Presented at Nasscom product conclave 2013. Twitter : @S4RK

1. BitCoin
An overview

2. Why ?

3. First crypto-currency

4. Basics – Public key cryptography

5. How BitCoin ecosystem works ?

6. A wallet to start off

7. BitCoin transaction

8. The new Gold Rush

9. Genesis Block

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. 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. 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. Wait.. But..

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. 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. 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. Thank You