When Did Crypto Start?

A look at the history of cryptocurrency and how it has evolved since its inception.

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Cryptocurrency is a digital or virtual asset designed to work as a medium of exchange. It uses cryptography to secure its transactions, to control the creation of new units, and to verify the transfer of assets. Cryptocurrencies are decentralized and distributed ledgers that are validated by a network of nodes, instead of a central authority. Bitcoin, the first and most well-known cryptocurrency, was created in 2009.

Pre-History: Origins of Cryptography

One could say that the history of cryptography starts with the history of writing, as early as 2000 BCE. In those days, cryptography was used to protect military and state secrets, as well as personal messages. In more recent times, cryptography has been used for a variety of purposes, including authentication, data confidentiality, and data integrity.

Ancient Times

Cryptography, or crypto, is the practice of secure communication in the presence of third parties. Its original purpose was to ensure secrecy in communications, such as military messages and diplomatic correspondence. Today, cryptography is used in a wide variety of applications, from email and file sharing to blockchain technology.

Cryptography is a relatively young science; its origins can be traced back to ancient times. One of the earliest known examples comes from an Egyptian document known as the Rhind Papyrus, which dates back to 1650 BCE. This papyrus includes a list of ciphers, or codes, that were used to encrypt messages.

In ancient Greece, Julius Caesar used a simple substitution cipher to encode his military messages. This cipher replaced each letter of the alphabet with another letter that was three places down the alphabet. For example, the letter A would be replaced with D, B with E, and so on. Caesar’s cipher is still used today; it’s known as the Caesar Cipher or theShift Cipher.

The first known use of cryptography for commercial purposes dates back to 1809, when Francis Franklin used a cipher to send stock market information between London and Paris. In 1863, Antonio Meucci invented a device called the telephone scrambler, which was used to secure telephone conversations from eavesdropping.

During World War II, cryptography played a vital role in ensuring military intelligence was kept secret from the enemy. The German Enigma cipher machine was one of the most famous cryptographic devices of the war; it was used by Nazi Germany to encrypt communications between its military commanders. The Enigma machine was finally cracked by British mathematician Alan Turing in 1939; this breakthrough helped Allied forces defeat Germany in the war.

The Middle Ages

During the Middle Ages, there was a growing need for secrecy in communications, especially for military and diplomatic purposes. One of the earliest known methods for encryption was the Caesar cipher, which was used by Julius Caesar to encrypt messages sent to his generals. The Caesar cipher is a simple substitution cipher in which each letter of the plaintext is replaced by a letter shifted a certain number of places up or down the alphabet. For example, if the shift is 3, then A would be replaced by D, B would become E, and so on.

Other substitution ciphers were also developed during this time period, including the Atbash cipher (which was used by Jewish scholars) and the Vigenere cipher (which was used by Leonardo da Vinci).

The Renaissance

Cryptography started many centuries ago. One of the earliest known uses of cryptography is from Julius Caesar, who used what is now known as the Caesar Cipher to encode military messages (see figure 1). This shift cipher is extremely simple and easy to break, but for its time it was quite effective. Off-the-shelf frequency analysis techniques can break this cipher quite easily, but Julius Caesar’s contemporaries would not have had access to such techniques.

In the Middle Ages, cryptography was used extensively by diplomats and others in royal courts for communications between far-flung locations. In the 14th century, the Arab world used a cipher known as the Al-Kamogea Cipher for diplomatic correspondence. This cipher used a series of concentric circles which could be rotated to encode messages (see figure 2). The Al-Kamogea Cipher was also broken relatively easily using off-the-shelf frequency analysis techniques, but again, this would not have been known to the cipher’s contemporaries.

The Birth of Modern Cryptography

The birth of cryptography can be traced back to Ancient Egypt. Cryptography is the practice of secure communication in the presence of third parties. In its earliest form, cryptography was used to protect military information.

The 18th Century

The first known use of cryptography was by Julius Caesar, who used it in his private correspondence. When a message is encrypted, it is transformed into a code that can be read only by someone who knows the secret to decrypting it. In the case of Caesar’s cipher, each letter in the message is replaced by the letter that is three places further down in the alphabet. So, for example, A would become D and B would become E.

Cryptography became more sophisticated in the Middle Ages with the development of ciphers like the polyalphabetic cipher, which used multiple alphabets to make decoding more difficult. The first polyalphabetic cipher was developed by Leon Battista Alberti, an Italian polymath, in 1467.

Cryptography became even more important in the 18th century with the development of the Enigma machine by German engineer Arthur Scherbius. The Enigma machine was a mechanical way of encrypting messages that was used by the German military during World War II. The Enigma machine worked by scrambing the letters in a message so that they could not be deciphered without knowing the secret settings of the machine.

The 19th Century

The first known use of encryption was by Julius Caesar, who used it to protect military messages. However, the first example of modern cryptography is believed to be the work of Muhammad ibn Muhammad al-Khwarizmi, a 9th-century scholar from Persia. He developed a technique called frequency analysis, which is still used today.

In the 19th century, cryptography became increasingly sophisticated. In 1854, Charles Wheatstone and Samuel Morse developed the telegraph, which used Morse code to send messages. During the American Civil War (1861-1865), both sides used cryptography to send secret messages. In 1868, Étienne Bézout published La Cryptographie Militaire, which described a number of different cipher techniques.

In 1877, Edwin Hamilton devised a system called nomenclators, which assigned code names to people and places. This system was later used by the British during World War I (1914-1918). In 1897, Arthur Scherbius developed the Enigma machine, which allowed messages to be enciphered automatically. This machine was later used by the Germans during World War II (1939-1945).

The 20th Century

In the early days of the20th century, cryptography was dominated by the invention of mechanical devices. The first such device was the Enigma machine, used by Germany during World War II. This machine used a series of rotating disks to encode messages.


In conclusion, crypto started in 2008 with the launch of Bitcoin. Since then, it has evolved into a booming industry with a wide variety of applications. From financial institutions to online retailers, crypto is slowly but surely becoming mainstream.

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