Bitcoin and the Diffusion Theory

 People can be classified into five groups based on how innovative they are and where they fall on the innovation adoption timeline. As stated below, the five categories are "Innovators," "Early Adopters," "Early Majority," "Late Majority," and "Laggards." According to the data, Bitcoin is currently in the "Innovators" phase, with early evidence of an "Early Adopters" phase.

Bitcoin is a cryptocurrency that originated in 2008 as a currency that is completely decentralized and works on a Proof-of-Work model. This means that the currency relies on separate entities to calculate bitcoins transactions in exchange for actual bitcoin. This process is called Crypto-mining and had become exceedingly popular in the past couple of years, bringing a lot of awareness to crypto currencies as a whole, but specifically Bitcoin.

We are getting into the early adopter's phase as crypto has started working its way into the investing community and catching the eye of many large countries. It will be interesting to see how many countries decide to handle cryptocurrencies through taxation or regulations within their respective countries. A major positive of cryptocurrencies is because they are very hard to trace transactions and provide a certain level of anonymity.