Think like Satoshi Nakamoto: Connecting the dots behind Bitcoin
On Google, “Satoshi Nakamoto” is the most searched name by crypto investors and enthusiasts. He is a mysterious individual who conceals his identity in public. People are still debating whether Satoshi is a single person or a group. We thought that instead of arguing over his identity, which he had purposefully concealed, we could learn from his thinking pattern. This could lead to great inventions like ‘Bitcoin’ in the future.
I’d like to solicit Steve Jobs’ assistance here. The vast majority of people on the planet agree that Steve is a creative individual. His inventions are disruptive to the industry’s status quo. Steve once said, “Creativity is just connecting things. When you ask creative people how they did something, they feel a little guilty because they didn’t really do it, they just saw something. It seemed obvious to them”.
Satoshi, our hero, was also able to imagine something creative that others could not. Actually, he excelled at connecting dots, which is at the heart of creativity. Surprisingly, the majority of the concepts he used in Bitcoin were already available. His role was to put all of those pieces together and create a fantastic product that forever changed the face of the digital currency industry.
Let’s get started decoding Bitcoin!
Here is a list of Bitcoin’s building blocks.
- Peer to Peer Network
This concept was introduced in 1999, when Shawn Fanning, an American college student, created the P2P music file sharing system.
Satoshi used this concept when he wanted to create a decentralized system with no trusted parties. As a result, we can conclude that the P2P network concept is one dot for Satoshi.
2. Digital currency
E-gold is widely regarded as the first widely used internet currency.
Both US officials and academics have referred to e-gold as the “digital currency.” It was shut down by the US government in 2008. It prompted Satoshi to consider creating a digital currency with no central servers. Satoshi discovered his second dot from here.
Ciphers were the first to be used in cryptography, with the Caesar Cipher being the first.
Ciphers were a lot easier to unravel compared to modern cryptographic algorithms, but they both used keys and plaintext. Satoshi desired a system that was not based on trust. It should instead be based on cryptographic proof. He discovered another dot from here.
Finally, the revolutionary technology has arrived. Satoshi was inspired and popularized blockchain technology based on the works of Stuart Haber, W. Scott Stornetta, and Dave Bayer. Using this new technology, visionary Satoshi was able to solve the double spending problem without the use of a trusted authority or central server.
Satoshi was able to piece together the puzzle in an extraordinary way to create a great product. He was able to connect the dots and solve a problem at the same time. In addition to his creativity and thinking, he spent around a year and a half in coding. His perseverance and ability to connect the dots in creatively enabled him achieve unrivaled fame. Would you be the next game changer?
What Is Cryptography? | Symmetric | Asymmetric | Hashing | Encryption Consulting. (2020, September 23). Encryption Consulting | Encryption Consulting. https://www.encryptionconsulting.com/education-center/what-is-cryptography/.
P2P | Definition, Examples, & Facts. (n.d.). Encyclopedia Britannica. https://www.britannica.com/technology/P2P.
Digital Currency — Wikipedia. (2018, October 1). Digital currency — Wikipedia. https://en.wikipedia.org/wiki/Digital_currency#:~:text=e%2Dgold%20was%20the%20first,vending%20machines%20using%20mobile%20payments..
Champagne, P. (2014). The Book of Satoshi.