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Bitcoin Pizza Day and the astounding story behind it

Bitcoin Pizza Day and the astounding story behind it

Bitcoin Pizza Day and the astounding story behind it
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By CNBCTV18.com Apr 7, 2022 2:48:28 PM IST (Published)

On May 17, 2010, Laszlo Hanyecz thought of using his bitcoins to buy pizza. At the time, Bitcoin was trading for a fraction of a dollar, and 10,000 BTC amounted to a mere $41. While some thought Hanyecz was trying to score a free meal, others were keen on finding out how things transpired. Read on to know what happened.

When Satoshi Nakamoto conceptualized Bitcoin as a peer-to-peer (P2P) payments system, the creator hoped to replace fiat currency transactions with more secure and decentralized cryptocurrency transactions. Little did he know that two years later, a computer programmer based out of Florida would try using Bitcoin as a mode of payment for pizza and create history!

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On May 17, 2010, Laszlo Hanyecz thought of using his bitcoins to buy pizza and ended up shelling out a surreal amount of money in the process. “I’ll pay 10,000 bitcoins for a couple of pizzas…like maybe 2 large ones so I have some leftover for the next day. I like having leftover pizza to nibble on later,” he wrote on a Bitcoin forum. “If you’re interested, please let me know and we can work out a deal,” he concluded.
At the time, Bitcoin was trading for a fraction of a dollar, and 10,000 BTC amounted to a mere $41. While some thought Hanyecz was trying to score a free meal, others were keen on finding out how things transpired. “10,000... That's quite a bit.. you could sell those on https://www.bitcoinmarket.com/ for $41USD right now…good luck on getting your free pizza,” responded a user.
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Unaware of the potential of the Bitcoin blockchain at the time, Hanyecz casually replied saying, “I just think it would be interesting if I could say that I paid for a pizza in bitcoins.” Some users even agreed to take up the offer but hailed from different countries and were unsure how the payment would reach the pizza maker.
Nonetheless, on May 22, 2010, Hanyecz put up another post declaring that his deal had gone through and the transaction of 10,000 BTC was completed.
“I just want to report that I successfully traded 10,000 bitcoins for pizza. Pictures: http://heliacal.net/~solar/bitcoin/pizza/”, he posted. It was undoubtedly a milestone reached at the time, but it went on to become the most expensive pizza ever ordered in the history of mankind.
Bitcoin quickly appreciated in value, and the 10,000 BTC was worth $600 by August 2010. Hanyecz came back to the thread to post, “Well I didn’t expect this to be so popular, but I can’t really afford to keep doing it since I can’t generate thousands of coins a day anymore. Thanks to everyone who bought me pizza already but I’m kind of holding off on doing any more of these for now.”
The same 10,000 BTC touched $2,600 by November 2010. It then shot up to $18,000 by April 2011 and is worth $434.83 million today. Further, if we were to use Bitcoin’s all-time high price of ~$69,000 from November 2021, the 2 pizzas would be worth an astonishing $690 million! Therefore, since then, May 22 has taken its place in the history books as “Bitcoin Pizza Day.”
Of course, at that time, nobody expected the world’s first cryptocurrency to appreciate in value at such an unbelievable rate, especially Hanyecz. If he held onto his BTC and paid for the pizzas with fiat currency instead, he would be a millionaire today. But then again, he wouldn’t have his name etched in history!
Presently Bitcoin is trading at $43,535.79, down by 4.16 percent in the last 24 hours. Its market capitalization stands at $827.4 billion, which is 41.2 percent of the global market cap of all cryptocurrencies
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