Business ETC uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Click here to find out more »
Dublin: 11 °C Friday 24 October, 2014

Confused by Bitcoin? This guy explains it well…

Programmer Robert McNally put together a succinct presentation on what this ‘currency’ is all about.

IS BITCOIN THE new gold?

Some former gold bugs certainly think so.

And its value has skyrocketed in recent months.

But many readers at this point are probably wondering … what exactly is Bitcoin?

Robert McNally, an iOS developer at parking payment startup QuickPay, gave the following presentation to last year’s Hackers’ Conference in Santa Cruz, answering exactly that question.

With his kind permission, we have republished it here.

Confused by Bitcoin? This guy explains it well…
1 / 24
  • Bitcoin

  • Start with the basics

  • For some, Bitcoin *is* money

  • Among those who use it, bitcoin has same properties as cash

  • Some think it's more akin to gold due to its durability and limited supply

  • But technically, it's a cryptocurrency

  • That means there are no records or files on transactees

  • Bitcoin's principal benefit for many currency hawks...

  • There have been previous attempts at cryptocurrencies...

  • In theory, no-one controls it and you can take it anywhere...

  • Here's how Bitcoins are made...

  • Computers 'mine' for it by cracking a predetermined encrypted programme

  • As Boromir would say...

  • This is the arc of known gold stocks - and in theory, could be for Bitcoins

  • Here's what 'miners' look like in real life

  • One 'block' of Bitcoins is created every 10 minutes

  • Again, mining for Bitcoin requires a lot of dedicated computer memory

  • Do Bitcoins look like anything?

  • As previously stated, they're basically just code

  • So how much is a "block"? It's been changing every day. (this chart is outdated)

  • Who's accepting Bitcoins? Originally it was just gamers or programmers

  • But as its popularity - and value - grows...

  • ...so does the range of things you can buy with it

  • How about this for poker night?

All slides © Robert McNally.

- Rob Wile

Or if that one was too insider-y, try this explanation>

  • Share on Facebook
  • Email this article
  •  

Published with permission from:

Business Insider
Business Insider is a business site with strong financial, media and tech focus.

Read next:

Comments (65 Comments)

Add New Comment