Bitcoin Pizza Guy's Big Deal with Bitcoin

Meet the Bitcoin Pizza Guy, a legendary figure in the world of cryptocurrency. He's the one who made the world's first known purchase of Bitcoin with real money.

In May 2010, he spent 10,000 Bitcoins on two Papa John's pizzas, a transaction worth around $25 at the time. This was a big deal for Bitcoin, as it marked one of the first times the digital currency was used to buy something tangible.

The Bitcoin Pizza Guy, whose real name is still unknown, made this historic purchase to demonstrate the value of Bitcoin. His goal was to show that Bitcoin could be used to buy everyday goods and services.

Bitcoin is a digital currency that allows for peer-to-peer transactions without the need for a central authority.

It was created in 2009 by an individual or group using the pseudonym Satoshi Nakamoto, who designed the underlying technology and protocol for the currency.

Bitcoin uses a decentralized ledger called a blockchain to record transactions, which is maintained by a network of computers around the world.

This allows for fast and secure transactions, with no need for intermediaries like banks or credit card companies.

Bitcoin is a digital currency that allows for peer-to-peer transactions without the need for intermediaries like banks. It was created in 2009 by an individual or group using the pseudonym Satoshi Nakamoto.

Bitcoin's decentralized nature means that it's not controlled by any government or institution. Transactions are recorded on a public ledger called the blockchain.

The blockchain is maintained by a network of computers around the world, each of which helps to verify and add new transactions to the ledger. This process is called mining.

Mining requires powerful computers and a lot of energy, but it's what helps to secure the network and verify transactions. Bitcoin's total supply is capped at 21 million.

A new block of transactions is added to the blockchain every 10 minutes, on average. This is what helps to keep the network running smoothly and prevents anyone from manipulating the system.

The first real-world transaction using bitcoin took place in 2010. This historic moment was made possible by Laszlo Hanyecz, a software developer who paid 10,000 bitcoins for two pizzas from Papa John's.

Those 10,000 bitcoins were worth about $30 at the time, but today they're worth over 400 million. This mind-boggling difference highlights the incredible growth and volatility of bitcoin's value.

Laszlo Hanyecz's transaction is famously known as the "bitcoin pizza guy" deal, where he paid a hefty sum for a meal that would have cost a fraction of the price in traditional currency.

Bitcoin Pizza Day is a significant milestone in the history of Bitcoin. It was first celebrated on May 18, 2010, after a British user took up an offer to buy 10,000 Bitcoins for two Papa John's pizzas.

The transaction was initiated by a man known as the Bitcoin Pizza Guy, who had a strong craving for pizza at the time. He thought it was "free pizza" and didn't regret his purchase.

May 18 is now famously known as "Bitcoin Pizza Day", and this year it celebrated its 11th anniversary of the now-famous transaction.

Bitcoin Pizza Day is a fascinating story that began with a craving for pizza. Hanyecz bought two Papa John's pizzas for 10,000 Bitcoins, a transaction that would later become historic.

This was back in 2010, and at the time, Hanyecz thought he was getting free pizza. He later revealed that he was happy to have contributed to an open-source project, even if it was unintentional.

Hanyecz is no longer active in Bitcoin's development, but his name lives on due to this famous transaction. May 18 is now known as Bitcoin Pizza Day, and it's hard to believe it's been 11 years since the transaction took place.

Bitcoin Pizza Day is a fascinating event that took place on May 22, 2010. It was the first time Bitcoin was used to purchase a real-world item.

The item purchased was two large pepperoni pizzas, which cost 10,000 Bitcoins. This was a significant amount of Bitcoin at the time.

The pizzas were bought by Laszlo Hanyecz, a programmer who wanted to test the usability of Bitcoin. He posted an ad on the Bitcoin Forum, offering 10,000 Bitcoins for two pizzas.

The pizzas were delivered to Hanyecz by a fellow forum user, who accepted the offer. This transaction marked the first time Bitcoin was used to purchase a physical item.

The value of the 10,000 Bitcoins used to buy the pizzas was approximately $25 at the time.

The Bitcoin Pizza Deal was a historic transaction that took place on May 18, 2010, marking the first time Bitcoin was used to buy a tangible good.

It was a British user who took up the offer and ordered two Papa John's pizzas to be delivered to Hanyecz's Jacksonville, Florida home.

Hanyecz had initially offered 10,000 Bitcoins for the pizzas, which was a significant amount of money at the time.

The pizzas were worth around $41, but Hanyecz was willing to trade his Bitcoins for them because, as he said, "It wasn't like Bitcoins had any value back then, so the idea of trading them for a pizza was incredibly cool."

The transaction was facilitated through a forum post on bitcointalk, where Hanyecz offered the pizzas for sale.

The deal became so famous that May 18 is now known as "Bitcoin Pizza Day", and it's celebrated as an important milestone in Bitcoin's history.

Today, the value of those pizzas would be worth around $98 million.

The deal also sparked the creation of a Twitter account, @bitcoin_pizza, which tracks the value of the pizzas and broadcasts it to over 6,000 followers every day.

Hanyecz has said that he doesn't regret his "craving-induced purchase" and is happy it was a "contributing factor" to an "open-source project".

The deal also marked the beginning of Bitcoin's transition into the tangible economy.

In 2018, the value of the pizzas reached $98,300,725, making it one of the most valuable Bitcoin transactions in history.

Hanyecz has also made a second Bitcoin pizza purchase, this time using the Lightning Network, a faster and more efficient way to make transactions.

The Lightning Network allowed Hanyecz to send the payment to the delivery driver without having to go through the slow and expensive step of mining.

The deal was facilitated through a c-lightning payment channel, which is one of the three major implementations of the Lightning Network.

Hanyecz has said that he's happy to see the Lightning Network being used for everyday transactions, making it easier for people to use Bitcoin for real-world purchases.

The deal has also shown that Bitcoin can be used for everyday transactions, and that it has real-world value.

It's a testament to the power of Bitcoin and its potential to change the way we think about money and transactions.

The Lightning Network Pizza Purchase was a significant milestone in the history of Bitcoin.

A British counterparty agreed to facilitate the transaction, accepting bitcoin via a c-lightning payment channel.

The payment took a bit more logistical wrangling than the first pizza purchase, but it got the job done.

Hanyecz showed the first and last four digits of the transaction's "preimage" to the delivery driver to prove the payment had gone through.

Note that you should not share the preimage with anyone, as Hanyecz himself warned in his forum post.

Lightning functions by allowing two counterparties to keep a payment channel open, so they can send bitcoin back and forth off the blockchain.

Either party can close a lightning channel at any time and settle the transaction on the blockchain.

Cheating is not quite impossible, but clever smart contract designs have made absconding with a channel's funds risky.