1. What is the smallest unit of Bitcoin called, and how many of these units make up one Bitcoin?
(Answer: Satoshi, 100 million Satoshis make up 1 Bitcoin.)
2. What is the total fixed supply of Bitcoin, and how is this number mathematically derived?
(Answer: 21 million, derived from the block reward halving every 210,000 blocks, starting at 50 BTC.)
3. What was the name of the cryptographic mailing list where Satoshi Nakamoto first announced Bitcoin?
(Answer: The Metzdowd Cryptography Mailing List.)
4. What is the average block time for Bitcoin, and why is it important?
(Answer: 10 minutes, balancing transaction processing speed with network security and decentralization.)
5. In 2010, a little over a year after Bitcoin launched, for the first time in history, Bitcoin was used as a medium of exchange to actually purchase goods and services. To help you out, the screen name of the Bitcoin buyer is Laszlo Hanyecz, but what item did he purchase? What did he buy, and how many did he purchase?
(Answer: Laszlo Hanyecz purchased two pizzas for 10,000 Bitcoin on May 22, 2010 (Bitcoin Pizza Day).)
6. What unique feature differentiates Bitcoin’s Proof-of-Work consensus mechanism from Proof-of-Stake?
(Answer: Proof-of-Work requires miners to expend computational energy to solve cryptographic puzzles, unlike Proof-of-Stake.)
7. What’s the name of the publicly traded corporation in the US that has the largest amount of Bitcoin in its corporate treasury? Also, you must be able to name its current CEO.
(Answer: MicroStrategy; CEO Michael Saylor.)
8. What was the first nation-state in the world to adopt Bitcoin as legal tender in 2021? You get an extra point if you can name the president of this country.
(Answer: El Salvador; President Nayib Bukele (pron Boo-Kay-Lay).)
9. What is the primary purpose of Bitcoin’s difficulty adjustment, and how often does it occur?
(Answer: Ensures the average block time remains ~10 minutes regardless of changes in network hash rate; occurs every 2,016 blocks (~two weeks).)
10. Bitcoin first launched in 2009, and just four years later, in 2013, it made global headlines protecting Bitcoin holders against government confiscation of wealth during an economic crisis. What country was undergoing a banking and economic meltdown, with its central bank and government announcing a policy to confiscate up to 47.5% of deposits over 100,000? Bitcoin owners were unaffected, and it made global headlines.
(Answer: Cyprus; during the 2013 Cyprus banking crisis.)
If you’d like to learn from the videos and articles I’m writing called Bitcoin for Financial Advisors, then click here to join TheMarkofMastery.com (it’s free!). You’ll receive my weekly digest of new videos and articles (opt out at any time).