Bitcoin for Beginners: Bitcoin Explained in Simple Terms

Video transcription

… and a cryptocurrency expert, Ladies and gentlemen, without further ado, allow me to extend a warm Malaysian greeting to Andreas Antonopoulos. Thank you very much. Thanks Hello, everyone, Salam aleikum. It is a pleasure for me to be here.

This is my first time in Malaysia. I have been in Kuala Lumpur for less than 24 hours. I really like it. This is my last book. It was printed in September. It’s called the “Internet of Money.” People often say that this is a difficult topic to understand. Bitcoin is a difficult topic to understand and I have published two books on it.

The first book “Mastering Bitcoin to perfection”, is for programmers engineers, technicians. How many of you are programmers engineers technicians? Is there anyone? Okay, so five people in this room can read the book in question.

It explains how Bitcoin works. Maybe you can read the first three chapters before you get to the technical part from there.

It’s a little hard to read it’s a challenge, not because I wanted to, but because Bitcoin is a complex thing for any of you who are not programmers.

I wrote this book The Internet of Money not to explain how Bitcoin works, but why it’s important? This is a collection of 11 of my speeches delivered in this format.

It explains the philosophy of money, the importance of Bitcoin for society, and is a book for everyone.

I gave this book to my mother to read and she doesn’t understand anything about computers or money.

So the book is a good start. Before we begin, I would like to feel the people in the audience. I want to know how many of you know the technologies we are going to discuss today. Answer by raising your hand, Let’s start with the narrowest selection.

How many of you own Bitcoin, Okay, someone has tried to have an effect on the community Hello. Thank you for coming.

Thank you for being here. How many of you have seen or experienced a Bitcoin transaction, but do not have money in that currency?

Okay, and how many of you have never made a transaction have no idea what Bitcoin is or how it works?

The topic is new to you great It’s about maybe 30 people, for those of you who do not know the subject. I would like to know whether or not you understand what we are discussing today. Ask your questions.

what is bitcoin, bitcoin beginner

I would like to hear even the most basic questions about Bitcoin, because I think these are important questions. Once we finish the presentation and the questions and answers.

I would like to see the maximum number of people in the audience to install a Bitcoin wallet on their mobile devices and someone in the audience to give them their Bitcoin for free, but not all Bitcoin, but part of it just to see how the transaction is implemented.

You can then contact your friend with whom you started the exchange and exchange Bitcoin with it. The idea is to experiment. I assure you that this is perfectly legal And it’s very easy to carry.

This will allow you to try a technology that is easier to practice than to explain. Yes Next question: How many people who have Bitcoin in the hall have it on their mobile device and would like to help people install a purse in which to deposit one or Two dollars, I would do that, look around, look who raised their hand and look for these people after the question and answer section.

Ask them to help you make a purse. Do not be shy. I myself will be happy to help you in the same way.

Okay. having said that, let’s start with the basics of Bitcoin in October 2008, in an anonymous mailing list called the Cyberpunk Mailing List, an anonymous participant using the pseudonym Satoshi Nakamoto announced the publication of an article, adding.

I think I have solved a computer problem and found a way to create a system of electronic money which is directly between people, user to user, (p2p ).

In the sense of the concept in computer science, I wrote a white paper on the use of this system and applied what was written in the article writing computer code.

On the same day, Satoshi Nakamoto published the White Paper. You can download it online. It is available at you can search for it with keywords: Satoshi Nakamoto white paper or Bitcoin white paper. In nine pages, Satoshi Nakamoto describes in detail and in a sense, even predicts many of the things that will happen in the next seven years.

What Bitcoin is what it can become and how it works, But he or they don’t stop there. We don’t know if Satoshi Nakamoto is a man, a woman, or a group of people. Isn’t he an alien from the future?

Well, maybe it’s not the last Satoshi Nakamoto then published the software and invited people to participate in network development.

This gives you a first hint on how Bitcoin works. Bitcoin is a software application and other stuff download this app. You run it on a computer, no matter your laptop or desktop computer. It is preferable to run it on a computer that is constantly connected to the Internet.

The application currently uses a lot of RAM and disk space, but in those days it was easy to use by computers. If you run the program, it goes online and finds other people using the same program.

