Bitcoin is a form of digital money created in 2009 by an anonymous person or group using the name Satoshi Nakamoto. It enables peer-to-peer transactions without the need for a central authority, like a bank. Instead, Bitcoin relies on a decentralized network of computers that validate and record transactions on a public ledger called the blockchain.

The total supply of Bitcoin is capped at 21 million coins, making it scarce. Users can buy, sell, or trade Bitcoin, and its value is determined by market demand. Transactions are secured through cryptography, ensuring safety and preventing fraud. Bitcoins can be stored in digital wallets, which can be software-based or hardware devices.

The process of creating new Bitcoins is called mining, where powerful computers solve complex mathematical problems to earn new coins and verify transactions. Bitcoin has gained popularity as both a medium of exchange and a store of value, often referred to as “digital gold.” Its impact on finance and technology continues to grow, leading to innovations in payment systems and investments.