1. Jon Matonis
Bitcoin Foundation

2. Giant Stones Of Yap
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3. Search For Extraterrestrial Intelligence
(SETI)
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4. Bitcoin Network Computational
Power
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5. The War On Cash – What’s It All
About?
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6. The War On Cash – What’s It All
About?
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 Global financial surveillance
 Using money for identity tracking
 Traceability of all personal transactions
 Absolute efficiency in tax collection
 Blockading and confiscating payments
 Elimination of informal or grey economy

7. Paper Cash And Bitcoin Are
Similar
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 User-defined privacy (anonymity)
 Untraceable (unlinked from source)
 Irrevocable (bearer nature)

8. Precursors To Bitcoin
 Hashcash (1997) Adam Back
 Proof-of-work system to limit email spam
 SHA-1 hash of the header
 B-money (1998) Wei Dai
 Public keys identify pseudonyms
 Broadcast solution to computational problem
 Arbitrator and fine schedule
 Broadcasted subset account servers with bail
 BitGold (2001-2005) Nick Szabo
 Public challenge string of bits
 Client puzzle functions
 Securely timestamped
 Distributed property title registry solved double spending
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9. Bitcoin Is A Reaction To...
 Dominant legacy infrastructure
 Centralised monetary authority
 Diminishing financial privacy
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10. Bitcoin Merchant
Benefits
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 Extend acceptance to countries not reached
by Visa, MasterCard, and PayPal (60+)
 Provide payment method for the unbanked
 No disallowed merchant categories codes
(MCCs)
 Not subject to payments embargo
 Eliminate chargeback and fraud risk
 Processing fees approaching zero
 Near immediacy of settlement

11. Bitcoin Is A Safe Alternative
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12. Summary Of Bitcoin Key Features
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 First mover network advantage
 Independent unit of value with fixed supply
 Decentralized nature inhibits shutdown
 Financial intermediary not required
 Dramatically lower fees
 Brings the unbanked into the monetary system
 Cannot be politically manipulated
 Borders and capital controls are irrelevant
 Reduces government ability to fund itself
What’s not to love?

13. De-Central Banks And Their
Impact
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14. Impact On Monetary
Policy
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 Fractional reserve banking becomes nearly
impossible without the emergence of money
substitutes
 Opportunistic and unrestrained inflation
gives way to natural deflation
 Interest rates respond more to the risk of the
lending activity rather than central bank open
market operations
 Reduction in detrimental business cycles

15. Impact On Fiscal Policy
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 Governments gradually shift from taxing
income to taxing consumption
 Registration of exchanges and merchants
facilitate higher consumption taxes
 Government spending becomes constrained
by actual revenue raised which means that
unpopular expenditures will be difficult to
fund

16. Transform Global Transfer Networks
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17. Transform Global Transfer Networks
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18. Transform Asset Management
Industry
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19. Transform Retail Payments
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20. Transform Retail Payments
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21. Bitcoin Market Capitalization
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22. Quotes From Others
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“Bitcoin is the beginning of
something great: a currency without a
government, something necessary and
imperative.” -Nassim Taleb
“I think the fact that within the bitcoin
universe an algorithm replaces the
functions of [the government]… is
actually pretty cool.” -Al Gore
“I think [bitcoin] is a technical tour
de force.” -Bill Gates

23. My Quote
“Bitcoin is to legal tender
as BitTorrents are to copyrights”
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24. Thank You
Twitter: jonmatonis
Email: jon@bitcoinfoundation.org
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