You don’t know who these people are. She is not looking for. Certain people creates a random network of peers, which we call a peer-to-peer network, ( p2p ).

Each participant in the system is equal to the others. There is no special computer. All computers talk to each other. This is the equivalent of the crowd in a network sense That is, your computer.

Randomly connects to other computers, running Bitcoin software, and together they create a network. This network is used to execute and promote transactions.

They are encoded in digital format. They contain information about the exchanged, value, and the given permission to exchange value. No one controls this network and this is a very important concept.

No one controls this network. you can control one of these computers, But you do not control the network. You run one of these applications. It connects you with other people and you can manage another application.

It speaks the language of Bitcoin with other computers that speak that language, But no one manages or is responsible for this network.

Similarly, when you control a computer that speaks on the Internet and talks to other computers on the Internet, In fact, no one is in power or in control of the process.

If you communicate directly between these systems, This network began its existence on January 3, 2009.

On this day, the world changed for the first time in the history of money, trust institutions, and humanity. A system was born that is completely independent of government and institutions that builds trust through cooperation, communication, and computing through cryptography.

This system allows people to exchange value to exchange money and this money is called Bitcoin. So Bitcoin is an application.

The software you use on your computer to communicate with other computers using the same software Bitcoin is the name of the network that connects all these computers.

There are 6,500 such as computers in the world. Wherever there is the internet, they demonstrate their presence. There are several thousand who do not, And there are tens of thousands who just listen to this network without actively participating in it.

This whole network is used to create and transfer value in the form of transactions that are measured and expressed in a new currency.

The Bitcoin currency is different from any other form of money we have ever seen. First, it does not exist in physical form. It is the culmination of a trajectory in human history. Over the millennia money has become an increasingly abstract form of currency.

We start with very tangible forms of currency. These are the goods goat, banana pineapple. These are very bad forms of money because you can eat them, they spoil or die.

They can also be lost. These are not good forms of money because they are the most valuable object from this money. We moved to gold, precious stones, and coins. These are better forms of money because you can’t eat them, they don’t die and they don’t spoil. They do not represent value alone. They are not the value, and this is an interesting concept.

Money is not the most valuable thing. money is the thing you exchange for a valuable thing. Bananas are not a good form of money, because bananas are the value you are trying to get money.

Is the thing you exchange for bananas and it has no value in itself? They are just a symbol and an abstraction

Money becomes something I can carry and give to someone tomorrow, and he might give me bananas in return.

This future promise of value is the essence of money. That is the essence of money. Is the ability to have an abstract object that is unchangeable, unadulterated and eternal, retains its value and represents the exchange value in the future as a promise?

Over time, these things have become less physical and more abstract. Why?

Because people don’t like change And if we tell someone in the past, “I’m not going to give you bananas for your work .” I will give you a shiny gold coin, but don’t worry you can use this coin to get bananas.” They look and say: “I’ve always had bananas for my job. I think it’s better to have bananas than this yellow thing .” One hundred years later, they already believe that the yellow thing is valuable.

Then you tell them : “Now I’m going to give you a piece of paper instead of the yellow thing, but don’t worry you can still turn these papers into bananas and most people said:” I don’t think it’s real money! I want the yellow thing”. The world goes on and in the end, we are changing and saying: ”You know what you will not receive either the paper or the coin. You will go, look at some numbers on a paper page or on a website.

This is your amount of money in the bank, But don’t worry, you can still use it to get food products and services.

Bitcoin for Beginners: Bitcoin Explained in Simple Terms 1

This is really money, you can’t touch it, can’t see it It’s just a number. Finally, we come to Bitcoin. He has no physical form, It does not exist materially, it cannot be touched. It is just a digital form of money, But this is a digital form of money, completely different from anything we’ve seen before.

The difference is that this is not a form of money recorded in the company’s database or registers. This is not a digital form of money, that is a debt owed to a central bank or government.

This is not a digital form of money issued by a sovereign, a central bank, a nation, a king. This form of digital money is issued through complex and energy-intensive calculations on the Internet. It is stored simultaneously on each computer that is connected to the Bitcoin network. This currency is valid independently from any computer participating in the Bitcoin network. It cannot be tampered with falsified censored, frozen or confiscated.

