This PPT include about Bitcoin How its all started and whether it will be the future or not with Pros and Cons of Bitcoin

1. Submitted By : Sarosiya Tejas Vivek (42012)
Guided By : Prof. B.G.Dhake
A Seminar Topic on

3. • Commerce on the Internet has come to rely almost exclusively on financial
institutions serving as trusted third parties to process electronic payments.
• While the system works well enough for most transactions, it still suffers
from the inherent weaknesses of the trust based model.
• Completely non-reversible transactions are not really possible, since
financial institutions cannot avoid mediating disputes.
• What is needed is an electronic payment system based on cryptographic
proof instead of trust, allowing any two willing parties to transact directly
with each other without the need for a trusted third party.
•Cost of 1 bitcoin in India is Rupees 2,87,208.30/-

4. • Bitcoin it was invented by an unknown programmer, or a group of
programmers, under the name Satoshi Nakamoto and released as open-source
software in 2009. Transactions are made with no middle men – meaning, no
banks! There are no transaction fees and no need to give your real name.
• The system is peer-to-peer, and transactions take place between users
directly, without an intermediary.
• Bitcoins are created as a reward for mining. They can be exchanged for other
currencies, products, and services. As of February 2015, over 100,000
merchants and vendors accepted bitcoin as payment.
• According to research produced by Cambridge University in 2017, there are
2.9 to 5.8 million unique users using a crypto-currency wallet, most of them
using bitcoin.

5. Bitcoins can be used to buy merchandise
anonymously. In addition, international payments are
easy and cheap because bitcoins are not tied to any
country or subject to regulation. Small businesses
may like them because there are no credit card fees.
Some people just buy bitcoins as an investment,
hoping that they’ll go up in value.
Transfer
People can send bitcoins to each other using mobile
apps or their computers. It’s similar to sending cash
digitally.

6. This is a question that often causes
confusion. Here's a quick explanation!
• The basics for a new user
As a new user, you can get started with
Bitcoin without understanding the technical
details. Once you have installed a Bitcoin
wallet on your computer or mobile phone, it
will generate your first Bitcoin address and
you can create more whenever you need
one. You can disclose your addresses to your
friends so that they can pay you or vice
versa. In fact, this is pretty similar to how
email works, except that Bitcoin addresses
should only be used once.

7. • Balances - block chain
All confirmed transactions are included in the block chain. This way, Bitcoin
wallets can calculate their spendable balance and new transactions can be
verified to be spending bitcoins that are actually owned by the spender.
• Transactions - private keys
A transaction is a transfer of value between Bitcoin wallets that gets included
in the block chain. Bitcoin wallets keep a secret piece of data called a private
key or seed, which is used to sign transactions, providing a mathematical proof
that they have come from the owner of the wallet. The signature also prevents
the transaction from being altered by anybody once it has been issued. All
transactions are broadcast between users and usually begin to be confirmed by
the network in the following 10 minutes, through a process called mining.

8. • Processing - mining
Mining is a distributed consensus system that is used to confirm waiting
transactions by including them in the block chain. It enforces a chronological order
in the block chain, protects the neutrality of the network, and allows different
computers to agree on the state of the system. To be confirmed, transactions must
be packed in a block that fits very strict cryptographic rules that will be verified by
the network. These rules prevent previous blocks from being modified because
doing so would invalidate all following blocks.
• Can we get Receipt ?
Bitcoin wasn’t really meant for receipts. Although there are changes coming in
version 0.9 that will alter the way payments work, making them far more user-
friendly and mature.
Payment processors like BitPay also provide the advanced features that you
wouldn’t normally get with a native bitcoin transaction, such as receipts and order
confirmation web pages.

9. We define an electronic coin as a chain of digital signatures. Each owner transfers
the coin to the next by digitally signing a hash of the previous transaction and the
public key of the next owner and adding these to the end of the coin. A payee can
verify the signatures to verify the chain of ownership.
After each transaction, the coin must be returned to the mint to issue a new coin,
and only coins issued directly from the mint are trusted not to be double-spent.

10. Owning Bitcoins
Bitcoins are stored in a “digital wallet,” which exists either in the cloud or on a user’s
computer. The wallet is a kind of virtual bank account that allows users to send or
receive bitcoins, pay for goods or save their money. Unlike bank accounts, bitcoin
wallets are not insured by the FDIC.

11. • Freedom in Payment
With Bitcoin it is very possible to be able to send and get money anywhere in the world
at any given time.
• Control and Security
1. Allowing users to be in control of their transactions help keep Bitcoin safe for the
network.
2. Merchants cannot charge extra fees on anything without being noticed. They must
talk with the consumer before adding any charges.
• Very Low Fees
1. Currently there are either no fees, or very low fees within Bitcoin payments.
2. With transactions, users might include fees in order to process the transactions
faster.
3. The higher the fee, the more priority it gets within the network and the quicker it gets
processed.

12. • Lack of Awareness & Understanding
1. Fact is many people are still unaware of digital currencies and Bitcoin.
2. People need to be educated about Bitcoin to be able to apply it to their lives.
3. Networking is a must to spread the word on Bitcoin.
• Still Developing
1. Bitcoin is still at its infancy stage with incomplete features that are in development.
2. To make the digital currency more secure and accessible, new features, tools, and
services are currently being developed.
• Risk and Volatility
1. Bitcoin has volatility mainly due to the fact that there is a limited amount of coins and
the demand for them increases by each passing day.
2. However, it is expected that the volatility will decrease as more time goes on.

14.  How to create an account? What it should it need ?
Ans : To crate and account go through this link
https://bitcoinwallet.com/user_signup.php
You need an email account and a mobile phone that accepts sms
messages. You must verify your email address and mobile
phone to complete sign up. To provide a high level of security
for our system we require you to confirm a verification code sent
to your mobile phone each time you log in or send funds.
 What we can buy from Bitcoins ?
Ans : apps, games, and videos from its windows, windows phone
and Xbox platforms. And to get more information you can go
though this link below
https://www.coindesk.com/information/what-can-you-buy-with-
bitcoins/

15.  How can I sell or buy bitcoins ?
Ans : At the moment, Bitcoinwallet.com is not an exchange, an
administrator of virtual currency or a money transmitter and we
don't deal with any government issued currency.
Bitcoinwallet.com allows you to receive bitcoin and send bitcoin
to other bitcoinwallet.com users without fees or confirmation
delays.
 What is a Blockchain ?
Ans : A global network of computers uses blockchain technology
to jointly manage the database that records Bitcoin transactions.
That is, Bitcoin is managed by its network, and not any one
central authority. Decentralization means the network operates
on a user-to-user (or peer-to-peer) basis.
Hear is a diagram below

16. What happen if I send bitcoins to wrong address ?
Ans : Bitcoin payments can not be reversed. If you send bitcoin to the wrong address
by mistake it cannot be recovered

17. • There you have it folks. With this, you now have both sides of the coin. Bitcoin, as you
can see, is not perfect. It does have many advantages that physical currencies do not
provide its users; however, it also has its disadvantages.
• This is mostly due to the fact that Bitcoin is still a relatively young and new currency.
• People are just beginning to become more aware of it. In order for Bitcoin to succeed,
more people need to understand what it is and not let their preconceived notions distort
the concept of digital currencies.
• There are always pros and cons to any situation in life. To be able to make a good
decision, you need to weigh the good and bad thoroughly before finalizing your choice.
• Do the same for Bitcoin. Understand what it is, and decide what you want to do with it.
We, at Coin report give you the facts; you are the ones who make your decision.