Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Introduction to BitCoin

4,549 views

Published on

Presented at Nasscom product conclave 2013.
Twitter : @S4RK

Published in: Technology, Economy & Finance

Introduction to BitCoin

  1. 1. BitCoin An overview
  2. 2. Why ?
  3. 3. First crypto-currency
  4. 4. Basics – Public key cryptography
  5. 5. How BitCoin ecosystem works ?
  6. 6. A wallet to start off
  7. 7. BitCoin transaction
  8. 8. The new Gold Rush
  9. 9. Genesis Block
  10. 10. Mining Details • Hash strings beginning with 0’s • Mining program is open source! • Generate a new block by taking an existing block, set of transactions and a nonce • Current target hash – less or equal is accepted • Difficulty – set by the network • Transaction fees to incentivize new block gen. • Become part of a pool
  11. 11. THE Network • • • • • • BitCoin network – one and only Decentralized and open to all Low transaction fees Constant bitcoin generation (10 min / block) 100 petaFLOPs Irrevocable transactions
  12. 12. Advantages • • • • • • • Almost 0 processing fee – across the world No need of a bank account ! Equal chance of mining Anyone can create an exchange Anonymity Businesses accept bitcoins (wordpress, baidu, reddit, etc..) Financial Control – no one can question
  13. 13. Wait.. But..
  14. 14. Concerns • BitCoin is anti-inflationary • No central authority – double edged sword • Hacker prone – tough to be exceed 30 trillion calculations per second and 100 petaFLOPs – but possible • Regulatory uncertainty • Secure your wallets – digitally! • Volatile exchange prices
  15. 15. Predictions.. • Present day disruptions thanks to P2P systems – Telephone ---> VOIP (skype / hangout) – SMS – almost obsolete – File transfers / music players – Mail (post boxes as antiques ? ) • Banks – do we really need them ? • Decentralized and global financial system – Money over Internet !
  16. 16. Opportunities • A new way to transact – Irrevocable transactions (adv : E-Comm sites) • Innovative applications – money reaches where banks can’t reach • World-wide system – Forex (what’s that ?) • Optimizing face-to-face transactions – cannot replace credit cards. Minimum 10 mins to confirm
  17. 17. Thank You

×