1. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
1
White
Paper
Road
Map
Version
1.0
(May
2015)
Author:
EBK1000
BITZ
digital
currency
A
currency
for
your
digital
future

2. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
2
Contents
Introduction
A
note
on
anonymity
and
Bitz
1.
Technical:
1.1.
Technical
Development
1.2.
Simplification
Strategy
1.3.
Platform
Diversification
1.4.
Long-­‐term
security
2.
Branding:
2.1.
Branding
and
logo
2.2.
Brand
distribution
and
promotion
2.3.
Website
design
2.4.
Social
networking
3.
Adoption
&
Reach:
3.1.
Payment
Processor
Integration
3.2.
Bitz
end-­‐user
availability
4.
Legal
Framework:
4.1.
UK
regulation
4.2.
Problems
5.
Finacial:
5.1.
Cost
5.2
The
Bitz
Currency
Association

3. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
3
Introduction
The
idea
of
a
digital
currency
in
a
decentralized
system
with
a
trustless
consensus
provided
by
strong
cryptography
is
a
new
proposition
in
the
history
of
money.
Some
ideas
and
experimental
protocols
existed
for
some
years
but
it
was
not
until
the
release
of
the
Bitcoin
white
paper
“Bitcoin:
A
Peer-­‐to-­‐Peer
Electronic
Cash
System”
in
November
2008
by
Satoshi
Nakamoto
that
a
system
was
proposed
and
then
implemented.
Therefore,
the
best
known
so
called
crypto-­‐
currency,
Bitcoin,
launched
in
2009
and
remained
relatively
unknown
up
until
2013
/
2014.
(A
history
of
Bitcoin
can
be
found
at:
http://en.wikipedia.org/wiki/History_of_Bitcoin)
The
Bitcoin
infrastructure
and
adoption
has
increased
rapidly
since
2009
and
in
particular
in
the
wake
of
the
price
peak
on
17th
November
2013
where
Bitcoin
reached
a
price
of
$1216.73,-­‐
Bitcoin
uses
a
so
called
Proof-­‐of-­‐Work
(PoW)
mechanism
to
achieve
the
trustless
consensus
which
means
that
so
called
‘miners’
are
running
computers
to
verify
transactions
on
the
network
and
to
create
new
Bitcoins
or
‘find’
new
blocks.
It
is
beyond
the
scope
of
this
paper
to
go
into
detail
on
how
the
PoW
mechanism
work
or
the
intricacies
of
the
block-­‐chain.
For
further
explanation
of
this
system
please
refer
to
the
Bitcoin
white
paper:
https://bitcoin.org/bitcoin.pdf
Bitcoin
however,
still
remain
the
pursuit
of
the
few
and
tech
savvy
and
does
not
have
any
significant
public
penetration
amongst
the
average
non-­‐technical
computer
user
at
this
point
in
time.
Bitcoin
is
also
unfortunately
surrounded
by
controversy
and
has
had
an
unfortunate
link
to
crime
and
has
seen
fraud
and
conflict.
A
further
problem
is
that
a
threshold
level
of
knowledge
is
required
to
obtain
and
use
Bitcoins.
I
have
also
seen
a
further
problem
that
has
arisen
in
the
last
couple
of
years.
This
is
that
Bitcoin
has
become
a
corporate
entity
and
is
largely
‘controlled’
by
large
investors
and
companies
as
the
difficulties
in
‘mining’
has
increased
and
mining
has
moved
away
from
the
individual
and
into
vast
data
centers.
This
is
contrary
to
the
core
philosophy
of
crypto-­‐currencies
of
being
decentralised
and
not
owned
or
controlled
by
anyone.
The
large
mining
companies
and
the
large
bitcoin
whales
effectively
controls
the
market.
In
the
last
2-­‐3
years
a
number
of
other
crypto-­‐currencies
have
also
come
into
existence
on
the
back
of
Bitcoin,
most
notably
Litecoin,
Peercoin,
Primecoin
and
Dogecoin.
Additionally
there
are
at
the
time
of
writing
559
different
crypto-­‐currencies
listed
at
http://coinmarketcap.com/
which
is
a
website
that
tracks
their
value.
Most
so
called
alternative
crypto-­‐currencies
(altcoins)
are
made
by
and
maintained
by
a
small
group
of
relatively
young
coders
and
enthusiasts
and
most
altcoins
are
not
made
to
offer
a
real
world
payment
alternative
to
cash
money.
