If you want to store bitcoins, you need a Bitcoin wallet. There are lots of ways to get a free wallet. My favorite is blockchain, it’s web-based so it looks like your online banking plus it can sync with your smartphone or tablet.
Here’S how to set up a blockchain wallet, go to blockchain.info click wallet. Then click start a new wallet choose a password of 10 characters or more fill in a CAPTCHA and click continue.
Note your identifier password and the pneumonic device that appears you can use this to recover your wallet so store it somewhere safe.
That’s it login with your new identifiers and – password and? You’Re? Ready? To? Send? And! Receive, Bitcoin? Sync? Your blockchain, wallet? With! Your smartphone, or! Tablet! By downloading, the app, and following! The directions; blockchains wallet; has great; tools? Built-In; shared? Coin!
For example, offers trustless coin mixing and shared sends routes transactions through a shared wallet for increased privacy. You can add to security by having a special code sent to your phone. In addition to your regular password, Google Authenticator works great for this.
It’s free and doesn’t require an internet connection in order to authenticate a password plus it works on a smartphone or tablet, be your own bank at blockchain.info
I bought bitcoins around 500 dollar and then l saw it start going up, so I thought I’m a genius at investment.
His name is Ricardo, Salinas, Plego, the founder and chairman of grupo Salinas with a fortune estimated at 12.6 billion dollars.
He is the second richest man in Mexico. Not long ago, Salinas revealed that 10 of his liquid assets are in Bitcoin. That may look a little irresponsible in Latin American conservative business circles. It’s a joke, it’s made of air. It has nothing tangible to back it up.
You know you heard all the arguments, so what is the rationale behind Salinas massive Bitcoin allocation, and why is Latin America a promising market for digital gold? to find out join us in our latest coin telegraph interview.
What’s up everyone, l’m giovanni! Welcome back to another coin! Telegraph show today I have the pleasure to be joined by Ricardo Salinas founder and chairman at grupo Salinas. How are you doing today? Ricardo, I am doing very well.
Hello from Mexico to everybody, so Ricardo. I would like to know what was the first time you heard about Bitcoin well, it was, I was invited to a conference in new york city. I think it was organized by sap. You know the guys that do enterprise software and there were different sessions and one of the sessions.
This guy from grayscale showed up and he gave us the whole talk about bitcoin and how he’s going to take over, and l thought man this is really interesting um. It immediately attracted my attention, l said: well, let’s try it out and see what happens and l put in a small amount. It was trading at the 200 per bitcoin, it was 2013, I didn’t understand this thing about the wallet and buying it in the exchange and so forth.
It was very complicated. So what I liked about great scale, was they simplified. It basically you’d put your money in a trust. Then this trust would do the investment they would take care of of the whole thing they would take care of the custody they sent you, you know a monthly uh statement.
Oh, that was a very good arrangement and eventually that that trust turned into gbtc, which is now an exchange-traded product. So I was very happy about it, but I’ll tell you the next part, which is very interesting. This was on the 1st of november. It was 200 and then l looked at it again on the 20th of november and it was already 550
So I thought I’m a genius at investment, I said I want to add some more so added a lot more and stayed in there for all the way until 2017. We made a very nice trading, profit cool. What is the property of Bitcoin that attracted your attention back then a digital asset that can be traded freely across the world.
I think that’s the most powerful thing you know um, because we have digital assets like fiat, currency, digital money, it’s very difficult to make that digital money or fiat money travel across the world. So if I have some pesos right now – and i wanted to send you – don’t know – a thousand dollars – we’d have to first sell those pesos buy the dollars, get the dollars, buy some euros figure out how to send their euros to europe, and then you could Collect your money over there very difficult, so I’m because we’re in the payment business here in mexico, we’re really big in that it attracted my attention as a payment vehicle, but then I figured out that no, it was not the payment issue. It’s the store of value that really makes it valuable. So that’s where we are today, I’m a big believer in the store value function.
Why do you think that Bitcoin is more valuable as a store of value than as a means of payment?
