it's a little bit me it's a a little bitcoin
TRANSCRIPT
It’s A Little Bit Me,It’s A Little Bitcoin
Joe KleinwaechterVice President
Innovation & Design
THE TEAMHow many miners does it take to change a lightbulb?
One miner to change it, and a million miners
running in circles to determine who gets to
do it.
THE TEAM
THE TEAM
A Cryptocurrency A Bearer Instrument
Distributed
• It’s value, like most money, is determined by supply and demand
• Security through math• Non-bitcoin
cryptocurrencies are called alt-coins.
• Whoever is in possession of it, owns it.
• No record is kept of who owns it.
• There is no central owner• All integrity is held with the
participants.• Self-policing based on math.
What is it? Bitcoin is...
What does a bitcoin look like?
For the Biz Geeks
Today’s PricePrice
Yesterday the US Dollar’s value changed by.3%.
Bitcoin’s value changed by3.2%.
Source: https://btcvol.info/
Past 6 Years
Over the years volatility is
reducing and looks to be settling in…
Source: https://btcvol.info/
Past Year
…or not
Source: https://btcvol.info/
Comparative Volatility
…or not
Source: Bloomberg
For the Tech Geeks
Mining
Really Hard Math Problem
Fastest Correct Solution
Miners
Reward!
Inventory
Current inventory is 75% of eventual population.
You can’t have a permanently increasing supply of money…
...unless you are the government.
Block Rewards
25
4 years 4 years 4 years
12.5 6.25 3.12
2012 2016 2020 2024
Rate(bitcoins/ block)
Source: https://btcvol.info/
> +Economics
Fiat CurrencyBitcoin Currency
}
Transacting
2L7AG’s Bitcoin Wallet
1X2FD’s Bitcoin Wallet
Rece
ive 5
bc fr
om
2L7A
G(Tr
ans3
) Validate and Mass Authenticate
Pay 5 bc to
1X2FD
(Trans3)
Block 123Trans1Trans2Trans3…TransN
Block 123Trans1Trans2Trans3…TransN
…
Block 123Trans1Trans2Trans3…TransN
Block 122Trans1Trans2Trans3…TransN
Block 121Trans1Trans2Trans3…TransN
Distributed Ledger
The Ledger
Integrity – Blockchains are immutable. All commits are permanent and never retire.
Anonymity – Blockchains don’t record personal identity, only account numbers
Resiliency - Every node or miner in a decentralized system has a copy of the blockchain.
Democracy - No miner is trusted more than any other.
…
Block 123Trans1Trans2Trans3…TransN
Block 122Trans1Trans2Trans3…TransN
Block 121Trans1Trans2Trans3…TransN
Distributed Ledger
Known commonly as the Blockchain
For the Innovation Geeks
Blockchain Types
Blockchains can be Public
Blockchains can be PrivateBlockchain Types
Blockchain Types
… …
…
Blockchains can be Federated
I wonder if blockchain transactions could represent
something other than money?
Why yes, Rick, they can.
Integrity – Blockchains are immutable. All commits are permanent and never retire.
Anonymity – Blockchains don’t record personal identity, only account numbers
Resiliency - Every node or miner in a decentralized system has a copy of the blockchain.
Democracy - No miner is trusted more than any other.
Blockchain Possibilities
With these attributes in mind,
what else could
blockchain be used
for?}