Most
altcoins
are
rather,
explorations
around
the
block-­‐chain
technology
and
experimentation
around
features
and
seeks
to
implement
features
such
as
various
forms
of
anonymity.
Unfortunately,
many
altcoins
are
purely
made
for
so-­‐called
pump-­‐and-­‐dump
schemes
(http://en.wikipedia.org/wiki/Pump_and_dump)
in
an
effort
to
get
a
quick
cash-­‐in
and
the
‘coin’
is
then
left
for
dead.
Outright
fraud
is
also
rife
in
the
world
of
altcoins
and
new
‘coins’
are
launched
on
a
daily
basis.
The
vast
majority
of
altcoins
are
clones
of
previously
created
‘coins’
and
are
easily
created
and
offered
in
ICOs
(Initial
Coin
Offerings)
for
the
creators
to
obtain
a
few
Bitcoins.
Bitz
is
a
fresh
take
on
the
idea
of
crypto-­‐currency
and
a
small
but
dedicated
team
is
developing
Bitz
with
a
long-­‐term
vision
for
the
currency
and
the
brand.
The
main
design
philosophy
of
Bitz
centers
on
real
world
adoption,
seamless
multi-­‐platform
integration,
security
and
simplicity
of
use.
I
do
not
believe
that
a
multitude
of
arcane
features,
anonymity
and
complicated
technical
innovations
will
assist
in
wider
adoption
of
crypto-­‐currencies
among
the
average
non-­‐technical
user.
I
believe
that
the
average
non-­‐technical
user
will
want
a
crypto-­‐currency
that
is
simple
and
easy
to
use,
secure
and
that
integrates
over
a
range
of
platforms.
Bitz
will
offer
all
of
this
to
the
average
non-­‐technical
user.

4. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
4
Bitz
employs
a
so-­‐called
Proof-­‐of-­‐Stake
(PoS)
mechanism
to
achieve
the
trustless
consensus
over
the
decentralised
network.
This
hands
the
creation
of
new
Bitz
back
into
the
hands
of
the
users
and
Bitz
holders
and
away
from
large
‘miners’
and
‘mining’
farms.
This
ensures
that
Bitz
is
fair
for
all
and
that
everyone
using
Bitz
are
rewarded
in
accordance
with
their
holdings
and
commitment
to
run
wallets
to
secure
the
network.
Bitz
can
in
many
ways
be
compared
to
Bitcoin
but
it
differs
in
that
it
employs
Proof-­‐of-­‐Stake
as
the
consensus
mechanism
instead
of
Bitcoins
Proof-­‐of-­‐Work
mechanism.
This
makes
Bitz
vastly
more
energy
efficient
than
Bitcoin
without
compromising
on
security.
It
requires
an
immense
amount
of
energy
to
create
a
Bitcoin
but
virtually
no
energy
to
create
a
Bitz.
Additionally,
Bitz
also
employs
strong
cryptography
through
a
set
of
algorithms
known
as
X11
instead
of
Bitcoin’s
SHA256.
This
along
with
other
features
results
in
Bitz
having
significantly
faster
transaction
times,
makes
it
more
secure
and
Bitz
will
pay
interest
on
balances
held
which
Bitcoin
do
not.
In
addition,
when
the
Bitz
wallets
are
fully
developed
they
will
be
the
most
secure
crypto-­‐currency
wallets
available.
Bitz
will
also
be
backed
by
a
not-­‐for-­‐profit
organization,
The
Bitz
Currency
Association
(BCA),
which
will
promote
the
adoption
and
use
of
Bitz
and
secure
and
update
the
Bitz
infrastructure
without
directly
controlling
the
Bitz
network.
Everyone
that
will
become
involved
will
get
rewarded
with
Bitz
for
his
or
her
work.
This
will
ensure
that
anyone
that
gets
involved
will
have
a
vested
interest
in
the
success
of
the
currency
and
the
brand.
EBK1000
has
set
aside
100,000
Bitz
from
the
initial
mining
effort
to
support
the
BCA.
Bitz
is
not
owned
by
anyone
and
is
a
fully
open
source
and
decentralized
system
and
the
BCA
does
not
seek
to
control
but
simply
to
support
and
promote
the
use
of
Bitz.
The
Bitz
dev
team
and
the
BCA
will
operate
in
a
fully
open
and
transparent
manner.
Bitz
was
created
to
provide
a
credible
alternative
to
the
numerous
altcoins
launched
on
a
daily
basis
and
to
provide
a
crypto-­‐
currency
backed
by
a
trustworthy
and
serious
dev
team.
