Author: Sylvain Saurel
Source: Crypto Valley
Satoshi Nakamoto officially created BTC on January 3, 2009. Not long ago, BTC celebrated its 11th birthday. In the BTC white paper, Satoshi described his system as a "point-to-point electronic cash system."
Many people see BTC as an alternative to the existing monetary and financial system. At the end of 2008, with the outbreak of another banking and financial crisis, the limitations of the existing currency and financial system became prominent again.
At the time, no one, including Satoshi Nakamoto, would have thought that BTC would have achieved such great success. Eleven years later, BTC still exists and has a total market value of more than $ 130 billion. The current BTC price is $ 7,500. At the end of 2017, BTC even reached a historical price of $ 20,000.
In this article, I will measure the extraordinary success of BTC through 10 basic indicators.
More than 18,140,789 BTC in circulation
Since launching BTC in 2009, BTC has issued more than 18 million BTC. The birth of a new BTC will reduce the speed of every 210,000 transaction blocks. This process is halving BTC, which means that for every 210,000 blocks mined, the reward to miners will be halved.
The next halving will occur in May 2020, and the miner's bonus will be reduced from 12.5BTC to 6.25BTC.
The reduction in the number of new BTC outputs will once again have a very strong upward impact on BTC prices.
BTC consists of more than 611,270 transaction blocks
The BTC blockchain consists of blocks that are embedded with transactions performed by BTC users. Since the birth of BTC in 2009, more than 611,270 transaction blocks have been verified on the network.
As of January 5, 2020, the size of the BTC blockchain is 299.40GB, which is nearly 300GB. The average block size on the BTC blockchain is 539.139KB.
Finally, the production time of new transaction blocks has been relatively stable in recent months, between 8 and 12 minutes.
Over 488,924,420 transactions completed on the BTC blockchain
As mentioned above, the BTC blockchain has more than 610,000 verified transaction blocks. This represents more than 489 million transactions completed on the BTC blockchain.
Over the next few months, BTC will complete more than 500 million transactions. This number is amazing. From the overall upward trend in the number of transactions per day on the BTC network, it can be seen that BTC is moving to a new height.
As of January 4, 2020, the number of transactions per day is approximately 300,000, and the number of transactions per hour exceeds 12,300.
BTC market cap exceeds $ 130 billion
In 2009, BTC started from scratch. I didn't expect to achieve such great success in the 1970s. If you invested $ 1 in BTC in 2010, then this $ 1 investment will be converted into $ 90,000 by the end of 2019. At present, the market value of BTC has exceeded 130 billion US dollars.
BTC is a technological revolution that has created an emerging industry: the digital asset industry. BTC's dominant position in the digital asset market is very obvious, accounting for nearly 70% of the market share.
By the way, when the price of BTC reached the highest level of 20,000 US dollars, the market value of BTC had exceeded 325 billion US dollars.
BTC has more than 11271 full nodes
BTC is a revolution because it is a system without leadership, permission, trust, and complete decentralization. The miner responsible for verifying the transaction block protects the BTC blockchain by using computing power in the network.
In early 2020, BTC is protected by more than 11,271 full nodes.
The following figure shows the distribution of 11,271 BTC blockchain full nodes as of January 5, 2020:
The top ten is the United States, which has more than 20% of BTC full nodes.
By the way, any computer connected to the BTC network is a node. In order to be a full node, the computer must check all the rules of the BTC blockchain, including:
- A block can only produce a certain amount of BTC. Currently, each block has 12.5 BTC. After halving in May 2020, each block has 6.25 BTC.
- The BTC used by the exchange must have the correct signature.
- The transaction / block must be in the correct data format.
- In a single block, the same transaction cannot cost double.
BTC's availability exceeds 99.98% since its birth
Since its birth in January 2009, BTC has achieved 99.98% availability. This number is surprising, but it is real. In the 11 years of BTC's existence, BTC has been criticized and attacked from all sides.
Although BTC is under various attacks, it still operates normally in one block after another.
