Why is bitcoin special?

[pooya87]

What is it about bitcoin that makes it so valuable? I see all of those other coins that have a lot of utility and practical use when compared to bitcoin,

What are those utilities, can you name some of them and have you even used any of these supposedly more utilities yourself ever before?

You see it is not enough to say the shitcoin provides a utility, that utility has to be needed and be used. For example I could create a shittoken and claim that if you buy it, the token would cure cancer. But that doesn't mean it does provide that utility!

According to what I've learned, it has extremely slow transaction speeds and higher transaction fees than other coins.

Your sources were misleading. In fact bitcoin has the fastest and cheapest transactions in existence even compared to traditional payment systems including your bank.

What you have to first realize is that "confirmation" is a measure of irreversibility of a money transferred not just an arbitrary number. With that clarified you can easily see that bitcoin has the fastest transactions because on average each bitcoin block takes 10 minutes to be found and 1 confirmation is providing a huge amount of security.
Compared with traditional payment systems, they usually become irreversible after months! That is already millions of times slower than bitcoin.
Compared with altcoins since they don't have nearly the same security as bitcoin, specially shitcoins that have mutable blockchains like ETH and BCH, they are never secure and best case scenario is to have thousands of confirmation that would take days and you may still not be nearly as safe as having 1 confirmation on your bitcoin transaction.

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[Lucius]

~snip~
Compared with altcoins since they don't have nearly the same security as bitcoin, specially shitcoins that have mutable blockchains like ETH and BCH, they are never secure and best case scenario is to have thousands of confirmation that would take days and you may still not be nearly as safe as having 1 confirmation on your bitcoin transaction.

I know I read an article a long time ago about how much confirmation is actually needed to make a transaction secure when it comes to some altcoins, and I have to admit that it was only then that I realized how secure Bitcoin is in that regard. For one of the oldest and most popular altcoins (D), one of the most famous crypto exchanges requires as many as 60 confirmations - so although I don't know how time consuming it is, it speaks volumes about network insecurity compared to the BTC blockchain.

However, it is not realistic to expect the average cryptocurrency investor to understand some technical things, although without understanding them, people ask questions like OP.

[hosseinimr93]

I know I read an article a long time ago about how much confirmation is actually needed to make a transaction secure when it comes to some altcoins, and I have to admit that it was only then that I realized how secure Bitcoin is in that regard...............

Right. Considering this fact, bitcoin is actually the fastest cryptocurrency.

There's a website showing number of required confirmations for altcoins to be equivalent to 6 confirmations of bitcoin.
For example, according to howmanyconfs.com, an ethereum transaction requires 661 confirmations to be equivalent to a bitcoin transaction with 6 confirmations.

[Munir575]

I'm new to cryptocurrency and am still learning everything I can about it. What is it about bitcoin that makes it so valuable? I see all of those other coins that have a lot of utility and practical use when compared to bitcoin, but they don't have the market cap. According to what I've learned, it has extremely slow transaction speeds and higher transaction fees than other coins. It's doesn't appear to stand out from the crowd, yet bitcoin remains number one, is there something I'm missing here? I looked online but couldn't find anything that answered my question. Thanks

Bitcoin is special because it is the first digital currency that is secure, decentralized, and, most importantly, functional as money. Bitcoin was not the first attempt, but thanks to blockchain technology, Satoshi was able to solve the double spend problem.

Although Bitcoin is fantastic, nothing is perfect. Be cautious of KYC and custodial wallets (not your keys not your bitcoins). Also, never reveal your private key to anyone it is strictly confidential. Because of how easily it can be tracked, how slow the network has become when sending small amounts thanks Blockstream, and the fees that have become prohibitively expensive for simple transactions it is no longer cash.

[Z-tight]

Although Bitcoin is fantastic, nothing is perfect. Be cautious of KYC and custodial wallets (not your keys not your bitcoins).

There is nothing 'bitcoinish' about custodial or exchange wallets, like you know they are centralized and controlled by an entity, so they have nothing to do with bitcoin directly, it is just a third party service running its or their business, if you lose money to them, it is not caused by bitcoin, but yourself. Bitcoin as a system takes pride in user control and decentralization, so if you aren't using a wallet that you own the keys to, then you do not own bitcoins, and you are not a part of the btc network.

[darkangel11]

Without bitcoin there wouldn't be altcoins.

Bitcoin is not just one of many cryptocurrencies. It's the one all laws were made for. It's the one that got accepted as legal tender, the one that made people talk about blockchain technology, the one that first altcoins like LTC were try to mimic.

Have you noticed that when bitcoin loses value most altcoins do the same but when an altcoin dies it rarely affects other coins? The whole market depends on the success of bitcoin. If it gets banned somewhere the market reacts like all cryptocurrencies were banned and when it gets accepted it's like all coins were accepted.

There's a lot of talk about the "alt season", do you know why? It's because when bitcoin peaks in value people have enough money and are so euphoric that they're ready to diversify some of their profits. Bitcoin always comes first.