Bitz
do
not
seek
to
be
an
instrument
for
subversion
or
crime
and
do
not
wish
to
engage
in
any
controversy
but
at
the
same
time
we
underline
the
idea
that
Bitz
is
owned
by
no
one
and
transcends
borders
and
nations
and
enables
anyone
to
send
any
amount
of
Bitz
to
anyone
else
at
any
time.
The
following
document
can
best
be
thought
of
as
a
non-­‐technical
white
paper
outlining
the
vision
for
Bitz
and
a
road
map
setting
out
the
long
term
plans
for
Bitz.
The
plans
outlined
here
is
for
the
first
year
of
life
for
Bitz
and
although
this
is
not
a
date
specific
road
map,
the
below
is
what
we
aim
to
achieve
in
the
first
year.
We
have
decided
on
implementation
in
stages
that
we
term
‘development
cycles’
and
have
decided
on
three
such
cycles
over
the
next
year
in
order
to
be
able
to
build
and
finance
the
project.
The
cycles
are
set
as
May–August,
September–December
2015
&
January-­‐April
2016.
This
timeline
will
be
affected
to
some
extent
by
the
community
involvement
and
the
available
funding
but
we
are
prepared
to
see
it
through
regardless
as
we
believe
the
end
result
will
be
a
viable
and
relevant
digital
currency.
Updates
will
be
posted
on
Bitcointalk
and
the
Bitz
Forum.
The
Bitz
dev
team
are
currently
‘EBK1000’
(project
lead)
and
‘Redpoint404’
(main
programmer).
‘EBK1000’
is
known
and
trusted
on
https://localbitcoins.com/
but
will
remain
nameless
at
this
time.
‘EBK1000’
will
be
verified
with
Coinssource.com
in
the
near
future.
‘Redpoint404’
prefers
to
operate
out
of
sight.

5. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
5
A
Note
on
Anonymity
and
Bitz
Anonymity
online
must
be
understood
to
be
a
situation
where
an
outside
agent
(motivated
attacker
or
State
Power)
would
be
unable
to
obtain
the
real
IP
address
the
user
is
operating
from
and
hence
the
user
would
therefore
remain
untraceable.
Anonymity
is
hotly
debated
in
a
variety
of
contexts
and
a
number
of
other
crypto-­‐currencies,
like
Dash
(previously
Darkcoin)
or
Monero,
have
proposed
to
offer
anonymity
in
some
way
or
another.
Whether
this
will
hold
water
in
a
real
world
scenario
where
the
currency
draws
the
focused
attention
of
a
State
Power
has
yet
to
be
established
or
documented.
Bitz
has
no
specific
features
aiming
to
achieve
anonymity
for
its
users.
The
Bitz
dev
team
do
not
believe
that
this
is
a
needed
or
useful
feature
for
wider
adoption
and
use
of
crypto-­‐currencies.
Bitz
is
as
anonymous
as
any
other
‘normal’
crypto-­‐currency
like
Bitcoin
or
Litecoin.
There
is
no
feature
for
'hiding'
transactions
or
'hiding'
your
IP
on
the
network.
The
Bitz
protocol
however
does
NOT
record
IP
addresses
and
so
you
will
not
find
any
IP
addresses
stored
in
the
Bitz
block-­‐
chain.
No
IP
addresses
are
linked
to
any
transaction.
Your
IP
address
however,
will
be
visible
on
the
Bitz
network
as
a
Bitz
node
if
you
are
running
a
wallet
but
there
is
no
information
recorded
to
link
the
node
IP
with
any
transaction.
Although
the
Bitz
ledger
(block-­‐chain)
is
public
(block
explorer)
like
say,
Bitcoin
and
Litecoin,
nobody
watching
the
block-­‐chain
transactions
will
be
able
to
see
who
is
sending
Bitz
to
who
and
most
importantly
WHY
the
Bitz
are
being
sent?
So,
for
example,
if
an
agent
of
some
description
saw
that
you
completed
a
transaction
for
10,000
Bitz
that
were
sent
to
an
address,
say
BDVVLfpVbcjsMzKQacWnQFK37iLcCjGqpU
from
B5o6HqtftvMiRri67KH6uNYSDNaypi5Fv7,
the
agent
would
have
no
information
whatsoever
about
who
actually
sent
it
to
who
and
why
it
was
sent.
Under
normal
circumstances,
this
information
is
only
available
if
the
two
parties
making
the
transaction
make
it
public.