Historically, BTC has experienced two major events-the network was unable to operate for more than 6 hours. The worst incident occurred on August 15, 2010 and was called a "Value overflow incident." The incident occurred on a block with a height of 74,638, creating 184.467 billion BTC for three different addresses. Two different addresses received 92.2 billion BTC, and the block validator received 0.01 BTC.
This happens because you are unaware that if the output is too large to overflow when you run the code, the code that checks the BTC transaction will be invalid.
This incident highlights the capabilities of the BTC developer community, as it took them only a few hours to deploy a fixed version of the blockchain.
In this event, BTC could not be used for only 8 hours and 27 minutes. The new blockchain replaced the original chain on the 74691 block chain and became the BTC main chain.
BTC's hash rate exceeds 115TH / s to ensure its security
Hash rate is a measure of the computing power available on a BTC network. The stronger the computing power, the more difficult it is for a malicious person to attack the BTC blockchain.
High hash rate is an important indicator of BTC's health.
At the beginning of 2020, the hash rate of BTC reached 120TH / s, which broke the historical record.
The current hash rate exceeds the hash rate when BTC reached its historical price of $ 20,000 at the end of 2017.
Generally, an increase in hash rate heralds a rise in BTC prices in the future.
BTC's lowest annual price has risen steadily since its birth
Many people only pay attention to the annual maximum price of BTC. As a result, they were disappointed that BTC failed to exceed $ 20,000 at the end of 2017.
The lowest annual price of BTC is more telling than the highest price.
Judging from this indicator, the lowest annual price of BTC has been rising steadily since 2009.
The minimum annual price of BTC was $ 0.01 in 2010, but the minimum price rose to $ 3,350 in 2019.
Earlier this year, the price of BTC dropped to $ 6,850. This year's BTC annual minimum price may still exceed $ 6,000. This is consistent with the trends shown in the table above.
BTC is able to maintain its monetary policy at 21 million
According to the U.S. Bureau of Labor Statistics, the price of the US dollar in 2019 was 212% higher than the average price in 1980. As a result, the dollar has risen by an average of 2.96% per year over the past four decades.
The real value of the dollar has been steadily declining since 1980.
Therefore, an American with a purchasing power of $ 312 in 2019 is equivalent to a purchasing power of $ 100 in 1980.
In other words, you can buy less with the same dollar in 2019 than in 1980.
To fully understand the purchasing power loss you are experiencing, the second chart shows the evolution of $ 100 purchasing power since 1980:
As the Federal Reserve decides to continue to increase the money supply, no one can guarantee that a dollar in 2020 will always equal a dollar in 2050. In fact, if you look at what has happened over the past few decades, you will find that BTC is just the opposite.
Over the past 11 years, the maximum supply of BTC has been maintained at 21 million.
The property you own is protected by buying BTC. If you buy 1 BTC in 2020, it means that you bought one of 21 million BTC. By 2050, one of the 21 million BTCs still belongs to you.
This verifiable fact is crucial, and it makes BTC a fairer system for users.
BTC survives 379 obituaries
Over the past 11 years, leaders, economists and central bankers in many developed countries have realized that BTC poses a threat to their power and have been constantly criticizing BTC.
Since the birth of BTC, the news that BTC is about to die has been announced 379 times.
99 Bitcoins website published all obituaries about BTC.
It is worth noting that when BTC soared to $ 20,000 in 2017, news of BTC's imminent extinction continued to emerge.
No matter how the outside world criticizes BTC, the price of BTC continues to strengthen and operates normally in various blocks.
This situation will remain in 2020. Given the expected bull market in the BTC market, you should see more people using the current currency and financial system to announce obituaries about BTC.
The path Satoshi Nakamoto has taken since the establishment of BTC is truly extraordinary, as shown by the 10 key indicators introduced above.
In fact, it is impressive that BTC, which is still in its infancy, can achieve such achievements. In the next few years, the development potential of BTC is huge. After 10 years, BTC could get incredible results.
The social impact of BTC on the world has not been mentioned above. BTC is establishing a more fair system for everyone in each block, and people's acceptance of BTC is gradually increasing. Because it is the only reliable alternative to the currently flawed currency and financial system.