The secret is out. Australian entrepreneur Craig Steven Wright is Satoshi Nakamoto, the creator of Bitcoin. Wright has admitted to three of the world’s leading media houses – BBC, GQ and Economist – that he is indeed the creator of the digital currency that took the world by storm upon its first release in 2008.
Who is Wright?
Wright is the founder of crypto-currency company DeMorgan Ltd and cybersecurity and computer forensics company Panopticrypt Pty Ltd.
He is a computer scientists who has previously worked in for OzEmail, K-Mart and the Australian Securities Exchange. He was formerly the CEO of technology firm Hotwire Preemptive Intelligence Group.
To prove that he is indeed the real Nakamoto, Wright showed blocks used to send 10 Bitcoins to Hal Finney, the cryptographer who helped Wright create Bitcoin, in January 2009.
Even Gavin Andresen, the chief scientist at Bitcoin foundation, backed Wright’s claim.
But even though Wright has placed everything before the public for verification, many doubt his claim including the Economist itself.
What is Bitcoin?
Simply put, Bitcoin is a crypto-currency or virtual currency with which trading is possible online in a peer-to-peer network.
Bitcoins are digital and do not act as physical money. Yet they are money and are used for transactions like in the real world.
Though there is no regulatory authority, transactions using Bitcoins are recorded on a digital ledger. The ledger acts like a Central Bank where every transaction and the amount of Bitcoins stored are written.
Like coins generated in a mint, the Bitcoins are generated through a process called “mining” where users solve mathematical problems and get rewarded with new Bitcoins. The more the “miners”, the lesser will be the Bitcoins generated because of a protocol that limits the number of Bitcoins generated.
Though Bitcoin is not illegal per se, there is a debate over its legality. Since there is no regulatory authority to monitor Bitcoins, some governments do not allow transactions in it.
Who is Satoshi Nakamoto?
Nakamoto was a pseudonym adopted by Wright to keep his identity a secret. But that Wright is Nakamoto was revealed in December 2015 by Gizmodo and Wired.
By the way, there is also a real Nakamoto. Dorian Satoshi Nakamoto is a Japanese-American who was initially believed to be the creator of Bitcoin due to his academic and professional backgrounds.