Therefore
we
would
suggest
that
Bitz
is
‘anonymous
enough’
for
the
vast
majority
of
real
world
usage.
However,
you
should
always
assume
that
a
persistent,
knowledgeable
and
motivated
attacker
will
be
able
to
associate
your
IP
address
with
your
Bitz
transactions.
This
could
be
done
by
careful
analysis
of
the
block-­‐chain
and
the
connected
nodes.
Sophisticated
statistical
analysis
would
also
probably
be
able
to
resolve
transactions
on
so-­‐called
anonymous
networks.

6. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
6
We
therefore
suggest
that
anonymity
is
relative
in
the
real
world
and
online.
You
should
therefore
assume
that
if
a
state
power
put
all
their
resources
into
tracing
you
they
would
be
able
to
do
so,
even
if
you
use
the
anonymity
features
of
some
crypto-­‐currencies.
You
may
remember
that
many
so
called
'dark
web'
sites
on
the
Tor
network
were
traced
recently
and
that
there
are
numerous
examples
of
very
high
level
hacking
and
breaking
of
various
encryption
protocols
probably
by
a
state
power.
Also,
you
should
assume
that
a
state
power
will
NOT
reveal
the
extent
of
their
available
technology
and
will
NOT
reveal
what
they
can
and
can't
do.
If
they
are
able
to
break
encryption
they
will
NOT
tell
you.
So,
the
questions
you
will
have
to
ask
yourself
with
regards
to
anonymity
are;
are
my
activities
of
such
a
nature
that
they
will
attract
the
attention
of
a
state
power
(motivated
attacker)
and
are
my
activities
of
such
a
nature
that
would
prompt
a
state
power
(motivated
attacker)
to
invest
significant
resources
to
track
me
down?
If
the
answer
to
the
above
is
yes,
we
suggest
that
you
may
be
involved
in
something
serious
or
dangerous
and
it
is
unlikely
that
you
will
be
able
remain
anonymous
regardless.
We
do
not
aim
for
Bitz
to
be
a
tool
for
criminality.
If
you
were
operating
from
within
the
borders
of
an
oppressive
regime
the
same
level
of
caution
would
apply.
If
you
are
involved
in
'normal'
activities
however,
don't
worry;
you
will
be
‘anonymous
enough’.
We
suggest
that
anonymity
features
in
other
crypto-­‐currencies
are
hyped
up
as
a
selling
point
and
the
vast
majority
of
people
do
not
need
it
because
they
are
of
no
interest
to
a
‘motivated
attacker’
or
a
well-­‐funded
state
power.
The
dev
team
wants
Bitz
to
be
above
board
and
open
and
encourage
legitimate
use
and
adoption.
We
feel
that
a
drive
towards
anonymity
(which
is
relative
in
any
case)
only
reinforces
the
negative
view
of
most
legitimate
users
and
potential
users
that
crypto-­‐currency
is
dodgy
and
that
people
are
using
it
to
hide
their
shady
activities.
We
further
argue
that
a
civil
liberties
argument
in
relation
to
crypto-­‐currency
anonymity
is
flawed,
as
any
transaction
is
'anonymous
enough'
for
anything
that
isn't
terrorism
or
serious
criminality.

7. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
7
TECHNICAL
1.1.
Technical
Development
Bitz
is
based
on
the
X11
algorithm
that
was
introduced
with
Darkcoin
(now
known
as
Dash)
and
is
based
around
a
series
of
11
strong
cryptographic
proofs
to
verify
transactions
on
the
block-­‐
chain.
This
makes
the
transactions
extremely
secure
without
having
a
significant
impact
on
performance
and
future
development.
Bitz
will
continue
to
employ
the
X11
algorithm
to
confirm
transactions
and
provide
the
cryptographic
proof
and
to
create
new
coins
through
the
process
of
staking
based
on
coin
age.
The
inner
workings
of
the
X11
algorithm
is
beyond
the
scope
of
this
paper
and
further
information
can
be
found
online.
We
believe
that
X11
provides
a
great
balance
or
security,
performance
and
is
future
proof.
Additionally,
the
Bitz
network
employs
what
is
known
as
checkpoints
on
the
block-­‐chain
to
prevent
any
reorganization
of
the
block-­‐chain
beyond
a
certain
point.
This
is
to
counter
attacks
such
as
a
51%
attack.
Please
refer
to
the
Peercoin
paper:
http://www.peercoin.net/assets/paper/peercoin-­‐paper.pdf
for
a
more
detailed
discussion
on
a
proof-­‐of-­‐stake
system
based
on
coin
age
such
as
Bitz.
