Bitcoin (BTC)
The first and most valuable decentralized digital currency, created by Satoshi Nakamoto in 2009.
What is Bitcoin?
Bitcoin (abbreviation: BTC; sign: ₿) is the first decentralized cryptocurrency or digital asset, invented in 2008 by an unknown entity under the pseudonym Satoshi Nakamoto and launched in 2009 as open-source software. It operates on a peer-to-peer network where computers (nodes) maintain a public distributed ledger called a blockchain to record transactions without central oversight.
Bitcoin enables encrypted, peer-to-peer transactions without needing a central bank or third-party involvement, making it a digital currency for secure, direct value transfer worldwide. Its value has grown significantly since inception, from fractions of a penny in 2010 to over $110,000 in 2025, driven by adoption as a store of value and medium of exchange. Demand from retail investors, traditional financial institutions, and institutional investors seeking portfolio diversification and inflation hedge has driven this growth.
Spot Bitcoin ETFs, approved by the U.S. SEC in January 2024, are exchange-traded funds that directly hold Bitcoin, tracking its spot price in real-time. They provide investors with regulated exposure to Bitcoin without direct ownership, with major players like BlackRock’s IBIT and Grayscale’s GBTC managing billions in assets, enhancing accessibility and liquidity.
Related Terms
Concentrated Liquidity (Uniswap)
Uniswap concentrated liquidity is a feature of Uniswap V3 that allows liquidity providers to allocate capital within specific price ranges of a token pair, increasing capital efficiency and potential returns compared to traditional AMM models.
Token Standard: ERC20, ERC721
Blockchain-defined standards that ensure consistency, interoperability, and functionality for tokens, with ERC20 for fungible and ERC721 for non-fungible tokens.
Skin in the Game (Prediction Market)
The financial or reputational stake participants commit to in a prediction market, aligning their actions with true beliefs.
Slashing
A penalty mechanism in Ethereum’s proof-of-stake (PoS) consensus where a validator’s staked ETH is partially or fully deducted for violating network rules.
Same Activity Same Risk Same Regulation (Hong Kong)
Hong Kong's regulatory principle ensuring uniform oversight for financial activities with equivalent risks, applied to stablecoin issuance under the Stablecoins Ordinance effective August 2025.
Gas (Ethereum)
A unit measuring the computational effort required to execute transactions or smart contracts on Ethereum.