5 Features That Make Bitcoin Unique

With hedge funds, family offices, and institutional bankers adding Bitcoin to their portfolio, the cryptocurrency has finally attracted the recognition of being a unique asset class. Although this is a well-cemented fact for those in the space since Bitcoin’s early inception, this digital token is strikingly different from traditional asset classes such as real estate, stocks, and even gold.

Decentralization Of Bitcoin’s Network

The Bitcoin network is a truly decentralized financial asset because the validation process requires unanimous consensus among all of the nodes in the bitcoin network before the bitcoin block reward is created. A node is simply a computer connected to a network of other independently operated computers communicating with each other over the internet. In other words, decentralization acts as a checks and balances system before blocks are added to the chain. The decentralized bitcoin network is a core feature that makes Bitcoin unique.

Censorship Resistant

There’s a long history of unwarranted search and seizure of private property and wealth by institutions or governing bodies that retain the threat of violence or incarceration. A relatively recent example would be US President Franklin D. Roosevelt signing of Executive Order 6102 in 1933, “forbidding the hoarding of gold coin, gold bullion, and gold certificates within the continental United States.” Eminent domain rules across Europe, Canada and the United States allow the government to seize private property for public purposes under special circumstances.

Today, short of two people exchanging local fiat currency in person, there are few if any other methods of exchanging financial assets without some sort of censorship via a governing body or corporation.

One of Bitcoin’s most criticized and valued unique features is that transactions are anonymous. The only information available, which is also available to anyone with an internet connection, is the wallet address of the initiating address and where it’s intended to go. The address is completely anonymous and requires a private key, known only to the owner of the wallet.

Hard Cap Of 21 million Bitcoin