This document provides an overview of the bitcoin industry. It begins with definitions of bitcoin and descriptions of key actors like miners, wallets, and exchanges. It then discusses the bitcoin network as a chain of blocks secured by miners and stored on nodes across a decentralized network. The document covers bitcoin's price history and growth of altcoins. It also addresses security issues like hackers targeting exchanges and recommends storing most bitcoin on hardware wallets for protection.

1. TABLE OF CONTENTS
▸ Industry Overview
▸ The Bitcoin Network
▸ Security

2. INDUSTRY
OVERVIEW

3. WHAT IS BITCOIN
▸ Bitcoin is an innovative payment network and a new kind of
money.
▸ Bitcoin white paper was published late 2008 by Satoshi Nakamoto.
▸ We do not know his real identity, he disappeared from the internet
since then.
▸ The network was launched early 2009 and has been working for
the past 9 years without major interruption.
▸ Bitcoin is a cryptocurrency and worldwide payment system. It is the
first decentralized digital currency, as the system works without a
central bank or single administrator.
▸ There will ever be only 21 millions bitcoin created. As of January
2018 ~16.7 millions are out.

4. INDUSTRY ACTORS
▸ Miners: secure the different blockchains by competing to
create new blocks.
▸ Wallets: Both software and hardware (this is where we
operate).
▸ Exchange platforms: Allow user to trade between crypto
currencies (BTC, ETH…) and Fiat money (USD, EUR, CNY…).
▸ ICO projects: Raise funds to start new “innovative” ventures.
▸ Media/News: Because of the trading and volatility of the
crypto currencies, users are constantly looking for news to
find the next hot thing.

5. BITCOIN PRICE
▸ Bitcoin has proven to be the best investment of our lifetime
▸ Left is linear scale, right is logarithmical

6. ALTCOINS
▸ There are thousands of projects coming out now providing
endless opportunities to make/lose money.

7. KEY NUMBERS
▸ As of January 25th 2018:
▸ Bitcoin Price: $11300 / Market Cap: $192 Billion
▸ Crypto Currencies listed on https://coinmarketcap.com/:
1491
▸ Total Industry Market Cap: $560 Billion

8. THE INDUSTRY GROWTH
▸ https://media.coindesk.com/uploads/
research/state-of-blockchain/2017/q3/
sob2017q3.pdf
▸ The industry is growing rapidly
▸ In both prices and usage

9. ICO VS VC
▸ The international aspect of the
industry favors Crowdfunding
▸ The preferred way to raise money is
ICO over Venture Capital.
▸ Q4 2017 and Q1 2018 saw this trend
getting even stronger.

10. USER ANALYSIS
▸ The average crypto currencies user is
a millennial male
▸ Most people start with bitcoin
▸ Most people own multiple crypto
currencies
▸ The $ amount of crypto currencies
owned per user is increasing

11. THE BITCOIN
NETWORK

12. A CHAIN OF BLOCKS／⼀一条由区块组成的“链条”
▸ With Bitcoin, a new block appear every 10 minutes
▸ ⽐比特币的区块链⽹网络中，每10分钟产⽣生⼀一个新的区块
BLOCK 11
ALICE > 4 > BOB
ALICE > 3 > OLIVER
BLOCK 12
BOB > 1 > OLIVER
Oliver > 0.5 > Alex
Bob > 1 > Guy
BLOCK 12
BOB > 1 > OLIVER
BLOCK 13
OLIVER > 0.5 > ALEX
BOB > 1 > GUY
…

13. A DISTRIBUTED DATABASE／分布式数据库
▸ Each nodes has a full copy of the blockchain
▸ Nodes only relay valid transactions and blocks
▸ There are lots of copies, hosted by competing entities
▸ 每个节点具有区块链的完整副本
▸ 节点只能中继有效的交易易和区块
▸ 整个⽹网络中存在很多副本，由多个竞争实体托管

14. A NETWORK OF NODES／由节点组成的⽹网络
▸ A node is a computer connected to the
internet
▸ A node has a full copy of the blockchain
▸ Nodes are connected to each others to
relay transactions and blocks
▸ 节点是连接到互联⽹网的⼀一台计算机
▸ 节点具有区块链的完整副本
▸ 节点彼此连接以中继交易易和区块

15. THE IDEA OF DECENTRALIZATION／概念-去中⼼心化
‣There is no central server, no central
entity, no one to sue, no one to arrest
‣Decentralization means the network
operates on a user-to-user (or peer-
to-peer) basis
‣ 没有中央服务器器，没有中央实体；没
有⼈人会被起诉，也没有⼈人会被捕
‣ 去中⼼心化意味着⽹网络以⽤用户对⽤用户（或
对等）为基础进⾏行行操作

16. SECURITY

17. HACKERS AND BITCOIN ⿊黑客偏爱⽐比特币
▸ When a hacker hacks a database or anything of value, he
needs to find someone to sell it to. Like a competitor
website, phishing, spam emails, another hacker…
▸ Hack > Find a buyer > Negotiate the price > Find a secure
payment channel > Get paid
▸ None of that with bitcoin, the key itself is money
▸ There are no 3rd parties to find. Lots less risk, much faster to
get paid
▸ Apparition of ransomwares, biggest to date: wannacry
‣ https://trends.google.com/trends/explore?date=today%205-y&q=bitcoin%20hack

18. EXCHANGES 交易易平台
▸ Exchanges make the perfect target for
hackers
▸ Even though they use hot / cold wallets
▸ Even though they use multi signature
wallets
▸ Rogue employee (inside job) / Shutdown
▸ https://www.coindesk.com/mt-gox-loses-340-million-bitcoin-rumoured-insolvent/
▸ https://www.coindesk.com/poloniex-loses-12-3-bitcoins-latest-bitcoin-exchange-hack/
▸ https://www.coindesk.com/gatecoin-2-million-bitcoin-ether-security-breach/
▸ https://www.coindesk.com/bitfinex-shuts-down-customer-bitcoin-stolen/
▸ https://www.coindesk.com/bitstamp-claims-roughly-19000-btc-lost-hot-wallet-hack/
▸ https://www.coindesk.com/bter-bitcoin-stolen-cold-wallet-hack/
▸ Only keep a small part of your
bitcoins on exchanges
▸ Withdraw them when you are done
trading

19. HARDWARE WALLETS 硬件钱包
▸ Offline (Avoid malware / key loggers)
▸ Have Offline backup (Avoid losing password)
▸ Double check system (Clipboard tamper proof)
▸ Convenient to use (Can receive/send in 2mn or less)

20. SECURITY CHEATSHEET
▸ Everybody wants your bitcoins
▸ Only keep a small part of your
bitcoins on exchanges
▸ Withdraw them when you are done
trading
▸ Always use different passwords, use
2FA
▸ Use open source wallets
▸ Keep your wallet backup offline on a
piece of paper
▸ Buy a hardware wallet if you have
20,000 CNY worth or more in bitcoin
(coinwallet.taobao.com)
▸ Keep most of your bitcoins on your
hardware wallet
▸ 所有⼈人都想要你的⽐比特币
▸ 只保存⼀一部分⽐比特币在交易易平台
▸ 当你不不需要交易易的时候取出来
▸ 使⽤用不不同的密码保护，⽐比如2FA
▸ 使⽤用开源的钱包
▸ 将你的助记词备份放在纸钱包上
▸ 如果你有价值2万⼈人⺠民币以上的⽐比
特币，购买⼀一个硬件钱包
（coinwallet.taobao.com）
▸ 将⼤大部分的⽐比特币放在你的硬件
钱包⾥里里

21. THANK YOU!
谢谢!