Bitcoin Explained Simply: How It Works, Who Controls It & Why It Matters

Bitcoin isn’t like the Sri Lankan Rupee or US Dollar—it’s not issued by any government or central bank. In this, we break down what Bitcoin really is, how it works, who (if anyone) controls it, and why it’s shaking up the global financial system. 

From mining and blockchain to privacy and fixed supply, we explain it all in simple terms so you can understand the future of money today.

As mentioned, unlike regular currencies like the Sri Lankan Rupee or US Dollar, Bitcoin isn’t issued by any central bank or government. 

That’s right—there’s no legally binding authority backing it. 

Bitcoin was introduced in 2009 by a mysterious person (or group) known as Satoshi Nakamoto. 

Since then, it has run on a decentralised network called the blockchain, maintained by thousands of independent computers worldwide. 

So, who’s in charge? 

No one. And that's exactly the point. 

Bitcoins are “mined” using powerful computers that solve complex mathematical puzzles. 

These puzzles verify transactions on the blockchain. 

The first miner to solve the problem gets rewarded with new Bitcoins. 

Bitcoin is not just a currency—it’s a movement. A digital rebellion against centralised control. 

Like any tool, it can be used for good or bad. 

But one thing’s clear: it’s changing the way we think about money, value, and trust. 

Bitcoin aims to solve several problems of traditional currency: 

• No middleman: You can send money directly without banks. 
• Low fees: Especially for international transfers. 
• Privacy: You don’t need to share personal info to hold a Bitcoin wallet. 
• Fixed supply: Only 21 million Bitcoins will ever exist. No inflation due to overprinting. 

Bitcoin transactions are pseudonymous, not truly anonymous. 

Wallets are identified by strings of numbers and letters—not names. 

This makes tracing harder (though not impossible) for law enforcement. 

This final Bitcoin is expected to be mined around the year 2140.



Location: Makumbura, Pannipitiya, Sri Lanka

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