Bitcoin 101

Bitcoin Cape Town @ BitHub28/07/2015

Simon de la Rouviere@simondlr

Several parts.

• What is Bitcoin?• How do you use it?• The ecosystem.• The future?

Bitcoin is…

Bitcoin is…

• “peer-to-peer payment system”• “digital cash”• “math-backed commodity”• “virtual currency”• “digital gold”• “ponzi scheme”• “bubble”

Bitcoin is…

A decentralized currency, powered through a shared ledger (the blockchain), that is secured through clever cryptography by a massive p2p network of computers.

Bitcoin is…

A decentralized currency, powered through a shared ledger (the blockchain), that is secured through clever cryptography by a massive p2p network of computers.

Bitcoin is…

A decentralized currency, powered through a shared ledger (the blockchain), that is secured through clever cryptography by a massive p2p network of computers.

Bitcoin is…

A decentralized currency, powered through a shared ledger (the blockchain), that is secured through clever cryptography by a massive p2p network of computers.

Bitcoin is…

A decentralized currency, powered through a shared ledger (the blockchain), that is secured through clever cryptography by a massive p2p network of computers.

Bitcoin is…

A decentralized currency, powered through a shared ledger (the blockchain), that is secured through clever cryptography by a massive p2p network of computers.

Bitcoin is…

A decentralized currency, powered through a shared ledger (the blockchain), that is secured through clever cryptography by a massive p2p network of computers.

Bitcoin is…

?

Ledger

Ledger

Reward!

What does it look like?

What does it look like?

What does it look like?

What’s the point?

• Very low fees. $0.06 to transfer any amount.• Global.• Natively mobile.• You are your own bank.• Set monetary policy.• Secured against counterfeit (math).• Permission-less financial innovation.

How do I use it?

• Wallets.• http://bit.ly/freebitsct

How do I get it?

• Friends• Mining• ATMs• Exchanges

How do I get it?

How do I get it?

How do I get it?

• BitX• Ice3x• Circle

Where can I spend it?

• Most places online (directly or indirectly).• Takealot through PayFast.• Limited physical retail in South Africa.• Lighthouse, OpenBazaar, Streamium.

State?

State?

State?

State?

Future?

Future (financial instruments)

• Currency, Private equities, Public equities, Bonds, Derivatives (futures, forwards, swaps, options and more complex variations), Voting rights associated with any of the above, Commodities, Spending records, Trading records, Mortgage / loan records, Servicing records, Crowd-funding, Micro-finance, Micro-charity…

Future (Public Records)

• Land titles, Vehicle registries, Business license, Business incorporation / dissolution records, Business ownership records, Regulatory records, Criminal records, Passports, Birth certificates, Death certificates, Voter IDs, Voting, Health / Safety Inspections, Building permits, Gun permits, Forensic evidence, Court records, Voting records, Non-profit records, Government/non-profit accounting/transparency…

Future (Private Records)

• Contracts, Signatures, Wills, Trusts, Escrows.• Semi-Public records:• Degree, Certifications, Learning Outcomes,

Grades, HR records (salary, performance reviews, accomplishment), Medical records, Accounting records, Business transaction records, Genome data, GPS trails (institutional), Delivery records, Arbitration

Future (Physical Asset keys)

• Home / apartment keys, Vacation home / timeshare keys, Hotel room keys, Car keys Rental car keys, Leased cars keys, Locker keys, Safety deposit box keys, Package delivery (split key between delivery firm and receiver), Betting records

Future (Intangibles)

• Coupons, Vouchers, Reservations (restaurants, hotels, queues, etc), Movie tickets, Patents, Copyrights, Trademarks, Software licenses, Videogame licenses, Music/movie/book licenses (DRM), Domain names, Online identities, Proof of authorship / Proof of prior art

Future (Other)

• Documentary records (photos, audio, video), Data records (sports scores, temperature, etc), Sim Cards, GPS network identity, Gun unlock codes, Weapons unlock codes, Nuclear launch codes, Spam control (micro-payments for posting)

Fin