however, has made it a subject of debate, especially in its use as a medium of exchange.