Because I think the the the payment application across borders is a fantastic application. I think it still has a lot of merit, but the thing is the volume of that for small payments is not important. I mean cross-border payments with big money is very important, but big money players are not into bitcoin, so we have to focus on small players, small amounts and – and that’s not a big volume.
Payments is mostly inside the current the country inside the currency system. So, in that respect, the application is, is the application for bitcoin in that environment is useless?
It doesn’t matter because there’s a very good way for me to transfer pesos from one individual to another inside my country right still, a lot of Bitcoin proponents say that Bitcoin has a great potential in the field of remittances, for example in the US. There are a lot of Mexicans working and sending money every month back to Mexico.
Don’t you think that that’s a great use case for Bitcoin, I think so, and it’s just a question of time. You know make people to adopt it. I mean the people who send money from the US to Mexico are not sophisticated customers. They are mostly manual workers trying to make a living in the united states, and they it takes a lot of effort for them to to win their dollars, and then they don’t have the means, I think, to participate in a Bitcoin transfer scheme, but I mean it’s obviously doable and to the degree that that Bitcoin is easily available and accessible in the US to these people.
They could do that easily and we want to have in our banking system. We want to have a brokerage system attached to the bank, where we can accept and bitcoins and trade them into pesos and also sell them, we’re working on all that. I just don’t see a big volume of it right now, but I think it’s it’s definitely going to grow so in between 2013 the year where you first bought Bitcoin and today Bitcoin experienced a lot of ups and downs.
Did you ever lose faith in the asset?
Well, let me tell you that’s a very good and interesting story because, obviously, when I bought the coins around 500 and then I started saw it start going up, I mean I was going crazy because I thought that I had to sell them. I mean it was obviously ridiculous right. It so happened that this trust that greyscale had it was impossible to get out of it until a certain date. So through no merit through no merit of mine, I had to sit around until that date came, which was in february of 2017, and then I could take possession of the of the asset and and sell it.
It’s not because I’m a genius, it just happened that I was not able to sell it. I was not able to short it. I was not able to hedge it, so just sat around and I think it’s been a great investment lesson.
Okay, so you said that you gained back control of your Bitcoin investment in february 2017. That year later, we had the Bitcoin price skyrocketing and then it crashed, and then we had the bear market in 2018..
How did your attitude towards bitcoin change during that bear market?
It was fantastic timing again and also through no merit of mine, but I think the peak was in December around 20 000 and then in fair in in january, when I got hold of the asset, it was 17 000. I sold it at 17 000. and got out of it completely. I had a big party, I’m very happy.
It was all my best investments ever, but you know we always return to the scene of the crime right. So when it went down to ten thousand, I thought well now it’s more reasonable and I bought some of the at that time, and then it went down more to six thousand.
I bought some more and and that’s where I am where our average right now is around 9 000 and I’m not selling it. I think I’m going to sit around for another 5 or 10 years, so you recently revealed that 10 of your liquid portfolio is in bitcoin. That’s a pretty massive position for an asset that is still considered by many investors to be highly risky and volatile.
Can you explain the rationale behind your portfolio construction?
Well, I always view my holdings as core holdings comprised of stocks in my companies equity in my company. This is my main position and that’s not for sale. It’s not for trade, it’s forever, so other than that stock portfolio. In my own equity, I have a good size trading portfolio that I call my liquid acids and I’ve always had those liquid acids mostly invested in in hard acids like gold, silver and precious metal miners.
That’s sort of been my my destination. I don’t trade in the high-tech stocks, the Nasdaq stocks, all the high flyers, the fangs, never touch them. I’m much more of a value investor, and so that’s why i have my liquid assets in the let’s call it hard money portfolio. So, for me, to take 10 of that and put it into Bitcoin is not a big deal. It’s just the position and hopefully it will turn out okay.
Do you plan to increase your bitcoin position in the near future when it drops?
I will certainly increase my position if it drops so, as reported by bloomberg your bigger listed assets, which is conglomerate group Electra Sab and TV Azteca slumped by 10 and 60 respectively this year.
