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Celebrating $250 million pizza order
Every year, May 22 marks the anniversary of when a Florida man paid for two pizzas in the first Bitcoin transaction. The day has become legendary, not so much because it marked the first commercial use of bitcoin, but because of the value of Bitcoin in the years that followed. For the two pizzas the man in question paid 10,000 bitcoins which, as of September 11, 2023, are worth over 250 million dollars.
On May 22, 2010, now known as “Bitcoin Pizza Day,” Florida man Laszlo Hanyecz agreed to pay 10,000 bitcoins for the delivery of two Papa John’s pizzas. On the Bitcoin Talk forum, Hanyecz asked for help. “I will pay 10,000 bitcoins for a couple of pizzas… maybe two large ones so I have some left over for the next day,” Hanyecz wrote.
“I like to have leftover pizza to munch on later. You can make the pizza yourself and bring it home or order it from a delivery point, but my goal is to receive the food in exchange for bitcoin without having to order or prepare it myself, a bit like ordering a ‘breakfast dish’ in a hotel or something, they just bring you something to eat and you’re happy!”
An Englishman accepted Hanyecz’s offer and bought the two pizzas from him in exchange for 10,000 bitcoins. Even then, the recipient of the bitcoins got a bargain, paying $25 for the pizzas, while 10,000 bitcoins were then worth about $41.
Since that purchase, Hanyeczs’ pizzas have become much more expensive. Nine months after the purchase, Bitcoin reached parity with the US dollar, making the two pizzas worth $10,000. In 2015, the fifth anniversary of Bitcoin Pizza Day, the two pizzas were valued at $2.4 million. On May 22, 2023, Bitcoin was worth just over $26,850, making pizzas worth… you get the point.
Despite the massive increase in the price of Bitcoin, Hanyecz says he is not phasing out his deal. “Bitcoins had no value at the time, so the idea of exchanging them for a pizza was incredibly interesting,” Hanyecz said.
What was the highest price of Bitcoin?
In September 2023, Bitcoin reached its all-time high in November 2021, surpassing $65,000 per bitcoin.
What type of transactions is Bitcoin primarily used for?
Bitcoin is mainly used for digital transactions. This includes e-commerce purchases, peer-to-peer transfers and cross-border payments. Additionally, it is used for international transactions and, increasingly, for banking by those who do not have access to traditional financial institutions. Among these transactions, however, include those linked to illicit activities, such as dark web trades.
What is the average number of Bitcoin transactions per day?
In 2023, there are an average of nearly 500,000 Bitcoin transactions per day within the blockchain, a significant increase compared to previous years. This surge reflects the growing adoption and use of Bitcoin for digital transactions around the world.
The bottom line
The value of Bitcoin has increased significantly since the first Bitcoin Pizza Day, demonstrating the cryptocurrency’s impressive growth since its early days, when its value was fungible for no more than a couple of pizzas. The rise in value of Bitcoin is a testament to its growing acceptance and use in digital transactions around the world. However, Bitcoin has been highly volatile. Its price can fluctuate rapidly, potentially leading to major gains and significant losses. Therefore, although Bitcoin’s growth trajectory attracts investors, caution and informed decision-making are key when investing in this cryptocurrency due to its high risk.