How Two Papa John’s Pizzas Became a $1B Bitcoin Mistake

Programmer Laszlo Hanyecz’s purchase of two Papa John’s pizzas for 10,000 Bitcoin in 2010 has become legendary in the crypto world.

At today’s market price of $95,230 per Bitcoin, those pizzas now cost over $952 million, making the transaction a poignant reminder of Bitcoin’s extraordinary rise in value. Hanyecz’s purchase, regarded as the first commercial Bitcoin transaction, remains a milestone in cryptocurrency history.

In a 2019 interview with CBS’ 60 Minutes, Hanyecz reflected on the event, saying, “I Just posted on the Forum. I said, ‘You know, if anybody’s interested, I’m offering 10,000 Bitcoin in exchange for some pizza.’ Somebody there said, ‘Hey, I’ll take you up on that offer,’ so I sent him the 10,000 Bitcoin. He paid with his credit card, and the pizza showed up at my door.”

Though the transaction demonstrated Bitcoin’s utility as a medium of exchange, its historical significance has grown as the value of Bitcoin skyrocketed, turning the purchase into a meme and a focal point of discussion in the crypto community.

Over the years, the opportunity cost of the 10,000 BTC has grown exponentially. By 2016, their value had reached $4.4 million. Two years later, during Pizza Day 2018, their worth surged to $41 million.

In 2020, the price of Bitcoin drove that figure above $80 million, and by Pizza Day 2022, it had climbed to over $300 million. Although the bear market of 2023 saw this figure decline to around $268 million, predictions of a Bitcoin price reaching $180,000 by 2025 could push the value of the 10,000 BTC to nearly $2 billion.

Bitcoin Pizza Day, celebrated every May 22, symbolizes Bitcoin’s journey from an obscure digital currency to a global financial phenomenon. While Hanyecz’s transaction might seem like a costly mistake today, it marked a pivotal moment in Bitcoin’s history and helped pave the way for its use in the real world.

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