Did your Bitcoin investments help to make up for some of those losses?
No, no, no, not even close, but you know again, those are my my main uh equity investments.
They happen to be quoted, listed, but they’re not for sale and at any price. So l’m not worried about the valuation of my my companies, I’m not in the stock selling business. I am in the money making business and as long as the companies continue to make money, we’re very happy okay, so my next question would be.
Why do you think that Bitcoin is so popular in Latin America?
I’m not so sure if it’s so popular in Latin America, but I mean obviously, what’s happened in Venezuela and Argentina where fiat money is collapsing and it’s become a scandal.
The way you see those wheelbarrows of of uh Venezuelan cash being thrown in the dumpsters, I mean it really opens your eyes to the problem of fiat cash. You know and most of our countries – I would say every country in Latin America has gone through some horrific inflation periods and it’s hard to forget that l mean there’s a lot of young people out there.
I’m 65 and remember what happened in the 80s. I remember very well and the the destruction of wealth and the transfer of value from the people to the government was was horrible and I think that creates a fertile ground for someone who who’s worried about preserving their capital.
Obviously this is a problem also in other countries, in Africa, for example, and in Lebanon. You know we have Zimbabwe, which is a basket case, and now Lebanese is a terrible thing, but this is what happens to fiat money.
You have been talking about Latin American currencies and also occurrences from developing countries, but what about the dollar?
A lot of our guests say that the dollar might face the same kind of debasement soon. What do you think about these predictions?
Well, the thing with the dollar is that, because it’s a reserve currency, a worldwide reserve currency, it has different kinds of rules, I mean, but the way they manage their central bank is like a third world banana republic. You know when internal credit of the federal reserve. More than doubles year over year I mean this is outrageous, it’s only because they’re Americans and they can get away with it any other country would have a massive depreciation.
However, having said that, what is the competition?
Europe is doing the same thing and I’m not sure about Japan, I’m not sure about the numbers, but Japan has also increased the central bank balance sheet in a horrific amount.
So what we’re seeing is that all the fiat, the major fiat currencies, are being debased as we speak so having the dollar collapse against the other currencies doesn’t make any sense. What’s going to happen is happening.
Is that asset prices go up in terms of dollars and that’s why we see the booming stock market in the United States?
I’m pretty curious to know what is the most common perception of bitcoin among Latin American entrepreneurs. I think there’s not really a perception very, very few people know about this and you know it’s the usual. If you get into a discussion about it, people say well, it’s it’s a it’s a joke! There’s nothing behind it! It’s made of air! It has nothing tangible to back it up. You know, you heard all the arguments. People are the same across the world, they all say the same thing right. So in this kind of conversation with your peers, you are always the outsider right. Oh, yes, I’m very much used to being an outsider okay.
I’m curious to know what is your counter argument that you usually use in these conversations with your peers to defend bitcoin?
I think the main confusion is people come up with this idea that, oh it’s not money so well, we have to go to definitions of what is money. You know money as a unit of account as a means of exchange as a store of value, and but anybody who studies monetary history knows that money has been evolving across time.
I mean that’s why I mentioned the book of the Bitcoin standard by this Lebanese gentleman cefedine and he has a really excellent chapter on monetary history and he takes us through how people used to have. You know big rocks as as proof of wealth, and then these rocks were traded and then how you go to copper and iron. People need to exchange stuff right and what they use to exchange is the most tradeable commodity, that’s within their reach, and that’s why gold and silver became very good instruments for trade they’re commodities.
They have some use and they’re highly desirable and they’re easy to exchange. So I mean, if you just consider that logic and the way that most of the world has now gone to an all digital money, bits and bytes in the ether i mean, what’s so bad about Bitcoin, it’s bits and bytes in the ether, but the big thing is it cannot be debased and it cannot be confiscated that easily it can be confiscated, but not so easily right.