It can be transmitted as information anywhere in the world. It can be verified independently by anyone who receives it, and it is not controlled by anyone. Its value is not controlled, Its issuance is not controlled. Ownership of it is not controlled. It is exchanged directly from one person to another without intermediaries. If I use my cell phone to make a payment to someone in this room, I’m making a digital transaction recognizing the fact that, through my digital signature, I authorize the transfer of a certain number of Bitcoin that the network knows belongs to me to another Bitcoin holder.

The recipient of this Bitcoin will be able to control the received funds through his own digital signature. Through a cryptographic key, You don’t need to know anything about digital signatures and cryptographic keys. When you use Bitcoin , you see an application on your mobile phone or computer.

The app tells you that you have three Bitcoin. It allows you to see the recipient’s address, which is a number and resembles an email address. The application allows you to select the Bitcoin number you want to transfer and when you press, send, it uses the digital signature and private key in your device to create and sign a transaction that is reported to the entire Bitcoin network. With the message, I transferred this value.

Then the whole network learns that this amount already belongs to someone else. They don’t know who this other person is. No one knows when you perform a Bitcoin transaction. It is not linked to or attached to an identity. No need to create an account, no need to register, give an ID or name location, address age, gender, race, religion, nationality, anything.

You don’t even have to be human laugh, but it’s true Bitcoin allows for the first time in human history, non-human subjects to control and possess value. This is strange because we have never had it in any legal system in the world. We have the legal fiction of corporations. Corporations may have value, but they can exist as associations between living human beings with Bitcoin, a software agent that is not owned by anyone can use and use a cryptographic key to own and trade Bitcoin internationally. This creates many interesting and very disturbing opportunities for the future.

Artificial intelligence systems can own and control money without the involvement of any human being. There may be corporations without directors.

They are completely controlled by software without the involvement of human beings, But back to the people.

If you are a person who has installed a Bitcoin wallet, you must go through a complex test to install this software. You must be able to download an application. That is all If you have an iPhone. You need to remember your iTunes password to install the app so far I’ve noticed that this is the hardest part of participating in Bitcoin global economy, remembering your iTunes password.

But if you can do that, If you have access to the Google Play Store, If you have a basic knowledge of mobile applications, If you can download the .exe file to Windows and install it, you can double-click, that’s it, You don’t have to give your name or email address You don’t register or create an account. Don’t have to prove who you are where you are or prove you deserve it.

You do not need a credit history, You do not need permission, ( authorization ). This is completely different from any piece of a system we’ve had before For the Internet generation.

The concept is very familiar when you open a browser and start using the Internet. … Do I need to register or get a license to use the Internet?

Do you need to create an account to visit Wikipedia?

No, the only requirement is that you can install open, and use a web browser.

It was a time when the idea of allowing every human being to communicate without borders and censorship on the World Wide Web. It was horrible for some people for some it is still appalling.

Most of the younger generation find this idea liberating on a global scale. Bitcoin does the same with money, What happens when every human being on the planet with a simple download and installation of the application, it can become a member of a global economy without borders that allow people to send and receive money at will anywhere in the world. 24 hours a day without interruption for the last seven years And the fees do not depend on the amount of money you send but are paid simply for the capacity of the network. You use.

You can make a Bitcoin transaction for about $1. It doesn’t matter if you transfer $1 or $100,000. You always pay $1. It doesn’t matter if you send the amount from here to another province of Malaysia or send it to the opposite. End of the earth, It doesn’t matter if you are an individual or a corporation or send the amount to another individual or corporation, It doesn’t matter. If you send it to someone who is rich or poor, you can do it. Bitcoin completely changes the way we approach it. Finance, but this is only the first layer of its effects Because the technology that allows two people from opposite ends of the earth to exchange protected value without knowing and trusting each other discovers a wide variety of applications that we have not yet imagined.

