The primary task was that users could make transactions with each other and then back them up in a list and verify that no currency gets spent more than once. So, it happened that on January 9, 2009, and at midnight the first mining took place, which created the world’s first bitcoins. And this is how the first cryptocurrencies began to develop.
It generated quite a stir worldwide, although the most important news was that Satoshi Nakamoto, the supposed creator, disappeared. And we never heard from him again.
Who is Satoshi Nakamoto?
It is a pseudonym used by the person or group of experts who developed the Bitcoin cryptocurrency and all the software that supports it. Satoshi Nakamoto has been one of the most mentioned names in recent times because, in addition to creating the entire protocol, he disappeared in 2011.
Since that date, no one has known anything about it. Many comments have emerged since then, as there is no certainty as to whether it is an actual person, someone fictitious, or a group of programmers behind the bitcoin movement.
There is a foundation called P2P, where Nakamoto had a profile stating that he was a 37-year-old man living in Japan. However, very few believe this information to be accurate. Because this person has a perfect command of English, and the Bitcoin code does not contain Japanese anywhere.
As a result, many speculate that it is a group of European or North American people linked to the financial sector. However, others believe that it may be a super genius.
From here, multiple theories have circulated suspecting many people who could be Satoshi Nakamoto. Many of them have publicly rejected this appointment. Other researchers had even documented the connections when they shared messages when developing the bitcoin protocol. These connections resulted in a time pattern similar to that of North or Central America. The truth is that despite all the investigations, no one yet knows who Satoshi Nakamoto is.
Bitcoin and how Bitcoin was created
Bitcoin is a virtual currency whose main characteristic is decentralized so that no official entity can handle or regulate it. This digital asset finds usefulness as a payment method, but some also earn money through its exchange while trading.
Each bitcoin unit consists of 100 million Satoshi. And it is the minimum unit of account that exists in the system and, in turn, has a gigantic distributed database to keep a record of all the transactions executed on the platform.
The creation of Bitcoin owes to all the information stored getting grouped in blocks throughout the network. But, they are all related to each other in the so-called blockchains or Blockchain.
In addition to this, Satoshi Nakamoto made these movements visible to the entire public so that there was transparency and increased trust among users. In this sense, since there is no central node by any external organization, Bitcoin is considered a 100% decentralized virtual currency.
Why did Satoshi Nakamoto create Bitcoin?
The purpose of Nakamoto’s cryptocurrency was to take control of cash away from banking elites and financially empower ordinary citizens with it. And the first transaction involves Nakamoto delivering 10 Bitcoins to Hal Finney, a well-known developer who had downloaded the Bitcoin program on its release date.
Similarly, the first commercial transaction occurred in 2010, when a programmer called Laszlo Hanyecz paid 10,000 Bitcoin for two Papa John’s pizzas. Those were some rather costly pizzas, given Bitcoin’s current worth of roughly $60,000.
The structural design of Bitcoin is open to the public, and anyone can contribute to it. Therefore it is an open-source entity not owned or controlled by anybody. It gave many developers the incentive to contribute to its code’s continuous development, improving Bitcoin evolution collaboratively.
Why does the identity remain hidden till now?
There is no precise information explaining why Satoshi Nakamoto remains anonymous. Many people think that the character behind this creation passed away. However, the main argument is that he has never revealed his identity for security reasons.
In this way, Satoshi Nakamoto can avoid harassment or tracking problems. However, most people who understand cryptocurrencies want to know who he is or behind one of the projects that have surprised the world the most.
What can be deduced is that if it is a group behind the bitcoin, they decided to let the users and miners dictate the course of the cryptocurrency. For this reason, they emphasized its decentralized nature. And they have managed to stay hidden through the use of Virtual networks and confidentiality agreements between those who participated in the project anonymously.
In addition to being very careful when making connections and verifying, they also do not reveal their identity.
