As one of the first to frequent the in-person "cypherpunk" meetings organized by Timothy May, Eric Hughes and others in the 1990s, Szabo poured himself into the topic of digital privacy, though his interests were much more wide ranging.

Beginning in the early 1990s, he developed the concept for "smart contracts" that became ubiquitous in the blockchain technology space. His proposal for a decentralized digital currency, bit gold, has been seen as laying critical groundwork for Bitcoin, including through its use of cryptographic puzzles.

His writing on countless complex subjects has been referenced by academics and historians alike. His 2002 essay "Shelling Out: The Origins of Money," in which he describes how using money has been embedded in the very DNA of humanity, has shaped the way many understand Bitcoin today.