Reflection on the Genesis Block and Bitcoin’s 14th Birthday

OpinionExactly 14 years after Bitcoin was born through the Genesis block, Proof of Keys Day helps us remember why the protocol was invented and where we are today.Author:NamciosPublish date:Jan 3, 2023Exactly 14 years after Bitcoin was born through the Genesis block, Proof of Keys Day helps us remember why the protocol was invented and where we are today.14 years ago today, Satoshi Nakamoto created the first block in the Bitcoin blockchain. That move, whether conscious or not, sparked a whole movement that continues to grow and expand over the years. Since the Genesis block was mined, the singularity of Nakamoto’s creation has been displayed countless times. Today, it is clearer than ever that Bitcoin is the reason d’?tre. “Chancellor on the brink of the second bailout to banks.” This simple message is powerful. The engraving serves as an anchor to Bitcoin’s physical world. It is an attestment to Bitcoin’s date of birth. The message is a kind of manifesto from the beginning, but it’s more important and philosophically significant. It is clear that the block that ignited the system takes a stand against central bank policies that promote easy money culture. Instead, Bitcoin would seek to restore accountability, and antifragility by establishing a monetary system that is based on sound money. It cannot be debased, controlled, manipulated, or manufactured to the advantage of a few. Bitcoin would aim to level the playing field and guarantee property rights to all people, regardless of their race, religion, gender, or nationality. Bitcoin, powered by a distributed network that runs the protocol’s software, and as such enforces its rules, would allow individuals to take control of their finances once and for all. However, as the years passed, more Bitcoin-related activity started to drift to centralized institutions. Initially, it was for buying and selling, but later, for custody and today, for a wide range of services that were unimaginable back in the days Nakamoto’s day. While this allowed for greater participation from people all over the world, the original ideals of Bitcoin are now being neglected. True peer-to-peer electronic money cannot be realized in a custodial system where funds are only updated on a central database. This reality is closer to the traditional financial system Nakamoto tried to reform. It doesn’t allow for true peer-to-peer electronic cash to be realized in a custodial model where funds are only updated on a centralized database. Proof of Keys Day is also celebrated on January 3. It was founded by Trace Mayer who encouraged people to withdraw their bitcoins en masse from central exchanges and custodians. Why? The reason? People can only have bitcoin in their possession, which is held by a wallet to whom they control the keys. This allows them to do whatever they want with their BTC. Self-custody can be done in many ways. While it can seem daunting at first it is a necessary step to make the transition from the old system to the new. These “keys” are the private keys to a particular Bitcoin wallet. These keys can be viewed as the wallet’s “unlock” key, which “unlocks” the wallet. It also holds the bitcoin for spending. The keys are required to spend bitcoin. This is because the sender “locks down” bitcoin transactions with information about the receiver when they are being made. This transacting dynamic, which uses asymmetric cryptography to ensure that only the recipient of the bitcoin can spend it the next time, is possible because of asymmetric cryptography. The receiver’s private keys make this possible. As long as the receiver takes care of their private keys, they will be able to spend bitcoin regardless of what government, institution, or agency may think or do. You can only move the bitcoin that you have created by holding it in a wallet that you create. A third-party custodian holds your Bitcoin for you. They create a wallet and give you the address to deposit. However, they also control the wallet’s private keys which are often inaccessible. To move your bitcoin, you will need to ask permission. Although this request is automatically made, it is still required to move your funds. This is often done by sending a “withdrawal request”, which you send to your exchange. This Proof of Keys Day is designed to increase awareness and encourage people to take control over their finances once and forever. It also aims to make the transition from the traditional financial system to the decentralized, Bitcoin-based financial system. Proof of Keys Day Anniversary Self Custodygenesis block

 

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