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Supporters of cryptocurrency all over the world are celebrating the fact that today is the 12th anniversary of the Bitcoin white paper, which is a summary of the invention created by the pseudonymous inventor Satoshi Nakamoto. The inventor of Bitcoin published this paper on the “cryptography mailing list” of metzdowd.com, and the financial world has been different since then.
Twelve years ago, Satoshi Nakamoto decided to let Bitcoin enter the world, a peer-to-peer electronic cash system sweeping the world. Satoshi Nakamoto first published the paper on metzdowd.com at 2:10 pm Eastern Standard Time. We don’t know much about the inventor of Bitcoin, and until today, the identity of the anonymous creator is still unknown. However, we do know that Satoshi Nakamoto is a legendary genius, who can be a person or even a group of people.
The inventor of Bitcoin specifically chose to publish the “Bitcoin P2P Electronic Cash Paper” on metzdowd.com, mainly due to the cryptography mailing list, which is a pipeline mail messaging service operated by a group of visionaries and cryptographic experts.
Since the 1990s, cypherpunk has been trying to create a reliable digital currency, and several experiments have been circulating in messaging services, such as Wei Dai’s b money. We also know that before the publication of the famous white paper, Satoshi Nakamoto had written a code base for Bitcoin.
Then on October 31, 2008, just before Halloween, Satoshi wrote:
I have been working on a new type of electronic cash system that is fully equivalent and has no trusted third parties.
The system created by Satoshi Nakamoto has produced a huge anti-economy worth nearly 400 billion U.S. dollars, only in the market value of all more than 7,000 cryptocurrencies. Since the paper was first introduced, it has been cited 12,425 times and has been mentioned in thousands of articles in the past 12 years. Minus the citations of the paper, the length of the Bitcoin white paper is 3,457 words and consists of 16,686 characters (not including arithmetic operators).
At the end of this article, Satoshi Nakamoto used the word “we” and emphasized that this article is a proposal to describe an electronic transaction system that “does not rely on trust.”
We start with the usual framework of coins made with digital signatures, which provides strong control over ownership, but it is incomplete without a way to prevent double spending. To solve this problem, we propose a peer-to-peer network that uses proof-of-work to record the public history of transactions. If honest nodes control most of the CPU power, it is computationally difficult for an attacker to change the record. It’s fast becoming impractical.
Satoshi Nakamoto then referred to the network as an “unstructured simple robust network.” Of course, when Satoshi released the white paper, no one knew that the anonymous author literally proposed the first feasible solution to the Byzantine Generals problem.
The creator of Bitcoin knew about the infamous Byzantine Generals problem. This problem that has plagued computer scientists for decades has been formally resolved. Satoshi Nakamoto detailed this fact in some of the earliest messages to the community.
Among all the mysterious clues about the identity of Satoshi Nakamoto, this paper is one of the most concise economic papers ever written. The white paper is so delicately made that many people think it might have been written by someone else, rather than an online character who communicated with it until December 2010.
In addition to speculation, the paper also gives a clear definition of the network and is considered a must-read for every cryptocurrency newb that joins the anti-economic system.
For some reason, on the eve of Halloween, Nakamoto was eager to tell the world that an “electronic payment system based on password proof rather than trust” was needed. Accordingly, this will allow “any two willing parties to transact directly with each other without the need for a trusted third party.” With central banks making money out of thin air, demand has never been clearer.
What do you think of Satoshi Nakamoto’s Bitcoin white paper issued 12 years ago? Let us know your thoughts on this topic in the comments section below.
Picture Credits: Shutterstock, Pixabay, Wiki Commons, Bitcoin white paper,
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