karasms.com

The Million-Dollar Slice: A Bitcoin Pizza Tale

Written on

Chapter 1: The Birth of Bitcoin Transactions

In a groundbreaking post on the BitcoinTalk forum dated May 18, 2010, the idea of ordering pizza with bitcoins was first proposed. At that time, Bitcoin was still in its infancy, having been developed for just over a year.

Laszlo Hanyecz, a computer programmer who had discovered Bitcoin early on, was an active participant in discussions on the same forum frequented by Bitcoin's mysterious creator, Satoshi Nakamoto, and notable early adopters like Hal Finney and Gavin Andresen. In his forum post, Hanyecz expressed a craving for pizza and a desire to utilize his Bitcoin holdings in a novel way. He wrote:

"I'll pay 10,000 bitcoins for a couple of pizzas... maybe two large ones, so I have some leftover for the next day. I enjoy having pizza to snack on later. You can either make the pizzas and bring them to my house or order from a delivery service, but my goal is to receive food delivered in exchange for bitcoins without needing to prepare it myself—similar to a hotel breakfast platter where they bring you food, and you're just happy with it!"

His message illustrated the lively exchanges that characterized the BitcoinTalk forum. He elaborated further, specifying his preferred toppings:

"I enjoy standard toppings like onions, peppers, sausage, mushrooms, and tomatoes—nothing too exotic. Regular cheese pizzas might be a more cost-effective option."

He concluded with an invitation for anyone interested to reach out to him to arrange a deal.

Despite his enthusiasm, there were no immediate responses. Initial comments included inquiries about his location and suggestions to sell his 10,000 bitcoins for a mere $41 on an exchange.

Bitcoin pizza transaction

The Historic Pizza Order

Days later, Hanyecz returned to the forum, triumphantly announcing that he had successfully traded 10,000 bitcoins for pizza, thanking a user named "jercos" for facilitating the exchange. Another forum member congratulated him, recognizing the significance of this milestone.

Celebrating the pizza order

Yes, Hanyecz indeed paid 10,000 bitcoins for pizza. Today, that sum translates to around $300 million!

At Bitcoin's peak value last year, that amount would have soared to nearly $700 million. However, at the time of the transaction, Bitcoin's worth was almost negligible, trading at approximately $0.0041 per bitcoin on a few niche websites.

Want more content like this? Sign up for my newsletter.

How Much Bitcoin Should You Own?

What to consider when buying bitcoin.

www.inbitcoinwetrust.net

Key Milestone in Bitcoin History

Laszlo Hanyecz set a remarkable precedent by initiating the first-ever recorded Bitcoin transaction for goods or services. Without the BitcoinTalk forum, this historic event might have gone unnoticed. Hanyecz has no regrets about his choice; this transaction paved the way for countless others that followed. Nowadays, he works at an e-commerce clothing company that accepts Bitcoin as payment.

Bitcoin Pizza Day

May 22 is now celebrated as Bitcoin Pizza Day, marking the date when Hanyecz confirmed his pizza purchase on the forum. Years later, he replicated the event, this time utilizing the Bitcoin Lightning Network, which allows for faster and cheaper transactions.

Lightning network BTC for pizza

Hanyecz and his family continue to cherish pizza, just as I do. I enjoyed pizza over the weekend, and like the original Bitcoin buyer, I'm looking forward to savoring the leftovers today in honor of that pioneering transaction.

Thanks, Laszlo!

Bitcoin's Current Landscape

If you're enjoying pizza today, you might also be monitoring Bitcoin's price, which is hovering around $30,000—an infamous long-term support level. This price point has remained consistent, even as traditional and crypto markets face turbulence in recent weeks.

US stock markets have been under pressure week after week, particularly the tech-heavy Nasdaq, as once-promising startups shed their inflated valuations. Global inflation concerns persist, and central banks are scrambling to regain control. Moreover, the ongoing conflict in Ukraine and persistent supply chain issues are impacting various sectors.

Despite these challenges, Bitcoin has demonstrated resilience. Although it has dipped below $30,000 on a couple of occasions recently, it generally bounces back around $28,000.

Conclusion: Navigating Market Volatility

The trajectory of Bitcoin in the upcoming week may hinge on how traditional markets open on Monday. I'm keeping a close eye on market trends and even made a few small Bitcoin purchases around the $29,000 mark.

Like Laszlo, I'm committed to the long-term journey in this space. Short-term fluctuations present opportunities and tests of patience. As we approach the next Bitcoin halving, such price movements are not unusual in Bitcoin's history. What stands out is the pronounced volatility, which is evident across markets. Many leading companies have relinquished gains made during the COVID pandemic, with some stocks plunging by 60% to 80% or more.

Forget about the price for a moment and grab a slice of pizza. Reflect on Laszlo and the $300 million pizza he shared with his family. Happy Bitcoin Pizza Day!

Thank you for reading! I am not a financial advisor, and this should not be construed as financial advice. All opinions expressed are my own. If you want more insights like this, consider subscribing to my weekly email.

Chapter 2: The Legacy of Bitcoin Pizza

In this video, we explore the fascinating story behind why a $12 pizza sold for $312.6 million, highlighting the significance of this unique transaction in Bitcoin's history.

This video shares the story of Preston and the pizza delivery guy, diving deeper into the impact of the first-ever Bitcoin transaction for a physical product.

Share the page:

Twitter Facebook Reddit LinkIn

-----------------------

Recent Post:

Title: Achieving 1000 Followers on Medium: My Journey and Insights

Discover how I gained 1000 followers on Medium by writing authentically and regularly, without resorting to marketing tricks.

Exploring the Integration of AI Tools: Canva and Leonardo Unite

Canva's acquisition of Leonardo.ai marks a significant step in enhancing design tools through AI, offering new opportunities for creators.

Top 10 Strategic Technology Trends to Watch in 2023

Explore Gartner's top 10 strategic technology trends for 2023, emphasizing sustainability, adaptability, and innovation for future success.