Since we know that fiat money is controlled by governments and banks, the next question is who controls bitcoin. There is no authority to do. For example, if Alice pays Bob 1 Bitcoin, what actually happens on the blockchain is that Alice transfers her permission to spend 1 Bitcoin to Bob. Remember that in a cryptocurrency, we can't send funds directly between people, but we send funds to addresses.
This means that the “owner” of a cryptocurrency is anyone who controls the address. In addition, to control an address, you must know the initial phrase: a 12-word password that is unique to each address. Cryptocurrencies don't exist in physical form (like paper money) and are generally not issued by a central authority. Cryptocurrencies often use decentralized control rather than a central bank digital currency (CBDC).
When a cryptocurrency is minted or created before it is issued or issued by a single issuer, it is generally considered centralized. When implemented with decentralized control, each cryptocurrency works through distributed ledger technology, usually a blockchain, which serves as a database for public financial transactions. Traditional asset classes, such as currencies, commodities and stocks, as well as macroeconomic factors, have modest exposure to the profitability of cryptocurrencies. If anything has highlighted the human species, it is its need to maintain control.
Feeling empowered to control the things around us gives us power and peace of mind. It's basic and we've all experienced it. But that nature is broken in Bitcoin, since it's a decentralized system. Ordered with mathematics, but without legal control.
This means that there is no one who controls Bitcoin as such, since what really determines its control is a purely digital code, a software, something intangible. This at least in its operation, and it is something that we can hardly change. In other words, Bitcoin is a digital currency and, as such, being digital and decentralized, it escapes the absolute control that an individual or group of people may try to impose. By ensuring that verifying transactions is an expensive business, the integrity of the network can be preserved as long as benevolent nodes control most of the computing power.
That way, if someone was trying to control the system for their own benefit, the rest of the community could override that action simply by taking the code to follow another path. Now you can understand that Bitcoin is not controlled by anyone, but that it always seeks balance between all its actors. However, despite this, despite decentralized development, Bitcoin does not escape attempts by individuals, or very specific groups of individuals, to control it. However, Bitcoin developers maintain control of Bitcoin's development, but are always under the eyes of the community.
The power of the community is enormous, especially since the community is the one that consumes, the one that participates in the markets and the one that, in the end, forms most of the market dynamics, and that is an enormous power of control. Everyone wants to control the situation, whether that situation is against or in their interests. This says a lot about the enormous power that exchanges have to control the value of cryptocurrencies, since they help a currency reach more people. Individual coin ownership records are stored in a digital ledger, which is a computerized database that uses strong cryptography to protect transaction records, control the creation of additional coins, and verify the transfer of ownership of the coins.