Bitcoin blue wallet

Bitcoin is not just money for the internet. Bitcoin is a platform. The technology used by Bitcoin is a combination of ( 1 ). blockchain. The global transaction ledger that records each transaction by ( 2 ).the decentralized consent mechanism called “proof of operation”, which allows security in the bitCoin blockchain from (3 ). The open-access system allowing everyone to participate without borders and from ( 4 ). Its boundless and neutral nature allowing participation, no matter who we are The only thing that matters is whether a transaction is valid not who its source or recipient is or what the size of the transaction is. These building blocks allowing Bitcoin to exist, open the door to tens, hundreds, and thousands of applications of trust. In essence, Bitcoin is a replacement for “trust through institutions”, with “trust through networks”

For centuries, humanity has depended on the fact that, in order to coordinate activities between a large number of people, we must have something to believe in so far. The best answer to this problem has been the institutions, rule-driven associations of people, policies with built-in people-led monitoring, transparency, and accountability, to build centers of trust through tradition, reputation, and duration. Institutions of trust are failing around the world; They fail when they are newspapers. They fail in political institutions, They fail in a number of ways. The reason for their failure is that they are large-scale institutions made for industrial societies And we are no longer industrial societies of nation-states. We are now information societies with global dimensions, societies that cooperate across borders on a large scale. We are not now addressing issues that affect 30 million people in one country, but 7.5 billion people on one planet.

Traditional institutions do not work for problems and cooperation of this magnitude. They fail to cover the scale. They are not evil, They are not deliberately corrupt, They simply fail to solve the problems of global society In the period in which we see the old institutions failing. We also see the emergence of new governing institutions. New systems for global cooperation are emerging that allow us to collaborate, communicate, and solve large-scale problems. The first such system was the Internet With it. We saw the first system of communication that transcends nations and crosses borders. It allows anyone and everywhere to communicate. Bitcoin represents the same change but happening with money. It is a metric, network-centered monetary system that is beyond the nation-state. It is a network-centered monetary system that can scale and allow people to collaborate globally.

It allows anyone and everywhere to participate in the global economy without barriers without borders, without an ID card without recommendations, just by using software, This will change the world. Thank you.

As found on YouTube

How To Buy Bitcoin Absolute Beginners Guide | Cointelegraph

Video transcription

Are your friends getting rich trading cryptocurrency? Do you want to get in on the trend, but have no clue how to get started? Luckily, for you, we here at Cointelegraph have put together a definitive guide for absolute beginners on everything you ever wanted to know about buying Bitcoin but were too embarrassed to ask Bitcoin Wallet.

Part 1

The first step on your journey to becoming a legendary Bitcoin trader is to open a Bitcoin wallet. A Bitcoin wallet is simply an app website or device that manages your Bitcoin private keys and allows you to receive, store, or spend Bitcoins in Bitcoin Wallet.

Part 2

Wallets come in two forms: hardware wallets and software wallets, also known as cold and hot wallets.

Cold wallets are hardware devices like Ledger Nano S, Trezor, and KeepKey. They are much more secure but often cost a few hundred bucks Hot wallets, protect your private keys via web applications, apps on iOS or Android platforms, and even desktop apps

Examples include Exodus, Freewallet, Jaxx, and Electrum. Hot wallets are the most popular way to store and access Bitcoin but can be hacked theft. Protection After you’ve chosen a Bitcoin wallet, make sure to avoid scams and theft by:

1. Generating your private keys in a secure offline environment.

2. Create backups of your private keys.

3. Encrypt wallets to provide additional security next Steps.

Now that you’ve got a Bitcoin wallet, you are almost ready to start buying, but first, you have got to find someone willing to sell you their Bitcoin. In exchange for your money Exchanges, Most people buy and sell Bitcoin on Exchanges like Coinbase, Binance, or OKEx.

In order to open a trading account on a major exchange, you’ll ll need to have a valid ID and a bank account buying Bitcoin. After you open your account, you need to find a good offer. You can buy the Bitcoin using your credit card or debit card and via bank transfer, but some restrictions may apply to cash exchanges. If you want to remain anonymous. buying Bitcoin with cash may be a better way to go. Examples include Bitquick Wall of Coins and LibertyX.

How To Buy Bitcoin Absolute Beginners Guide | Cointelegraph 2

You can meet with Bitcoin owners face to face and trade your cash for their crypto in person. If that’s your thing, If you’re not comfortable with that, you can also try an escrow service like Local, Bitcoins, Bitify, and Bitrated.