[GeorgeJohn]

Bitcoin is the first, oldest, decentralized, immutable, deflationary, and has finite supply which also increases scarcity.  Meanwhile, quite the opposite is happening with fiat- centralized, infinite supply, & inflationary.

also in addition Bitcoin is very secretive and independable from other digital currencies.i believe that people queue up to the it's adoption, it's because of the tendency of having the liberty of operational system, which no body control or monitor it regulations, other digital asset is centralized why Bitcoin is decentralized.

[dansus021]

okay the simple version what make bitcoin is so special is community who belived in it decetralized and privacy and many more offcourse dont forget about bitcoin is mother of crypto that drive all many blockchain technology. is like tesla make electric vehicle at first their company start so many right now follow

[pooya87]

For one of the oldest and most popular altcoins (D), one of the most famous crypto exchanges requires as many as 60 confirmations

You should keep in mind that this value (although an indication of lack of security of altcoins) is not the most accurate. That's because the exchange has to come up with a number that serves multiple purposes:
- provides them with some security
- compete with other exchanges so that their users don't switch to the other place
- doesn't take longer than the trader would normally wait without complaining

I would also like to clarify that for certain altcoins without an immutable blockchain (basically any altcoin that has reversed blocks or can do it easily due to centralization) the minimum number of confirmation is infinity! meaning they are never 100% safe regardless of how many confirmations your tx has.

[Lucius]

@hosseinimr93, It's amazing how insecure altcoin transactions are, although for most it seems to be faster and cheaper than Bitcoin transactions. It would be good for those who support the idea of switching Bitcoin to POS to think a little about what a step backwards it would be.


@pooya87, you are right, (D) actually needs x20 times more confirmation for the transaction to be considered somewhat secure, and in that regard, it is not clear to me why so many crypto payment gateways accept payment with such types of cryptocurrencies? I have never paid a larger amount in anything other than Bitcoin, but if I were to pay a larger amount in altcoin that needs several thousand confirmations, it means I would have to wait a few days or maybe weeks to make sure there would be no manipulation...

[Cryptoababe]

Bitcoin is the No 1 cryptocurreny.. Probably without it, No other coins will exist by now.
So, its the real code.. Others are just duplicate and edited code. So, it should remain the number 1.

[Wakate]

I'm new to cryptocurrency and am still learning everything I can about it. What is it about bitcoin that makes it so valuable? I see all of those other coins that have a lot of utility and practical use when compared to bitcoin, but they don't have the market cap. According to what I've learned, it has extremely slow transaction speeds and higher transaction fees than other coins. It's doesn't appear to stand out from the crowd, yet bitcoin remains number one, is there something I'm missing here? I looked online but couldn't find anything that answered my question. Thanks

Bitcoin is a unique project which is very different from most of the crypto projects we can find in the market. Bitcoin was the first digital currency to emerge creating and avenue for other similar projects like Ethereum, BitcoinCash etc to explore the cryptocurrency market without any baise. Other project that we see now in the crypto market are just a mimic of what Bitcoin is with better upgrades. Even Bitcoin had lesser speed compared to other coins in the . market, it is still  more volatile than them with better move.

[Hypnosis00]

Bitcoin becomes special because we treat and think that it is special.
Well, that might be because we value Bitcoin more than Ethereum, more than altcoins which is literally what we see in the community. Yet, Bitcoin has been made to amaze people and to let people know that cryptocurrency is a way possible to adapt in the future and become a legal tender worldwide. It thought Bitcoin is special because no other project was created like Bitcoin, and nobody does as people are too aware of it.

 * investment
 * number 1 crypto current used

People had chosen Bitcoin on top of all cryptocurrencies as they see a huge potential in all aspects.

[Zilon]

I see all of those other coins that have a lot of utility and practical use when compared to bitcoin, but they don't have the market cap. According to what I've learned, it has extremely slow transaction speeds and higher transaction fees than other coins. It's doesn't appear to stand out from the crowd, yet bitcoin remains number one, is there something I'm missing here? I looked online but couldn't find anything that answered my question. Thanks

First of all Bitcoin is the first crypto currency project to provide privacy through a decentralized method. It has provided an alternative source of spending and doing transaction and this time without a third party interference. Transaction fees can be lowered if you are not in a hurry which means the transaction will get confirmed in a later block. Higher transaction fee result in transaction been confirmed quickly this is just a way of rewarding miners who carry out this confirmations. Bitcoin remains number one because it doesn't only stand as an alternative to fiat it is also a store of value. What i think you are missing is the fact that Bitcoin remains the safest crypto currency to invest in

[Welsh]

I can't, but help feel like a lot of users are missing the point here. I do admit, Bitcoin will have different use cases, and therefore different opinions on what's important. However, for me why I see not only why Bitcoin will be successful in the long term, but why it's required:

