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When the Bitcoin Conference happened in May 2025, it coincided with a meeting with clients who asked, “What is Bitcoin?”
The first Bitcoin Conference was held in NYC many years ago, and now there are several each year around the world, reflecting how cryptocurrency is a global force attracting significant investment and attention.
Bitcoin is a decentralized digital currency that was invented in 2008 by an unknown person or group of people using the name Satoshi Nakamoto. It was introduced as open-source software in 2009. Unlike traditional currencies issued by governments (fiat currencies), Bitcoin — while not an actual coin like a nickel or a quarter — operates on a peer-to-peer network that allows users to send and receive payments without the need for a central authority.
The units of cryptocurrency are created through a process called mining. Mining is the process of validating cryptocurrency transactions and creating new units of cryptocurrency. The mining process uses powerful computer hardware and software to solve complex mathematical problems that generate coins.
And guess where you keep your crypto coins? In your digital wallet, of course. A digital wallet (crypto wallet) is a tool that allows users to store, send, and receive cryptocurrencies. It doesn’t hold the coins themselves but stores the private keys that control access to the coins on the blockchain.
Why do people love Bitcoin and crypto?
• Decentralization: Bitcoin is not controlled by any central authority (no single person, government, or company), making it resistant to censorship and interference. Instead, control is spread across a global network of computers (called nodes), which all follow the same rules to verify and record transactions.
• Transparency: Cryptocurrency transactions are recorded on a public ledger called the blockchain. Blockchain technology also came to light in 2008 (Bitcoin: A Peer-to-Peer Electronic Cash System, Satoshi Nakamoto) and is used globally in many businesses because of its efficiency, transparency, and security. Transactions on a blockchain are secured through cryptography.
• Global Transactions: Bitcoin enables quick and low-cost international transactions without the need for traditional banking systems—eliminating currency exchanges and associated fees.
Downsides to Bitcoin
• Volatile and illiquid markets because these are speculative investments.
• They are unregulated and are susceptible to fraud and anti-money laundering concerns
• Cryptocurrency comes with security risk. Ownership of a given crypto asset is established by controlling a password, or “private key.” If that password is lost or stolen, the related crypto asset is lost forever; meaning your investment is gone.
• Environmental impact. Mining consumes massive amounts of electricity
Besides Bitcoin (BTC), there are thousands of other cryptocurrencies — often called “altcoins” (alternative coins) — each with unique features and use cases. At this time, Bitcoin remains the dominant store of value.
Ethereum (ETH) has the strongest case to challenge Bitcoin in the long term due to its broad developer base, real-world use cases (NFTs, DeFi), and transition to proof-of-stake (energy efficiency). Ethereum is consistently the number two cryptocurrency by market cap and is seen as the foundation of Web3 due to its programmable blockchain.
As interest in cryptocurrency continues to grow, events like the Bitcoin Conference serve as both barometers and catalysts for innovation and adoption. Whether you’re a curious newcomer or an experienced investor, understanding the fundamentals of Bitcoin and its role in the evolving financial landscape is essential. From decentralization to digital wallets and blockchain technology, cryptocurrency is more than just a buzzword — it’s a global force reshaping how value is stored, transferred, and imagined.
Bronwyn L. Martin is a Financial Advisor and Chartered Financial Consultant with Martin’s Financial Consulting Group, a financial wealth advisory practice of Ameriprise Financial Services LLC in Kennett Square, and Havre de Grace, Md. She specializes in fee-based financial planning and asset management strategies and has been in practice for 25 years. To contact her: www.ameripriseadvisors.com/bronwyn.x.martin.
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