Origin of the Hobby
Geocaching got its start in 2000, when fine resolution restrictions on what GPS signals could be received were removed; before this, civilian GPS units were reliable to a distance of around 10 to 15 feet. When selective availability restrictions were removed, handset receivers were accurate down to distances of under a foot. The very first Geocaching challenge was created by Dave Ulmer of Oregon, who posted the coordinates of a plastic bucket with several objects of interest on a USENET newsgroup on May 3, 2000. It was first visited on May 8. A memorial plaque is now at those coordinates.
Spread of Hobby
Geocaching has been intertwined with the Internet since its inception, and was originally notable as being one of the few Internet-driven hobbies that required that you leave your computer. Very early on, there was a fan-produced Website listing all of the Geocaching coordinates posted on USENET. Within six months of this initial site, a database-driven website was put up that put all the coordinates in a more easily searchable format. Within a month of the database-driven site went live, Geocaching was mentioned on Slashdot and "The New York Times," and the hobby's participation rate exploded.
Hide, Seek and Swap
To play the sport of geocaching, you go to a geocaching registration site, enter your Postal ZIP Code, and find a set of coordinates. From those, you use your handheld GPS device to find where the cache is; most caches are camouflaged to make spotting them a challenge when you get to the right coordinates. A typical cache has a logbook in a water-tight container, and usually a collection of trinkets, put there by prior visitors. The sport's guidelines say you should snap photos of the cache area, and swap an item you brought for an item in the cache of equal or greater monetary value.
Needed Equipment
To participate in geocaching as a hobby, you will need a GPS receiver ̵1; or something with similar precision, such as a cellphone capable of doing cell tower triangulation. You will also need sturdy hiking boots, and will want to have a backpack with some snacks and some water. Basic safety precautions for any kind of hiking activity apply: Tell someone where you're going, tell them when you expect to return, and bring a whistle to signal for help if you get injured in a way that immobilizes you.