As the crypto market faces a selling bout, a statement by Bitcoin’s mysterious creator, Satoshi Nakamoto, has resurfaced, capturing the crypto community’s attention. Shared by Bitcoin historian Pete Rizzo, the statement highlights the concept of scarcity, which has remained key to Bitcoin’s value proposition.
Rizzo wrote while sharing the historical statement on X: “Satoshi Nakamoto on the scarcity of Bitcoin at $0, exactly 15 years ago. Only 21 million.”
✨ Satoshi Nakamoto on the scarcity of #Bitcoin at $0, exactly 15 years ago
Only 21 million 🚀 pic.twitter.com/FByWtfQVyv
— The Bitcoin Historian (@pete_rizzo_) December 9, 2024
The statement made by the Bitcoin founder reads thus: “(lost) coins can never be recovered. Since the effective circulation is reduced, all the remaining coins are worth slightly more, its the opposite of when a government prints money.”
The statement dates back 15 years, believed to have been made on Dec. 10, 2009, when Bitcoin was worth $0, yet Satoshi foresaw the profound economic implications of a limited supply. The distinct nature of Bitcoin’s hard cap of 21 million coins draws from this concept of scarcity, and this differentiates Bitcoin from traditional fiat currencies that can be endlessly printed.
As Bitcoin’s price faces pressure from a broader market sell-off, Satoshi’s statement remains relevant. The fixed supply remains a key driver of Bitcoin’s value, ensuring that its scarcity is preserved regardless of short-term price fluctuations.
Bitcoin price dips
Bitcoin (BTC) fell to a low of $94,220 on Tuesday as prices tumbled sharply across the crypto market. According to CoinGlass data, the fall resulted in the liquidation of almost $1.57 billion in cryptocurrency positions.
Bitcoin hit a record high of $104,000 on Coinbase on Dec. 5 but has struggled to stay above the six-figure barrier since. Bitcoin traded at $97,905, down 0.28% in the last 24 hours.
According to CryptoQuant, the current market sell-off has elicited a strong response from institutional investors. As panic-selling occurs, mostly on platforms like Binance, with a higher number of small investors, U.S. institutional investors are embracing the opportunity to buy aggressively on exchanges like Coinbase.
Amid the sell-off, Nakamoto’s early statements about scarcity and value resonate more than ever.