Although
Bitz
employs
a
similar
staking
mechanism
to
Peercoin,
it
differs
in
that
Bitz
is
totally
decentralized,
whereas
Peercoin
employs
centrally
broadcasted
checkpointing
from
a
master
node
and
as
such
is
under
some
central
control
of
the
developers.
We
are
working
to
develop
methods
of
securing
the
network
further
and
we
are
researching
other
methods
of
decentralised
checkpointing
that
will
counter
any
attacks.
At
present
the
most
likely
attack
on
a
Proof-­‐of-­‐Stake
network
would
be
a
so
called
51%
attack
where
a
malicious
entity
has
control
over
more
than
51%
of
all
Bitz
and
seeks
to
fork
the
block-­‐
chain
and
take
control.
This
scenario
is
highly
unlikely
as
it
would
be
difficult
to
obtain
51%
of
all
Bitz.
The
annual
interest
is
set
at
10%
in
an
effort
to
make
Bitz
less
deflationary
than
Bitcoin.
We
believe
that
a
purely
deflationary
currency
will
encourage
people
to
horde
and
not
to
use.
We
are
fully
aware
that
this
is
a
controversial
theme
but
believe
that
the
PoS
earnings
will
encourage
the
use
of
Bitz
without
compromising
much
on
value
if
you
chose
to
store
Bitz
for
the
future.
The
interest
is
accrued
on
the
Bitz
that
are
held
in
the
wallets
for
staking.
At
the
time
of
writing
it
appears
that
64%
of
the
total
amount
of
Bitz
are
available
for
staking
on
average.
The
10%
is
compounded
annually,
and
the
interest
earned
comes
from
your
coin
age
times
the
APR.
Bitz
minimum
stake
age
is
24
hours.
The
coin
age
is
reset
after
30
days.

8. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
8
The
PoS
model
is
set
in
main.cpp:
unsigned
int
nStakeMinAge
=
24
*
60
*
60;
//
24
hours
unsigned
int
nStakeMaxAge
=
30
*
24
*
60
*
60;
//
30
days
Reward
interest
is
calculated
as:
nRewardCoinYear
=
MAX_MINT_PROOF_OF_STAKE;
int64_t
nSubsidy
=
nCoinAge
*
nRewardCoinYear
/
365
/
COIN;
Where
MAX_MINT_PROOF_OF_STAKE
is
set
to
0.10,
or
10%.
This
effectively
means
that
every
Bitz
owner
will
accrue
interest
on
their
balance
depending
on
how
many
coins
are
staking,
the
amount
of
time
staking
and
their
total
amount
of
Bitz.
Bitz
was
initially
a
so-­‐called
proof-­‐of-­‐work
(PoW)
coin
and
the
first
block
(35
Bitz)
was
minted
on
01/03/2015.
This
was
done
so
that
‘miners’
could
create
Bitz
using
their
computers
and
to
‘kick-­‐start’
the
network
and
provide
an
initial
incentive
to
get
people
involved.
The
PoW
phase
ended
at
block
100,000
on
03/04/2015
with
around
1,900,000
Bitz
created
in
total.
Bitz
has
since
converted
into
a
pure
Proof-­‐of-­‐Stake
coin
from
block
100,000
and
onwards.
At
the
time
of
writing
there
are
1,938,000
Bitz
in
existence.
This
makes
Bitz
a
relatively
rare
‘coin’
in
the
crypto
world.
We
are
determined
to
keep
the
Bitz
network
stable
and
we
will
not
change
any
properties
of
Bitz
staking
without
proper
consultation
with
the
Bitz
user
base
or
without
good
reasons.
A
detailed
overview
of
the
live
Bitz
network
can
be
found
at:
https://chainz.cryptoid.info/bitz/
We
have
no
plans
of
changing
the
way
Bitz
and
the
X11
implementation
work
but
will
continue
to
review
the
code
to
root
out
any
issues
and
insecurities
and
improve
on
the
checkpointing
mechanism.
‘Master
Nodes’
As
part
of
the
Bitz
network,
the
dev
team
will
make
sure
that
a
master
seed
node
is
running
at
any
given
time
in
addition
to
the
block
explorer
that
also
acts
as
a
node.
The
Dev
wallet
will
also
be
running
24/7
as
always.
This
is
to
ensure
that
the
network
is
up
and
running
on
the
correct
block-­‐chain
regardless
of
how
many
wallets
are
active
at
any
given
time.
