Bitcoin faucet is a website where users can get a small amount of Bitcoin just for completing tasks. They are called “faucets” because the prizes are small, like the water drops to drip from leaky faucets. A free Bitcoin faucet means the user is sent a small amount of free or earned Bitcoin to the user’s wallet. Users must carefully click on links, watch product videos, take quizzes, and watch advertisements to receive Bitcoin.
How Free Bitcoin Faucet Was Invented
One of the most notable people in Bitcoin history is Gavin Andresen. Satoshi Nakamoto, the enigmatic creator of Bitcoin, stated in 2010 that Andresen would oversee network development following his departure. Andresen, a Princeton University alumnus, later founded the nonprofit Bitcoin Foundation. He still has many concerns about the cryptocurrency industry today.
The cryptocurrency will start circulating once people have access to Bitcoins and the means to keep coming back daily for more. The first cryptocurrency exchanges were called crypto faucets. Five BTC were given as payment for completing a simple captcha on Andresen’s first free Bitcoin faucet. Andresen first loaded 1,100 BTC of his money into the site to fund it, distributing 19,700 BTC.
Bitcoin’s early success depended on individuals helping the cryptocurrency succeed so that they could profit afterwards. There have been many more after Andresen’s faucet. The majority of faucets, however, only give out one Satoshi (one hundred millionth of a Bitcoin) each day, not the maximum number of BTC that Andresen does. One of the initial issues identified is that it is difficult for newcomers to break into the market, and free Bitcoin faucets will make it easier for them to do so.
The Need For Free Bitcoin Faucet
Only a few people had heard of cryptocurrencies during the first few years following the launch of Bitcoin in 2009. There were no chances for business because the modern cryptocurrency exchanges weren’t yet available, and people couldn’t afford their coins because businesses didn’t accept Bitcoin as payment.
People who believed in Bitcoin were free to cling to their money, hoping that the virtual currency would one day appreciate. Many users of free Bitcoin faucets let their profits build up gradually before withdrawing them in full to their cryptocurrency wallets. When Bitcoin reached its value in December 2017, five BTC taken from Andresen’s free Bitcoin faucet were worth $100,000. Now in 2022 that value is even higher.
Free Bitcoin faucets are still valuable today despite the rise in popularity of cryptocurrencies; rewards vary depending on the price of bitcoin at any particular moment.
Why Free Bitcoin Faucet Was Invented
One aspect of the distinctiveness of digital assets is this property. To prevent abuse by spammers, bots, and hackers, free Bitcoin faucets were initially created with a cap on the number of withdrawals made to a particular address for information processing. The strength of cryptocurrencies, or their capacity to be broken into several smaller units, is best utilised by crypto faucets.
Despite their growing popularity, cryptocurrencies are still relatively new to many worldwide and are not yet completely dominant. Giving free cryptocurrency to those looking to learn about and invest in digital assets is the reason behind the free Bitcoin faucet. The creator of Bitcoin, Satoshi Nakamoto, is honoured by the name of this unit of currency. A Satoshi is equal to 0.00000001 BTC (Bitcoin). Here are some other key reasons for the invention of a free Bitcoin faucet.
1. To Create Awareness About Bitcoin
Free Bitcoin faucets have been active for more than ten years, which may surprise you. Gavin Andresen created a free Bitcoin faucet to raise awareness about Bitcoin years after Satoshi Nakamoto introduced the digital currency. These faucets were created and designed to give five free Bitcoins for each completed task.
2. Limited Access To Crypto Exchanges
Before the free Bitcoin faucet was created, buying or selling cryptocurrency had been challenging. There weren’t many sites and exchanges where you could easily buy large amounts of BTC and other cryptocurrencies. Therefore, bitcoin faucets were used to give away small sums of bitcoins without asking users to buy to promote it and pique their curiosity.
3. Promote Making Passive Income
Many Bitcoin users now make more money by creating their crypto faucets. Usually, owners add a specific quantity of BTC to the crypto wallet they have connected to their faucet website or app. As long as these proprietors make more money from ads than charging consumers, they will develop passive financial gain from them.