Efforts made to find out who Satoshi is
Attempts to identify Nakamoto have been ongoing for as long as Bitcoin has existed. In cryptocurrency communities, rumors abound that he is a member of the Yakuza, a money launderer, or even a woman. He denies all of these claims. Dorian Nakamoto, a soft-spoken 70-year-old Los Angeles citizen, was recognized as Bitcoin’s developer in 2014 by a report.
While Nakamoto’s long and illustrious engineering career served as evidence, he has categorically denied any participation with the cryptocurrency. Dorian Nakamoto made a public comment the day before Satoshi appeared in an online forum, and the next day, he was gone. Before disappearing again, he wrote on his wall, “I am not Dorian Nakamoto.”
Who is suspected to be the creator?
There have been numerous speculations circulated since the cryptocurrency’s developer decided to remain anonymous. According to recent rumors, one of the people who invented Bitcoin was the late Hal Finney. And he quickly refuted this assertion. Other suspects include Paul Le Roux, although there is little proof linking him to this coin. Therefore this notion has been disproven from the start.
In addition to Neal Rey, one of Charles Bry and Vladimir Oksman initially seem to be Nakamoto. Despite this, the three openly denied being Satoshi Nakamoto following the exchange of numerous documents and communications. The most exciting discovery was about Dorian Nakamoto, a Japanese-American living in California whose name is Satoshi.
Then, in a series of interviews, he denied being the brains of Bitcoin, returning to his original position. Later, Satoshi Nakamoto confirmed on an online Bitcoin forum that he is not Dorian Nakamoto — putting an end to the rumors.
Does the identity of Satoshi Nakamoto pose any threat?
Knowing the identity of Satoshi Nakamoto will create quite a stir in the market. To such an extent that a significant variation in the price of Bitcoin and other cryptocurrencies is possible. The queue of the people who want to know the owner of this company establishes an impenetrable network that avoids the old system’s flaws is long.
They all want to know who created the technology that has found multiple uses and applications due to its decentralized and anonymous nature. Suppose Satoshi Nakamoto’s identity comes to light. In that case, rumors may begin to restructure Bitcoin. It will include its block networks, or some of its characteristics, either for the better or worse.
As there is such great uncertainty, the price of this cryptocurrency will probably decrease. And the holders of this cryptocurrency might suffer significant losses upon the disclosure of the anonymity. And we can use this to justify why the real Satoshi Nakamoto has remained anonymous.
Every ecology, sooner or later, will face a significant change. It only needs the correct precursor. And, for the financial ecosystem, cryptocurrency must be the cornerstone, just as demonstrated since 2008. Despite the efforts of dozens of other crypto players to duplicate Bitcoin’s success, it remains the most popular digital asset in the world, even in 2021.
But Bitcoin has accomplished more than that. It has set the standard as the pioneer cryptocurrency whose founder first got immortalized. And this took place not quite long ago in Hungary. Satoshi Nakamoto, the creator of Bitcoin, harnessed the power of blockchain technology to bring the concept of decentralized, virtual currency to life.
And Bitcoin has steadily established a more permanent effect on individuals worldwide, thanks to a limited supply model, strict security, and expanding liquidity. Another reason for Bitcoin’s value to rise and hold is the growing investment-specific mindset of its users.
Why does Satoshi deserve this acknowledgment?
Although the concept of Blockchain has been known for a long time, it was not until the introduction of Bitcoin that it became commercially viable. While the circumstances surrounding Bitcoin’s inception remain a secret, it would not be incorrect to particularly credit Satoshi Nakamoto, who did more than merely reveal something revolutionary. Satoshi initiated a philosophical movement that would have far-reaching consequences.
Satoshi Nakamoto did not just create Bitcoin; he also wrote a whitepaper detailing the cryptocurrency’s implementation, roadmap, vision, and nearly everything else relevant. It highlights some but not all the things that make Satoshi’s contribution to the crypto world noteworthy.
Despite the temptations and potential of becoming a significant role in the crypto realm and the world, Satoshi Nakamoto’s name never got disclosed. Despite the possibility of symbolic immortality, Satoshi chose anonymity to retain Bitcoin’s status as a decentralized system and ensure it does not depend on a single person.
