Almost every member of the cryptocurrency community is familiar with the story of how in 2010 a US resident purchased a couple of pizzas for 10,000 BTC. Now that story makes us smile, and the man who then ordered pizzas for Bitcoin is called the greatest fool of the twenty-first century. If that customer had been more patient and didn’t spend the available coins, he would be a multimillionaire now. Together with ProstoCoin, let’s remember the day of this purchase – which is now known as Bitcoin Pizza Day – and consider what impact it had on the cryptocurrency industry.
At the time, the price of a pizza was approximately $20. Consequently, $40 was paid for 2 pizzas. In late spring 2010, 10,000 Bitcoins were worth $40 to $50, so the deal could be called fair.
On May 22 Laszlo reported that he bought 2 pizzas for digital coins and posted a picture. This date became a landmark for the cryptocurrency community – the man purchased a real commodity for the first time for the coins. Prior to that, bitcoins were only used in trading transactions.
Bitcoin pizza
In mid-summer 2010, the price of Bitcoin skyrocketed. In early August, 10,000 coins were worth $600. At that time, Laszlo’s offer on his website to buy food for BTC became relevant again. However, he said he was no longer planning such expenditures. At the end of fall 2010, 10,000 Bitcoins were already worth $2.6 thousand.
During the next nine years BTC only grew in price – so, the price of one coin reached $20,000. Due to this fact, those who possessed large amount of bitcoins later became millionaires. The deal to order 2 pizzas for 10,000 BTC became known as one of the most famous follies of the modern world.
In 2013, Laszlo, whose real name was Laszlo Heniec, gave an interview to The New York Times magazine. It was revealed that after the famous deal, cryptocurrency stopped being interesting to him for a while. Laszlo said that at the beginning of 2013, he sold all of his digital coins for $1 each, earning $4,000. He used the proceeds to buy several PCs and video cards. Laszlo did not plan to mine the coins, as one might think. The purchase of office equipment was due to Laszlo’s line of work – he works in the IT sphere.
When reporters asked him about the Bitcoin pizza deal, Laszlo said that his goal was to become the first person to buy physical products with coins. He said that he hadn’t believed in a successful future for BTC before, so it was easy for him to spend the coins.
Laszlo gave a comprehensive answer to the question about his motivation. He said that it was food he wanted, not a gift certificate for it. Laszlo’s logic is that if food can be purchased with Bitcoins, it means that one can live on them.
The journalist asked if Laszlo had any regrets about the money he spent in 2010, as the value of those 2 pizzas had already risen to $80,000,000. To this, Laszlo smiled and said that he preferred not to think about the purchase made in such a context.
In February 2018, news of Laszlo again appeared in the media. The enthusiast conducted a repeat experiment using the Lightning Network. The man purchased 2 pizzas for 0.00649 Bitcoin. He needed help from a friend in London for the new experiment, because it was impossible to complete the transaction without an intermediary. The deal turned out to be successful and Laszlo purchased his pizza. However, this experiment did not have such an impact on the cryptocurrency industry as the first purchase of food for Bitcoins. According to the crypto-enthusiast himself, the new experiment was staged as a tribute to Bitcoin Pizza Day.
How is Bitcoin Pizza Day celebrated in the world?
In honor of the first purchase for digital coins, the cryptocurrency community eats pizza and thanks Laszlo for his great contribution to shaping the industry. The date for Bitcoin Pizza Day is May 22. Various firms organize pizza parties for their employees on this day. There are companies that hold larger events. These include Blockchain Hub Kyiv, which for several years now invites everyone to celebrate pizza day on the banks of the Dnieper River.
Pizza Day is also known as Bitcoin Christmas. The tradition of giving each other gifts for Christmas has also passed into this holiday. For example, pizzerias from different countries reduce prices on their dishes, and cryptocurrency exchanges organize drawings for prizes for community members.