The
master
node
will
be
running
on
a
fast
VPS
with
a
high
capacity.
1st
Development
Cycle.
‘Block
Explorer’
We
will
seek
to
get
another
block
explorer
up
in
the
next
3
months
to
further
strengthen
the
network
and
to
ensure
consistent
consensus
of
the
block-­‐chain.
This
will
also
assist
anyone
seeking
to
conduct
any
kind
of
research
or
extract
statistics.
1st
Development
Cycle.

9. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
9
‘Sendalert
/
Network
Broadcast’
Bitz
also
has
the
ability
to
broadcast
alerts
as
RPC
commands
on
the
network
as
was
intended
in
the
initial
Bitcoin
network.
This
means
that
the
Bitz
dev
team
will
have
a
private
key
that
can
be
used
with
the
‘sendalert’
function
in
the
wallet.
This
means
that
that
the
Bitz
dev
team
can
immediately
update
all
users
on
the
network
of
any
issues
or
updates.
We
also
plan
to
use
this
feature
in
regular
give-­‐aways
or
reward
schemes
to
encourage
users
to
keep
their
wallets
active
and
staking.
Further
details
will
be
discussed
and
published
on
the
Bitz
forum.
This
was
meant
to
be
implemented
in
version
1.1.0
but
the
same
private
key
is
also
used
to
sign
the
checkpoints
and
this
needs
some
more
work
and
will
require
a
hard
fork
so
this
feature
will
not
appear
in
version
1.1.0.
We
are
working
on
another
message
system
but
hope
that
this
will
be
implemented
soon.
‘Two
Factor
Authentication’
We
are
currently
working
on
a
system
to
implement
an
option
to
use
a
two-­‐factor
authentication
process
on
the
Bitz
wallet.
This
will
make
the
Bitz
wallet
ultra-­‐secure
and
eliminate
the
possibility
of
a
malicious
attacker
stealing
your
Bitz
balance.
Further
details
on
this
feature
will
be
published
in
due
time
on
the
Bitz
forum.
1st
Development
Cycle.
‘Compressed
block-­‐chain
download’
A
problem
for
a
new
and
non-­‐technical
user
is
that
the
whole
block-­‐chain
needs
to
be
loaded
on
starting
the
wallet
for
the
first
time.
In
future
versions
of
the
wallet
there
will
be
a
feature
during
first
time
installation
to
download
a
compressed
and
up
to
date
block-­‐chain
that
will
be
installed
with
the
wallet.
This
will
significantly
reduce
the
time
it
takes
to
start
using
the
wallet
after
first
time
installation.
2nd
Development
Cycle.
‘Wallet
Installers’
All
the
Bitz
wallets
will
be
delivered
with
an
installer
so
that
non-­‐technical
users
will
have
the
same
experience
of
installing
Bitz
as
they
have
with
any
other
commercial
software.
This
will
also
minimise
the
risk
of
user
error
and
a
poor
experience
with
the
Bitz
wallet
and
brand.
1st
Development
Cycle.
1st
Development
Cycle.
‘Automatic
Backup’
We
will
offer
the
option
of
registering
your
wallet
(see
BitzIdent)
and
then
automatically
set
your
wallet
to
back
up
to
our
web-­‐server
if
you
chose.
This
is
a
feature
under
development
and
there
are
no
further
details
at
this
point.
3rd
Development
Cycle.
All
the
above
will
aid
towards
the
goal
of
making
the
experience
of
using
Bitz
worry
free.
We
aim
to
deliver
an
experience
of
a
system
and
software
that
just
works
and
that
needs
little
or
no
regular
intervention
on
the
part
of
the
user.
For
all
technical
and
feature
discussions
visit
the
Bitz
forum:
http://forum.bitz.biz/index.php
1.2.
Simplification
Strategy
We
do
not
believe
that
most
average
users
will
have
either
the
knowledge
or
the
interest
in
how
the
Bitz
network
actually
functions
and
the
workings
of
the
X11
algorithm.
One
of
our
aims
therefore
is
to
work
towards
a
simplified
front-­‐end
and
GUI
for
the
wallets
and
to
make
sending
and
receiving
Bitz
easy
and
fast
with
the
click
of
the
mouse
without
the
need
for
long
address
strings.
We
will
release
a
wallet
that
has
the
ability
to
‘mode-­‐switch’
between
a
‘simple’
and
an
‘advanced’
mode.
This
will
be
implemented
in
a
future
version
of
the
wallets.
1st
Development
Cycle.