First, Bitcoin allows you to control your wealth, without relying on a third party, but still be able to spend it globally. This is groundbreaking. Some users touched upon it by saying decentralised, but go get into the nitty, and gritty details: Fiat can't be used globally, without relying on a bank or payment processor to handle your money. I.e, to use Ebay, you need a Paypal account, Paypal requires your credit card, which in return requires you to have a bank. That means, you need to have money deposited into a bank, which you no longer control, and likely give permission to that bank to gamble with your money. There's no guarantee you won't lose that money. Although, there are protection schemes in place, in certain countries which cover you up to like £85k or something like that. However, that's only for certain circumstances. Bitcoin, removes that need for a middle man, and a payment processor. You store your Bitcoin, you control the security, and you decide what you can, and can't purchase with it. This can be done globally, the only thing that competes with this level of control is cash, if you keep cash in hand, and not stored in a bank. However, the convenience of moving cash on a global level or even long distances within your own country, can be rather limiting. Bitcoin solves this problem.

Secondly, tackling the inflation problem. In fiat, you're guaranteed to get poorer. I can guarantee you that in the long term. In Bitcoin, it's deflationary by design, and thus smarter to use in the long term. However, that's not only it, Bitcoin can be scaled in the future, by using denominations, whereas fiat you've to keep printing off money or alternatively come up with a million different coins of the denominations.

Thirdly, Bitcoin has come at the right time. The world is converting to digital money, and Bitcoin has hit the nail on the head, by becoming somewhat known to everyone out there, during the time of this transmission. Thus, converting to a cryptocurrency (which does have its differences to digital money) becomes easier, and by doing so, people are securing their future in a much more robust technology, than the current implementations of digital money will give you.

Finally, I won't go into any more because I could legitimately be here all night describing you the benefits of Bitcoin. Anyway, finally you have the freedom that no other alternative provides, and I touched upon this earlier. You can use your Bitcoin where ever, whenever, and instantly.  

This is without talking about things like the transparency due to the blockchain, chargebacks, security, privacy, which are all important factors to consider. However, I felt others talked about this enough not to include. PRIVACY is massive, though. If you don't care about it now, you'll probably be regretting that in the future.

[hatshepsut93]

Those other coins don't have utility, they have marketing teams and hired shills (bounty hunters) that create an illusion that a coin has technical merit. In reality it's always the same - they have faster confirmation times and can process more transactions because they are centralized, which defeats the whole point of cryptocurrency. Smart contracts don't add utility to a coin, because they have no practical use in real world, and it's also not a good idea to have your monetary system also act as a cloud computer.

[PrivacyG]

First, Bitcoin allows you to control your wealth, without relying on a third party, but still be able to spend it globally.

This!  You can be your own bank.  Everyone seems to forget this specific detail and it drives me nuts.  It is not even about inflation as much.  Not even about privacy or whatever.  You get access to FREE global banking without having to be accepted by a specific party.  You are just part of the system and nobody can kick you out or freeze your coins.  You can flee your country and all you need is 12 words properly hidden and no X-Ray and other super advanced tech will be able to find out you have Bitcoin on you.  Nobody on chain questions your transaction.  Nobody can say 'no' to you giving your kid a million right now.  Nobody can do anything about it because you are F R E E.

I can go to the bank right now and say I want to transfer ten grand.  Can I do this seamlessly?  No, I can not because I will have to explain and provide documents for my bank to even contemplate accepting my transaction as an event.  Say I want to have access to banking but do not agree with bank agreements so I can realistically not have a bank account unless I kneel.  Bitcoin gives me access with nothing but 12 words and a software wallet.  This is insanity.

Why does almost everyone seem to get buried into details like speed, its investment value and so on and so forth?  Just the fact that it brings freedom is insane enough for it to never die and forever be special.

-
Regards,
PrivacyG

[pooya87]

Why does almost everyone seem to get buried into details like speed, its investment value and so on and so forth?

The reason is being bombarded by advertisement.

When they create a new useless shitcoin they have to find a way to sell it to newbies. So they start bombarding them with a lot of fake information starting with creating imaginary problems such as "bitcoin is slow" then they pretend that their shitcoin is solving that imaginary problem "faster shitcoin", that way they encourage the newbie into buying that shitcoin thinking it has some innovation that could bring its price up from $0.0000001 to bitcoin price levels giving the newbie a lot of profit!

Eventually you see the community is filled with a lot of intermediate users who are still concerned with those fake problems.

[Daniel91]

I think bitcoin was special because it gave ordinary, average people without a lot of money, knowledge or skills, the opportunity to earn some more money and achieve financial freedom regardless of the state or banks.
On that side, bitcoin has really been unique in history and the question is when something like this will happen again.
Of course, many people who got involved in this story 10, 7, 5 or less years ago, didn’t have enough patience to wait with bitcoin sales and didn’t take advantage of this unique opportunity.
With the advent of many new cryptocurrencies and various crypto projects, it is obvious that bitcoin is losing its uniqueness.

[Victorik]

Bitcoin is important because when it comes to cryptocurrency, BTC is the Pathfinder. The very first coin.
Besides this, BTC is the only fully decentralized coin. BTC is also the most secured coin, it is very difficult going around the security of BTC. This makes it very valuable.