So there’s got a lot of things going for it as a means of exchange. It’s actually a pretty good commodity to be used as a means of exchange. If you want to call it money or not, it’s totally personal doesn’t matter all right now, switching topic. According to a report published by intelligence, firm insights, the majority of the world’s illicit crypto funds ends up on Latin American crypto exchanges, and that is because, apparently, Latin American exchanges have very lacks kyc and aml procedures.
Don’t you think that this trend could prevent crypto from establishing itself as a legit asset in Latin America?
That has nothing to do with know your customer in in anti-money laundering much less with terrorism financing. If this is just you know, the established governments don’t like Bitcoin, because it’s a competition to their fiat currency and they don’t like it and they want to get get them down. So that’s what’s happening and I think in terms of Latin America, I don’t think that there’s a lot of bitcoin volume.
As far as I know, in Mexico, or in Venezuela or Argentina, I mean there’s got to be much less than what is traded in the us and europe. If you talk about volumes, so no I’m not worried about that. I just think that there’s a lot of hypocrisy by the establishment about this new currency being used for nefarious purposes, that’s just propaganda to try and derail the product.
Okay, so you don’t think that this illicit crypto activity could prevent bitcoin to become a legit asset?
To become accepted by large investors and institutions in Latin America, I think there’s a big difference between being legal and being legitimate. I mean the asset is legitimate period. End of story, there’s no question about it. It’s an asset that you can buy. You can sell with the willing third party there’s no question about being legitimate.
Now any government waiving their magic wand of legislation can turn it into an illegal asset. And America again is a good example. I mean gold was a very legal asset until 1931, when it became illegal and criminal to hold goal. Judge the stroke of a pen.
Roosevelt did that so will it be? Will it be legal? I don’t know, will some governments try to make it illegal?Probably are we so concerned about that?
No, it’s just the way things are awesome, thanks a lot ricardo that was a great conversation. Well, thank you giovanni and hopefully, we’ll have a very nice bitcoin year now that it goes over 20 000 any day. Now that was Ricardo, Salinas, founder and chairman at grupo salinas, I’m giovanni your host, if you enjoyed the interview, don’t forget to like the video and subscribe to our channel cointelegraph like subscribe and hodl [ Music ] foreign
… 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.
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 bitcoin.org. 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 she 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. Services
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 bitCoins. 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 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.
In the future, biometric technology will be widely used for identity management. Biometric authentication has been closely linked to the concept of identity, as certain biometrics can identify you among a certain set of users (as employees or citizens). In this case, identity is the way you “assert” rights, membership, and ownership of property or data.
Hitachi from Technology Media Telecom demonstrated biometric blockchain authentication through Ledger Insights 2 years ago. The retailers included include the telecommunications company KDDI’au SHINJUKU’s flagship store and the branch of Mr. Donuts.
The demonstration is just an employee pilot and uses the KDDI coupon system. Biometric users first register and use their fingerprints for identification. It uses Hitachi’s own biometric infrastructure (PBI).
Hitachi does not store biometric data. Instead, it uses fingerprints to create digital signatures through public-key cryptography. Signature creation is a one-way conversion with fluctuations, so it can not be repeated.
Therefore, if the identity is recreated, the variations will be slightly different, creating a different signature. How it works when a user receives coupons, will be linked to the person’s identity.
The user does not have to show the coupon but puts his finger on the dealer’s identity verification gadget. You can use coupons without using a smartphone. This allows users to use coupons faster and retailers to use them more efficiently.
Coupon usage data is stored in the Hyperledger Fabric blockchain, which can reduce reconciliation costs. This also makes it very difficult to manipulate coupons.
Each participant in the blockchain will host a node and therefore a copy of the shared information. Biometric coupon Hitachi Hyperledger fabric recognition KDDI test to ensure the car meets legal requirements Japan’s SBI participated in the digitization of the blockchain project: Digital “Premium Coupon” project for low-income families
But where will the declaration of identity be? Today, the government issues identity statements in the form of documents that are difficult to falsify, including birth certificates, driving licenses, and passports.