With
the
implementation
of
BitzIdent
in
version
2.0
your
Bitz
balance
and
transactions
will
propagate
between
all
the
wallets
signed
in
with
the
same
BitzIdent
so
that
your
desktop
wallet
will
show
the
same
balance
as
your
Android
wallet
and
your
web
wallet
and
so
on.
This
negates
the
need
to
transfer
Bitz
between
your
own
wallets
and
so
achieves
greater
and
seamless
platform
integration.
This
will
simplify
the
use
of
Bitz.

10. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
10
BitzIdent
–
block-­‐chain
identification
The
user
will
be
able
to
log
into
his
or
hers
wallet
using
their
BitzIdent
and
have
access
to
use
or
transfer
Bitz
and
the
balance
will
instantly
be
synchronized
over
all
the
wallets
logged
in
with
the
same
BitzIdent.
The
BitzIdent
‘spider
algorithm’
(version
2.0
wallets)
will
poll
identified
wallets
and
in
effect,
it
is
the
user’s
unique
BitzIdent
that
enables
the
writing
and
retrieving
the
private
keys
necessary
to
sign
transactions.
The
private
keys
will
be
encrypted
into
the
Bitz
block-­‐chain.
If
the
user
chooses
to
create
a
BitzIdent
then
the
private
keys
are
securely
stored
in
an
encrypted
form
in
the
Bitz
block-­‐chain.
The
block-­‐chain
is
unalterable
and
permanent
and
therefore
you
will
never
loose
your
private
keys
if
you
create
your
BitzIdent.
This
combined
with
a
two
factor
authentication
at
the
wallet
level
will
make
it
impossible
to
accidentally
delete
your
Bitz
files
or
for
hackers
to
steal
your
Bitz.
An
updated
‘check-­‐point’
regime
is
also
being
developed
and
all
together
this
will
make
Bitz
ultra
secure.
This
will
also
enable
a
‘family’
account
if
you
will,
where
several
people
can
share
a
BitzIdent
and
use
the
same
account
from
different
wallets.
Further
details
will
be
published
on
the
Bitz
Forum
and
the
website
in
due
time.

11. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
11
1.3.
Platform
Diversification
Bitz
is
currently
available
in
version
1.1.0
for
MS
Windows,
Linux
(23
&
64
bit)
and
Mac
OSX.
In
addition
to
these
platforms
we
aim
to
make
Bitz
available
on
Android
(on
Google
Play
Store),
IOS
(for
Apple
products),
Z10
(for
Blackberry)
and
to
develop
a
secure
web
wallet.
BitzIdent
will
ensure
integration
of
any
combination
of
Bitz
wallets
signed
with
the
same
ID.
We
are
researching
the
possibility
for
integration
with
older
non-­‐smart
phone
technology
and
the
possibility
of
using
SMS
and
so
on
for
transactions
but
there
are
no
specific
plans
yet.
We
can
however
see
that
storing
the
private
keys
in
the
block-­‐chain
may
make
it
possible
to
access
and
use
the
balance
by
constructing
suitable
interfaces
between
other
platforms.
We
can
consider
running
a
server
that
“translates”
between
SMS
and
‘block-­‐chain’
and
so
be
able
to
use
a
unique
combination
/
password
to
transfer
Bitz
via
other
more
old-­‐fashioned
means.
1.4.
Long
term
security
We
aim
to
develop
strategies
to
counteract
any
threats
to
the
integrity
of
the
Bitz
infrastructure
such
as
the
possibility
of
a
51%
attack.
It
appears
that
the
best
strategy
to
deal
with
this
is
diversification
of
funds
and
global
distribution
of
Bitz.
It
is
also
beneficial
for
a
large
number
of
wallets
to
be
staking.
As
mentioned
above,
we
are
developing
regular
reward
schemes
beyond
the
staking
benefit
using
the
broadcast
function
on
the
network
to
encourage
users
to
run
their
wallets
permanently.
In
lieu
of
the
broadcast
we
will
arrange
an
alternative
extra
reward
scheme
to
be
announced.

12. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
12
Branding
and
Promotion
2.1.
Branding
&
logo
The
branding
of
Bitz
is
based
on
both
the
typical
crypto-­‐currency
symbols
and
currency
symbols.
We
have
chosen
to
use
the
letter
Z
with
currency
ticks.
This
is
to
symbolise
that
Bitz
is
the
last
(as
in
Z
in
the
alphabet)
and
final
currency.
The
branding,
name
and
the
symbol
is
meant
to
be
understood
globally
and
be
a
reflection
on
what
it
is;
which
is
a
digital
(bits)
currency.
