New from BookNet Canada for 2024: BNC CataList - Tech Forum 2024
Bitcoin
1. Group Members
Fayoke Banjo (Team Lead)
Andrine Jackson-Scott
Claudeen Grenyion
Ornela Keruti
Chris McFarlane
2. AGENDA
INTRODUCTION
CHARACTRISTICS
HOW IS BITCOIN AN INDUSTRY TREND?
PESTLE ANALYSIS
BITCOIN ECOSYSTEM AND DESIGN
BITCOIN: ITS PLACE IN E-COMMERCE
BITCOIN MERCHANTS
BITCOIN CHALLENGES ADDRESSED AND ADDRESSING
BITCOIN OPPORTUNITIES
COURSE CONCEPTS INCOPERATED
CONCLUSION
3. Introduction
• Released in 2009 by a programmer using the Pseudonym Satoshi Nakamoto
• It is a protocol that is electronically created and stored
• Uses cryptography for security, which is extremely difficult to counterfeit
• Facilitates electronic payments based on mathematical proof and validation
• Bitcoins are mined using computer power in a distributed network
https://www.youtube.com/watch?v=Um63OQz3bjo
5. Bitcoin: An Industry Trend- How?
• The first Crypto-currencies to gain ground in the real economy. Other Cryptocurrencies are
built from the same open-source code
• Disruptive technology in the financial industry
• Offers a 21st century alternative to brick and mortar banking
• E-commerce is becoming common place which opens further opportunities for the continued
use of the currency
• Bitcoin is becoming a mainstream trend as the most popular virtual currency with the highest
value in circulation compared to other cryptocurrencies.
6. Bitcoin- An industry Trend- How? Cont.
• Millennials and high income consumers/believers are earlier adopters
“13% of millennials and 19% of high income respondents use digital currencies to
make payments on a weekly basis” (Accenture, 2014)
• Usage is estimated to increase in these two groups to 26% and 32%
respectively by 2020
• Decline in payments using traditional payment instruments
• This momentum is expected to continue in the future
7. POLITICAL ANALYSIS
• Not controlled by any government body
• China, Russia?- Banks barred from accepting bitcoin
• United States, Canada & EU considered Pro-bitcoin
• Allowed between private entities.
8. ECONOMICAL ANALYSIS
• Market capitalization exceeds $6 billion- 0.008% of global GDP of $78 trillion
• 21 million bitcoins in existence today and 15,359,800 in circulation
• Too small to affect Federal government ability to conduct monetary policy
• Over 88,000 merchants currently use Bitcoin
9. SOCIAL-CULTURAL
• Driving force- Anonymity, Reach and Savings
• Low-level awareness & Usage
• More merchant adopting the payment technology can increase
adoption among consumers
11. Environmental Factors
• As demand grows, More computational power required
• Miners to find alternative source of electricity- cheap coal in old plants
• Carbon footprint- associated with 1.5 tons of CO2 emission/ Bitcoin
12. LEGAL FACTORS
• Decentralized nature of the coin hinders any form of regulatory effort
THIS IS CHANGING:
• Countries such as Canada, U.S.A, E.U are putting regulations in place
• E.g. Obama Administration partnering with private companies (Blockchain
alliance)
14. Bitcoin Design
• Block chain technology
• Dedicated computing power – hash rate
• Shared public ledger
• 256 bit encryption protocol
• Files on a computer – wallet
• Enforced with cryptography
15. Place within ecommerce framework
• Revolutionize ecommerce payments by offering a peer-to peer digital
cash system
• Disruptive to traditional payment systems
• Most beneficial to merchants
• Cross-border payments
• Bureaucratic process involved in initiating a payment gateway for e-commerce
sites and incorporating the banks protocols
21. Bitcoin Opportunity Cont.
• Identity Management
• Social security number, tax identification number and even driver’s license
• Access to wider and untapped Market
22. Course Concept incorporated
MOBILE WEBSITE- Xapo, BitGo, Coinbase
MOBILE WEB APP: Windows, Mac and Linx (BitGo, Bitcoin Core)
NATIVE APP: IOS, Android, Windows Phone, Blackberry (Airbitz, Bitcoin Wallet)
HARDWARE: Ledger Nano, KeepKey, Trezor
• Hardware wallet that makes bitcoin security simple
• Can keep the user private key safe
• Validate Transactions
23. Conclusion
• Crypto-currency landscape is still evolving and despite its issues and
challenges
• The bitcoin technology is in the stage as the internet in the 1990s
• Bitcoin might not be the major Crypto-currency of the future due to its
challenges and drawbacks
• The bitcoin open technology platform is definitely leading the way towards a
more seamless digital global economy
Notas del editor
One Chinese company that started allowing bitcoin transactions and did not ban them post-regulations was the country’s third-largest mobile network company, China Telecom
Fermentation (only geeks use it. When bitcoin was founded 4 years ago)
2. Exponential Growth (We are in the beginning of this stage. The more people use the new technology the more useful it gets for everyone involved. This effect accelerates the adoption. With crypto currencies we're at the beginning of this stage. The benefits of crypto currencies increase as more people have wallets and more merchants accept it..
3. Transitional Stage (This is a stage when new technology reached critical mass and every late adopter is joining in at a decreasing rate.)
4. Plateau Stage: When the new technology saturated the global population the adoption rate plateaus
5. Decline. All technologies eventually become outdated. It's strange to talk about this, but crypto currencies at one point in the not so distant future will become obsolete replaced by something new that offers security and comfort beyond what Today's level of cryptography can offer.