Vernacular Bitcoin principle decryption

in bitcoin •  4 years ago 
  1. The background of Bitcoin

For the current popular electronic currency-Bitcoin system, there are many introductory articles in Moments, and some people try to vividly explain the characteristics of Bitcoin through comics, but they still have no idea. There are always some questions that are not clear. Knowing these issues, I have recently studied several Bitcoin books and Bitcoin papers published by Satoshi Nakamoto himself. I feel that I am very excited. I can’t wait to share my understanding with you. I hope to discuss and make progress together with you.

  1. What is Bitcoin

Bitcoin is an electronic cash system implemented using peer-to-peer technology, which allows one organization to directly make online payments with another organization without the need for an authoritative settlement agency in the middle.

In the Bitcoin world, if you want to own Bitcoin, you need to apply for a Bitcoin address, just like you need to open an account when you deposit in a bank, and then you have this account, and with your own account, you You can deposit money to your account, and others can also transfer money to your account. When you need to withdraw money or transfer money to others, you need to show a key that can open this address, which is your private key, just like You need to provide a password when you withdraw money from an ATM.

Unlike the legal tender issued by banks, the issuance of legal tender is managed by central banks of various countries. Everyone believes that central banks are reliable and will not make mistakes or be attacked. However, the issuance of Bitcoin does not require an authoritative institution such as the central bank. It allows a transaction to be directly settled from one organization to another organization, eliminating the need for an authoritative institution to settle the link, improving the efficiency of transaction and settlement, and saving transactions. Costs, especially the cost of cross-border transactions.

How does a peer-to-peer online transaction system ensure the anonymity, correctness, and non-tamperability of transactions? How to prevent double payment and prevent cheating and attacks?

The following chapters will solve the mystery of Bitcoin in the most popular language for everyone, let you understand logically how Bitcoin works, let you learn Bitcoin without leaving a dead end, and let all aspects of Bitcoin be clearly presented to you In his mind.

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