2.2.
Brand
distribution
and
promotion
We
aim
to
promote
Bitz
to
all
parts
of
the
world
and
we
are
seeking
to
employ
people
that
have
local
knowledge
in
different
parts
of
the
world.
This
will
be
updated
further.
2.3.
Website
design
The
new
website
made
by
EBK1000
is
meant
to
be
simple
and
functional
and
to
reflect
the
branding
of
Bitz.
This
will
be
in
development
continuously.
EBK1000
is
not
a
professional
web
designer
and
updates
will
appear
regularly.
We
are
also
seeking
to
employ
a
web
designer
to
implement
further
features
to
support
the
network.
We
aim
to
publish
the
Bitz
web
site
in
the
following
languages:
Chinese,
Arabic,
Russian,
Spanish,
Greek,
Indonesian,
Farsi,
Thai
&
Japanese.
We
anticipate
to
have
the
wen
site
translations
done
in
the
1st
Development
Cycle.
2.4.
Social
networking
Bitz
is
currently
active
on
Twitter
and
Facebook
with
regular
updates
from
EBK1000.
We
want
to
run
a
Pinterest
account,
Tumblr,
Taringa!
and
Weibo
account.
We
are
actively
seeking
people
who
will
run
social
networking
accounts
in
other
languages
to
mirror
the
main
English
Twitter
account
and
the
Bitz
Forum.

13. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
13
Adoption
&
Reach
3.1.
Payment
Processor
Integration
We
are
currently
trying
to
whip
up
enough
interest
and
get
Bitz
voted
up
on
GoUrl.io.
We
are
also
interested
in
working
with
Coinpayments,
Gift
off,
Litepaid
and
other
but
at
the
time
of
writing
we
have
a
liquidity
problem
as
Bitz
is
only
traded
at
C-­‐Cex
and
minor
exchanges.
We
are
working
towards
getting
Bitz
listed
at
bigger
exchanges.
EBK1000
has
been
in
communication
with
payment
companies
and
they
will
agree
to
integrate
Bitz
into
their
systems
as
soon
as
Bitz
become
listed
on
Bittrex
or
Cryptsy.
3.2.
BITZ
end-­‐user
availability
Bitz
is
currently
traded
at
C-­‐Cex,
YoBit
and
CryptoTradeEx.
We
aim
to
get
Bitz
listed
on
Bittrex
or
Cryptsy
during
the
1st
Development
Cycle.
We
will
keep
offering
Bitz
for
sale
on
our
website
for
anyone
that
wants
to
support
the
development.
EBK1000
is
in
constant
communication
with
other
exchanges.

14. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
14
Legal
Framework
4.1.
UK
regulation
EBK1000
who
is
the
project
lead
is
based
in
London
and
the
main
programmer
Redpointer404
is
based
somewhere
in
the
cloud.
We
do
not
believe
that
there
are
any
legal
implications
at
this
stage
and
research
is
being
conducted
and
we
follow
the
updates
on
regulations
around
crypto-­‐
currencies.
At
this
stage
Bitz
is
solely
a
decentralized
network
and
we
do
not
believe
that
there
are
any
legal
framework
to
relate
to.
4.2.
Challenges
We
will
face
and
deal
with
any
legal
challenges
should
they
arise.
Further
updates
on
this
may
follow
as
and
when
appropriate.

15. ©
Bitz
Currency
–
2015
-­‐
v.
1.0
15
FINANCIAL
5.1
Cost
There
is
a
cost
associated
with
running
the
project.
EBK1000
is
currently
paying
to
host
the
master
nodes,
websites
and
offers
a
lot
of
his
time.
We
are
encouraging
donations
and
buying
Bitz
from
us
to
support
running
the
project
up
until
such
a
time
where
the
value
of
Bitz
will
allow
the
BCA
to
use
it’s
store
of
Bitz
to
pay
for
any
running
costs.
5.2
Bitz
Currency
Association
We
have
set
up
the
idea
of
The
Bitz
Currency
Association
(BCA)
which
will
serve
as
a
not-­‐for
profit
association
to
support
the
Bitz
project
and
to
promote
the
Bitz
project
and
act
as
a
value
protection
entity.
The
BCA
has
been
allocated
100,000
Bitz
from
the
initial
mining
effort
by
the
dev
team
and
any
person
that
will
work
will
get
a
proportion
of
this.
The
100,000
Bitz
are
staking
and
increasing
in
value.