At inception, the purpose of Bitcoin was to eliminate many of the problems created by transacting through financial intermediaries, including costly fees, long processing times, and the inevitability of fraudulent transactions. Built on the foundational principles of consensus, transparency, and immutability, its increasing acceptance as a method of payment reflects changing attitudes towards traditional forms of money and incumbent financial institutions (e.g., central governments and commercial banks).
Learn more about the history and defining characteristics of Bitcoin in our report, which is part of the Building Blocks series:
1 When referring to the network, blockchain protocol, or asset class, we will use Bitcoin, with an uppercase “B”. When referring to the currency denomination, we will use bitcoin(s), with a lowercase ‘b’.
2 For more, please refer to the full Bitcoin & the Rise of Digital Gold report.
3 For more, please refer to the full Hedging Global Liquidity Risk with Bitcoin report.