About a dozen companies are actively involved in identity solutions, and these agencies are independent of all central authorities, such as authorities or representatives of companies or entities. All of these solutions include identity declarations available in the blockchain to achieve decentralization, enforceable contracts, secure encryption, and consensus.
Individuals and organizations working with arXivLabs have accepted and accepted our values of openness, community, excellence, and user data. arXiv is committed to these values and only collaborates with partners who follow these values.
The COVID-19 pandemic has impacted people’s lives, the relationship between governments and citizens, and the entire world economy, and of course, it has had a major impact on the United States presidential election.
Due to social isolation, a large number of American voters opted to vote by mail, which increased vote counting time, led candidate and acting President Donald Trump to judicialize the electoral process with actions in several states, and triggered intense debates about the veracity and legitimacy of the current American electoral system.
Currently, many have proposed “mobile” voting as an alternative more compatible with current times, allowing people to vote without leaving their homes.
We are able to shop online, there are professions that are performed 100% remotely — which has intensified with the current pandemic — but electoral participation still needs to be exercised in person and in a specific location.
Now, does this not go against the digital age where information and technology serve as facilitators of communication, data transfer and business transactions?
How does one make mobile, or remote, voting possible without compromising the security of electoral participation? The addition of blockchain solutions to the mobile voting process can give confidence to the electoral system and bring peace to the electoral process.
The combination of sequential hashing and cryptography in a distributed structure allows for the protection of voters’ identity and the verification of absolutely all votes entered in the blockchain platform, which can enable secure and transparent voting mechanisms with electoral vote monitoring.
Imagine how good it would be to check if your vote was actually counted for the candidate chosen by you, with the absolute guarantee of the secrecy of your vote? All of this is possible with blockchain technology.
American electoral jurisdictions and blockchain-based pilot projects
Electoral jurisdictions in several U.S. states have tested mobile-application-based blockchain voting for state, federal and municipal elections — primarily to enable remote voting by military and civilian residents abroad via smartphones and tablets, rather than the traditional and mail, fax and paper methods.
In all of the examples mentioned above, to the surprise of many and according to the authorities responsible for voting via blockchain, the electoral process proved to be easier and more accessible.
For that reason, there are already advocates of the use of blockchain in American elections.
The positions of American political personalities on mobile voting
As a result of the good performance mentioned in the previous paragraphs, there are already notable figures in American politics raising the banner of blockchain mobile voting, such as Bradley Tusk — an American businessman, philanthropist, political strategist and founder of Tusk Philanthropies; Mike Queen — deputy chief of staff to the West Virginia Secretary of State; and Jocelyn Bucaro — director of elections in Denver.
But because we are living in the age of polarization, there are also people strongly against mobile voting, including voting via blockchain. In that sense, we can refer to Jeremy Epstein, a member of the Association for Computing Machinery’s US Technology Policy Committee. Here, it is important to note that Epstein — who was a vice chair of the committee at the time — co-authored an electoral security report titled “Email and Internet Voting: The Overlooked Threat to Election Security,” which was developed in conjunction with Common Cause, the National Election Defense Coalition and the R Street Institute.
The report points to blockchain and internet voting as a target for online attacks by foreign intelligence, saying the transmission of ballots over the internet — including by email, fax and blockchain systems — makes them vulnerable.
Despite the pros and cons, are there solutions already in place that can protect citizens from electoral fraud? How would identity verification be used in the process? What projects and solutions can we think of implementing for identity verification in the voting process, and how would they work?
A blockchain solution that can enable a virtual election in the U.S.
The Voatz application, for example, looks for vulnerabilities and signs of commitment or vulnerability from the start. If the app finds that a smartphone has been compromised, it does not allow the user to vote. If the application passes security tests and third-party tools linked to it, the voter is authenticated on their mobile phone by a fingerprint or facial recognition.
The voter then provides their government identification, usually a driver’s license or passport, and takes a selfie for further authentication. Finally, the voter touches the fingerprint reader of their cell phone to verify that the smartphone is actually in the voter’s hands. In this step, the Voatz application combines the selfie taken by the voter with the image of the identity document and, after rechecking all the registration information given, confirms that the voter can vote.
