The Bitcoin Whitepaper is a document written by the mysterious Satoshi Nakamoto, the creator of Bitcoin. Released in 2008, it remains one of the most important documents in cryptography and distributed ledger technology. It is a detailed explanation of how Bitcoin works, from its cryptographic foundations to its consensus algorithm and economic features.
The document proposed the solution to the double-spending problem, which describes the ability for someone to spend digital currencies more than once. To solve this, Nakamoto proposed an approach using digital signatures within a proof-of-work consensus.
This would form the basis for a decentralized and immutable ledger. This system would later become known as the blockchain. The whitepaper explains the technical features of Bitcoin as the timestamp servers to secure an electronic system without relying on trust.
This whitepaper shows the advantages of Bitcoin. Compared to the traditional banking system, transactions are trustless and pseudonymous as well as fast. The network is secured because of its distributed nature and cryptographic foundations.
This document serves as a living witness to what many consider to be a revolution in digital currency and the financial system.