Brief history of cryptocurrencies
Some proposals to generate value based on other instruments that were not known until a few years ago, such as Fiats, stocks, etc., had been exposed since the 1960s, with the passing of the years and different technological developments, Satoshi Nakamoto proposes a cryptocurrency called bitcoin. Technically, it is the union of several technologies that were already sufficiently developed and Satoshi managed to unite them in a project called Bitcoin: an electronic cash system, a payment instrument. Bitcoin in its initial stages was adopted by a group of nerds and took its big step when the first commercial transaction was made when it was used to buy or exchange for a pizza.
Bitcoin, as an instrument of value, since its beginning to this date has gone through several stages, however the most important thing is that today there is no doubt about the value it may have. Let’s remember that initially everyone was wondering how a crypto code could have value or could be exchanged for something. Nowadays nobody asks that question, it is simply accepted as a reality. Especially in the new generations, the value and use of bitcoin and other cryptocurrencies is taken for granted.
Once the bitcoin took value, this day to day was increased according to its purchasing power and the reference value for the conversion to the Fiats currencies or other cryptocurrencies. Other crypto instruments designed not to be a cryptocurrency, also took value, in some cases important values for a long period of time and in other cases temporarily.
The first exchange houses that allowed to exchange bitcoins for Fiat currencies made possible the massification of cryptocurrencies and managed to lose the fear of cryptocurrencies as an investment, beginning to generate click here a parallel and alternative system to the traditional financial system. This new panorama makes the traditional financial system act under threat of being displaced, which is why nowadays it has taken over the universe of cryptocurrencies and especially bitcoin, being the largest investor of all startups that are related to the world of bitcoin, cryptocurrencies and blockchains.
The aforementioned ideas raises the question whether, at present, is there a fundamental difference between the value of fiat currencies and cryptocurrencies?. These values are based on the trust and/or credibility that the holder has in the fiat currency or in the cryptocurrency.
To clarify what has been said previously, we are referring to value, not to the technological components or institutions that support one or the other model, that is, between the traditional financial system with its Fiats instruments and the technologies that support Cryptocurrencies.