Introduction of Bitcoins - A Digital Currency.

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Bit Coins – Can it pose challenge to Existing System?
By Lokesh Aggarwal

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POPULAR OPINION ???
"Bitcoin is a technological tour de force."
Bill Gates (Microsoft Co-founder)
"I'm a big fan of Bitcoin … Regulation of money supply
needs to be depoliticized. “
Al Gore (Former US vice president)
"Every informed person needs to know about Bitcoin
because it might be one of the world's most
important developments."
Leon Louw (Nobel Peace Prize nominee)

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BITCOINS, WHAT???
• Bitcoin is a form of Digital Currency
• Created and held Electronically
• Produced by lots of people running Computers all around the
world using Software
• Bitcoins aren’t printed like Dollars or Euros
• Bitcoin client software called a Bitcoin Wallet allows a user
to transact Bitcoins

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FATHER OF BITCOINS - Satoshi Nakamoto
• Created the Bitcoins
protocol and reference
software
• Published a paper on
the Cryptography
Mailing list in 2008
• Released the first
Bitcoin software in
2009

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UNITS OF BITCOINS ???
• Bitcoin can be broken up into small fragments of 0.00000001 BTC,
which is one hundred millionth of a Bitcoin.
• This unit is called satoshi in homage to Bitcoin's creator. Satoshi is
the smallest, atomic fragment of Bitcoin.
• There are also two other subunits of Bitcoin, and those are called
Millibitcoin (mBTC) and Microbitcoin (µBTC).
• One Millibitcoin equals to 0.001 BTC, which is one thousandth of
Bitcoin, or 100,000 Satoshis, or 1,000 µBTC.
• One Microbitcoin equals to 0.000001 BTC, which is one millionth of
Bitcoin, or 100 Satoshis, or 0.001 mBTC.
• Microbitcoins are sometimes referred to as simply bits.

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FEATURES ???
Easy - Send Bitcoin from your computer, tablet, smart
phone or other device, to anyone, anywhere in the
world, day or night
Secure - Bitcoin verifies transactions with the same
state-of-the-art encryption that is used in military and
government applications.
Open - Bitcoin is open-source. Nobody owns it; the
most popular client is maintained by a community of
open-source developers.
Fair - Using the Bitcoin network is free, except for a
voluntary fee you can use to speed up transaction
processing.

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USE IN CRIMINAL ACTIVITIES???
"Like cash, it can be used for ill as well as for good.”
• Money laundering
• Use in Black markets
• Bitcoin theft
• Malware
• Unauthorized mining
• Malware stealing Bitcoins

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SECURITY ???
Security
Issues
Unauthorized
Spending
Double
Spending
Race AttackHistory
Modification
Selfish Mining

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LEGAL STATUS OF BITCOINS ???
Country Legal Country Legal
Australia Yes Ecuador No
Austria Yes Finland Yes
Bangladesh No Germany Yes
Belgium Yes Hong Kong Yes
Bolivia No Iceland No
Brazil Yes India Restricted
Bulgaria Yes Indonesia Restricted
Canada Yes Israel Yes
China Restricted Japan Yes
Colombia Yes Jordan Restricted
Denmark Yes Kyrgyzstan No
Source: - Wikipedia

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LEGAL STATUS OF BITCOINS ???
Country Legal Country Legal
Lebanon Restricted Switzerland Yes
Lithuania Yes Taiwan Restricted
Malaysia Yes Thailand Yes
Norway Yes Turkey Yes
Philippines Yes
United
Kingdom
Yes
Poland Yes United States Yes
Russia Restricted Vietnam Yes
Slovenia Yes
Singapore Yes
South Korea Yes
Source: - Wikipedia

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BITCOINS VS RBI ???
• On 24 December 2013, the Reserve Bank of India issued an
advisory to the Indian public not to indulge in buying or
selling of virtual currencies, including Bitcoin.
• On 28 December 2013, the Deputy Governor of the RBI, K. C.
Chakrabarty, made a statement that RBI had no plans to
regulate Bitcoins.
• The consolidated legal position in the month of August 2014
is that the legality of Bitcoin is in doubt in India.
• ED believes that Bitcoins money can be used for hawala
transactions and funding terror operations.

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Thank You!!!