Significance of this recognition
Satoshi’s faceless statue unveiling in Budapest appears to be a well-timed effort to propel Bitcoin’s popularity to new heights, following the downturn events like the wild and uncontrollable sell-off that threatened to wane Bitcoin’s popularity. Despite the price drops, the rates rapidly steadied, demonstrating Bitcoin’s robustness and price-specific solidarity.
Not to mention Bitcoin’s driving force, which is now maintained by 10,000 globally distributed processing nodes. As more users join the network, we may soon reach a capacity of 150 million ‘Tera’ hash operations per second, at which time power generation and availability may become a problem.
If additional global authorities recognize Bitcoin as a legal currency any time soon, the move will drastically reduce the restrictions on electricity consumption. Green electricity to keep the network running will be easy to come by, allowing activities to go as planned. Satoshi’s statue makes even more sense now that countries like El-Salvador acknowledge Bitcoin, and it might be the catalyst for widespread crypto adoption.
The proof we need to confirm Satoshi’s identity
Although there have been a host of Satoshi Nakamoto impersonators and bogus claims throughout the years, none have checked all of the essential boxes that would identify them as the real deal. If someone, or a group of people, comes forward and claims to be Satoshi Nakamoto, they will own the first bitcoins ever mined.
Moving at least a percentage of these coins to different addresses would be substantial evidence, given these coins are worth over a billion dollars at times. This technique of proof is known as “show me the money.” However, the bitcoin community is picky, and many individuals would require more evidence to be convinced.
One of Bitcoin’s design peculiarities is the so-called Genesis Block, which houses bitcoins that anybody cannot just move. The owner can use the keys associated with those blocks to sign a message, but signals from many blocks are required: “Why is that the only key he has if you only have the key to, say, the sixth block? You should be able to sign and move funds from several of the blocks if you are Satoshi.”
Given Satoshi’s abrupt exit from Bitcoin, we can safely assume that we will not receive any signals. He spent his final days working out development bugs and emailing source code to the cypherpunks. Before leaving, Satoshi made sure that his identity got removed from the Bitcoin software, as well as its copyright claim – all hallmarks of someone who actively chose to remain anonymous.
Ascertaining Satoshi’s identity does not matter
While it is natural to wonder about Nakamoto’s true identity, we should not be disappointed that it stays unknown because it is compelling for decentralization, which is key to Bitcoin. Bitcoin’s survival is independent of Satoshi Nakamoto or any other significant figure. Bitcoin’s trustworthiness stems from its decentralization. Your bitcoin is distributed over thousands of devices globally, ensuring near-permanent access. And that the network can function even if one machine fails.
A decentralized network is less prone to censorship, corruption, and collaboration. Bitcoin does not require its creator’s influence to stay in operation. As such, a figurehead would disrupt the goal it aims to achieve. Although Nakamoto created Bitcoin and its Blockchain, he does not control it. Because its code is open source, so anyone can contribute. According to estimates, up to 70% of Nakamoto’s original code has already got updated or erased.
Again, his name is irrelevant because over 600 individuals work on Bitcoin. Bitcoin transactions are irreversible due to system structure and transparency. It has never gotten hacked since ‘taking control’ of its structural design is impossible. Because being Bitcoin’s dictator would cost hundreds of billions.
Will we ever meet Satoshi?
It is doubtful that we will meet him. A decentralized network provides transparency, guaranteed confidence, and full ownership and control of your money, and Satoshi Nakamoto is no exception. He designed Bitcoin to be self-sufficient and self-governing, and its anonymity provides it a competitive edge as a digital asset.
Digital currencies thrive without advertising, and there is no need for commercials. Bitcoin has established itself through time, and it will continue to exist as long as people recognize the benefits it can provide, which does not depend on the creator’s identity. It does not use billboard sponsorship or sponsored Instagram posts, let alone Satoshi Nakamoto taking a chance on it.
So, it is unlikely ever to meet Satoshi if we have not already, which is a fantastic thing. Bitcoin is decentralization in action, and Satoshi never intended to be involved with its operations.