What Now Congratulations? You have just completed your very first Bitcoin purchase You are official, a cryptocurrency trader now well done Wondering what you can do with those Bitcoins try cashing out at a Bitcoin ATM buying other cryptocurrencies or even investing in an initial coin, offering ( ICO)

Happy trading


Your Key To Success: You Must Avoid These 5 Bitcoin Mistakes

It can be really exciting about getting involved with Bitcoin. But a number of newcomers keep making the same mistakes when they get involved.

Some of these mistakes can be very costly so we bring you 5 mistakes that you must avoid at all costs to ensure that you get the most out of your participation with Bitcoin.

1. Using your Exchange Wallet to Store all of your Bitcoins

Bitcoins are now worth a lot of money which makes them attractive to new investors. It also makes them attractive to hackers and thieves as well. Most people purchase their Bitcoins from a cryptocurrency exchange. When they do this the exchange provides them with an online wallet to store their Bitcoins. Keeping all of your Bitcoins in your exchange wallet is a bad idea for two main reasons. The first of these is security. It is almost impossible to hack the blockchain for Bitcoin but online exchange wallets are a much easier prospect. If a hacker gets into your online exchange wallet then they can take all of your Bitcoins.

The second reason you should never keep all of your Bitcoins in an exchange wallet is that they can suspend or even close down your account for a variety of reasons. If they close your account down altogether then you lose any Bitcoins in your exchange wallet.

2. Not having Secure Places for your Bitcoins

There are different types of wallets that you can use to store your Bitcoins. The online or mobile wallet offers the highest level of convenience but the lowest level of security. You can use these wallets for small and regular Bitcoin transactions. You can get a more secure wallet which is an application for your desktop or laptop computer. Some of these are free and some require a small payment. These are medium-security Bitcoin wallets as you can disconnect your computer from the Internet.

Paper wallets are more secure. As the name suggests you print off your vital Bitcoin information to paper and then you can store this where nobody else will have access to it (such as in a safety deposit box).
Finally, the most secure wallet is the hardware wallet. This is a USB stick where you can store your Bitcoins. You only need to use the hardware wallet when you are making transactions. Take it out of the computer when finished. Hardware wallets are fairly expensive but they are worth it.

3. Price Change Panics

It is no secret that Bitcoin is a volatile currency. Price swings of around $100 a day up or down are commonplace. Sometimes newcomers to Bitcoin investing panic when they see these price changes – particularly price drops.
There is no need to panic. Bitcoin tends to go up and down in price in cycles. It has steadily risen in value over the years and there is no reason to think this will not continue.

4. Shifting from one Cryptocurrency to another

If you are going to invest in Bitcoin then stick with Bitcoin. Jumping around from one cryptocurrency to another never works well. Don’t be tempted by Altcoin as this is not as well established as Bitcoin.

5. Not knowing enough

You need to know as much as you can about Bitcoin to get the most out of it. Understand how it works and studies its price change patterns. There are many Bitcoin communities that you can join on social media.


Chaos and collapse in 2008. The subprime mortgage crisis led to the Fed printing squillions of dollars under the quantitative easing program. This was rapidly followed by a deep recession worldwide. The next event was the European Sovereign debt crisis which led to a loss of confidence in Government-issued currencies.


Since the birth of the internet, there have been movements to create virtual currencies. However early attempts could not solve the DOUBLE SPENDING problem. Put simply if digital money is just information then the same Token could be duplicated and spent twice. The way around this is to verify whether or not a token has been spent by a verified trusted source. Whilst a central authority could be used it also creates a weakness in the system by having a single breaking point. BITCOIN bypassed this by utilizing what’s called the blockchain a public ledger of transactions where each transaction is verified by an extensive, decentralized network of computers. AUGUST 2008 is registered.


In OCTOBER 2008 BITCOIN DESIGN PAPER IS REGISTERED and thus Bitcoin was born. Satoshi Nakamoto likely a pseudonym is the founder of the protocol. No one knows the true identity of this person or group but what is know is- Satoshi Nakamoto is Japanese and the translation is rough “Thddainking clearly inside the foundation” Satoshi made a final programming contribution in 2010 and then the reigns were handed over to Gavin Andresen, Bitcoin’s current lead developer. In January 2009 The so-called genesis block is released along with some Bitcoin software and the first Bitcoin is available.


