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The story behind the $700 million in BTC spent on a dinner
It’s Bitcoin Pizza Day: The Story Behind the $700 Million in BTC Spent on a Dinner Party
Every year on May 22, the cryptocurrency community remembers and marvels at how one man paid for a pizza with bitcoin. While at first glance the story may seem benign and uninteresting, the details are completely shocking and have undoubtedly led to regret for some of those involved.
On May 22, 2010, Florida resident Laszlo Hanyecz posted on the bitcoin Talk forum, “Pizza for bitcoin?” The post stated that Laszlo would be willing to pay “10,000 bitcoins for a couple of pizzas… maybe two large ones so I’ll have some left over for the next day.”
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A British man accepted Laszlo’s offer and sent his two pizzas to Papa John’s in exchange for 10,000 bitcoins. The man who bought the pizzas received $41 in bitcoin and only had to pay $25.
Obviously, the 10,000 bitcoins have appreciated well beyond the $41 they were worth that day in 2010. At current prices they are worth over $700 million, enough to buy more than two pizzas.
Laszlo continued 60 minutes in 2019 to discuss the transaction, saying he “thought it would be really cool if I could say, ‘Hey, I just traded this, you know, open-source Internet money for a real-world asset.'”
He also talked about bitcoin Pizza Day, noting that “it’s really nice to have a holiday in my honor. Many cryptocurrency enthusiasts around the world celebrate this day every year as it marks the first time bitcoin has truly added value to its users.
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The story has also become a legend in the crypto community, as it shows the two main aspects of bitcoin: a form of payment and a store of value. Coinbase used the story to create commercials showing these points. In a recent ad publishedCoinbase shows how halvings affected the price of bitcoin, using pizza as a means of explanation.
The announcement shows that in 2012, one bitcoin was worth one pizza; in 2016, one bitcoin was worth a stack of pizzas and in 2024, one bitcoin was worth a stack of pizzas. The ad almost certainly took inspiration from Laszlo’s story, showing how bitcoin halvings have reduced future supply, which can help increase the value of a bitcoin and buy more and more pizza.
So, every year on May 22, the crypto community serves a pizza toast to Laszlo Hanyecz, one of the first to use bitcoin as intended. This kicked off a series of events that caused the price of 10,000 bitcoins to rise from $41 to over $700 million.
The story continues
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This article It’s Bitcoin Pizza Day: The Story Behind the $700 Million in BTC Spent on a Dinner Party originally appeared on Benzinga.com
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