Did you know that Bitcoins are being viewed as the currency of the future? Yet there are a large number of people, even those with a financial background or who deal with monetary transactions, who do not clearly understand what exactly Bitcoin is.

This virtual currency, has now caught the attention of numerous tax collectors, bankers, economists and businesses at large, why? Because since 2013 we have witnessed a massive growth in the value of bitcoin. It is probably one of the most profitable ways to make money in the virtual or shall we say online world at the moment. Now we know it is a form of Electronic money. However, what exactly is Bitcoin? If Bitcoin and cryptocurrencies are  new to  you or even if you have some idea then read on .


This site is a complet guide to bitcoin packed full of facts and information which will guarantee to put you ahead of the crowd in what has been deemed the Gold Rush of the Century. But Bitcoins are no fad , there is no get rich quick scheme, it’s just a coming revolution that you need to be part of now.

If you get ahead of the crowd yes you might even be able to cash in on this revolution. Its a veritable gold rush that is underway and gaining momentum like nothing ever seen in the financial markets this century, or in fact ever before. So, enjoy reading and gear up to become rich, or shall I say richer! Is it possible to become a millionaire with Bitcoins… Oh yes it is. Take a quick look at the screenshot below. Some of these people are holding wallets with Bitcoins worth  20+ million dollars of real money. The value of Bitcoin has skyrocketed since it began, which has led to many people getting excited about how they can cash-in on the trend. Do we have your attention now? Lets look at little closer.

Bitcoin Q&A: How do I Choose A Cryptocurrency Wallet?

Video transcription

I have a question about choosing a wallet I have been using Copay on my iPhone for a while. Then someone said, Oh, you are using Copay. When I started using this wallet, I didn’t even know the relationship. Then I used Trezor someone told me, Oh then you must hate Bitcoin Cash. When I started using the wallet, I didn’t even realize that I felt like I was involved in these arguments. In a way, Do you have any suggestions for this situation, how to find and choose a wallet that matches my own cryptocurrency philosophy, or run a complete Bitcoin node directly [Andreas]? I struggle with this every day. Not only do I have to choose a wallet for myself, but I often need to recommend a wallet to newbies. The standards are usually different.

My wallet of choice tends to have 150 adjustable knobs And the parameters that I can highly customize If my wallet is not supported by my own full node, what a wallet!, [contemptuous gesture] For a novice. I only said three meaningless words: “RBF” “Tor” and “node” [laughter], That wallet [, probably], is not for novices. I [may] recommend another. This is a difficult choice.


As the SEC Launches Crypto Office, Blockchain Security Brings Out Its Big Guns


Most importantly, this is a choice that changes every three months, at least for me, The entire industry is constantly evolving. What used to be a good wallet is no longer good. The wallet that used to conform to my principles no longer adhere to the principles. I agree with Wallets that were once considered: safe is no longer safe. What I want to do is change my wallet often In about a year. I will switch my main mobile wallet. Petty cash daily wallet, My long-term storage system is not a hardware wallet, but a piece of paper.

That’s another matter. It can stay static for several years. As far as the daily wallet I use broadcast transactions to wallets in the network, I will keep trying and re-evaluate wallets frequently to see if they can keep up with technological development. Now one of my criteria is: If it does not support SegWit, then I don’t want to use it If SegWit is not supported. The transaction fee is too expensive. For me, I need SegWit to get the fee discount If your wallet does not support SegWit. I am not interested in using it. This means that I currently do not have a mobile wallet.

None of them support SegWit. Sometimes you have to tolerate differences. What I can tell you is that no matter which wallet you choose, you are obviously not a traitor of a certain faction. The wrong choice means not because you made a mistake, but because you … Maliciously attempting to destroy a healthy network and was bought by the CIA.  I’ve never worked in a place where the circular firing squad is always fully automatic. No matter what choice you make, almost everyone who has no choice will criticize you

This is not a game of winners and losers. You need to judge for yourself. I don’t pay much attention to those things. You just need to try your best to explore in a very complex and dramatic environment.