Voters can use their own additional authentication factor, such as an Apple Watch, Google Authenticator or a YubiKey. And if they wish, they can still receive an SMS message or email as an additional authentication factor.
Cybersecurity in a blockchain vote
Regarding cybersecurity, as “all” software has vulnerabilities, it cannot be ignored that denial-of-service and distributed denial-of-service attacks are legitimate risks in a mobile vote. Therefore, it is important to look for backup methods for possible infrastructure failure in the case of a DoS attack on the mobile voting system.
The blockchain part of the process is the least worrying in terms of security. It is just one component of the voting process, which also includes the steps of identity security, verification and validation.
Blockchain, in the case of Voatz, is for the specific application for which it was built: to distribute voting records so that it is more difficult to attack remotely. It also has cryptographic audit evidence of each transaction.
The main security risk in voting via blockchain is in the interface with the electoral jurisdiction, where the ballot is also printed with a hash or encrypted key on top. After it is stored, it is finally digitized in the election systems and software ballot-reading systems. At this stage, the electoral process “is out of reach” for Voatz.
In addition to cybersecurity issues, another point in a blockchain vote that has been questioned is: How would the voting book be processed and the ballots verified in a blockchain solution?
Taking the Voatz app as an example again, it uses a 32-node blockchain infrastructure on Amazon Web Services and Microsoft Azure, each hosting 16 nodes in the United States. Cloudflare is among several companies that provide DDoS-protection services, and Voatz has said that the system employs end-to-end encryption and multi-factor authentication for infrastructure nodes.
Another blockchain voting solution was used in Colombia in 2016. “Blockchain Voting for Peace” is a case study by the Organisation for Economic Cooperation and Development of a referendum held in Colombia back then. In it, the nonprofit organization Democracy Earth Foundation creates a blockchain platform to allow Colombians living abroad to symbolically participate in the plebiscite on the peace treaty between the government and the Revolutionary Armed Forces of Colombia, commonly known as FARC. The interesting thing here is the possibility of democratic coverage provided by the blockchain.
From what we have seen so far, it is not an exaggeration to imagine that in the near future, many countries will see blockchain technology as an ideal voting method for a society that is increasingly digitized faster than ever.
However, even if the maturity of the technology is reached and it effectively brings greater legitimacy to the electoral process and veracity to the voting system, will we be able to overcome the cultural barriers and digital illiteracy that still exist in today’s world?
The views, thoughts and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
Tatiana Revoredo is a founding member of the Oxford Blockchain Foundation and is a strategist in blockchain at Saïd Business School at the University of Oxford. Additionally, she is an expert in blockchain business applications at MIT and is the chief strategy officer of The Global Strategy. Tatiana has been invited by the European Parliament to the Intercontinental Blockchain Conference and was invited by the Brazilian parliament to the public hearing on Bill 2303/2015. She is the author of two books: Blockchain: Tudo O Que Você Precisa Saber and Cryptocurrencies in the International Scenario: What Is the Position of Central Banks, Governments and Authorities About Cryptocurrencies?
Blockchain technology supports the Bitcoin network. It is extremely secure and now many organizations across the world are seriously looking at it for not just financial transactions but for their supply chain processes as well. In this article, we will discuss the 3 pillars of the blockchain technology behind Bitcoin.
The Decentralization Pillar
Before the invention of blockchain, most transactions over the Internet involved a central server. This server stored all of the essential data that supported the service that is provided. A good example of this is the banking system. Your bank stores your money and when you need to pay someone you have to use them and they charge you for this.
Client-server technology is everywhere online. When you use a search engine to find something your query ends up on a central server that dispatches the information that you asked for. The problem with client-server is that there are a number of vulnerabilities:
The biggest and most obvious of these is that everything is stored in one place. This makes a central server a real target for hackers. If there any operational issues with a central server the whole system grinds to a halt. The data held on a central server can be compromised which shuts down the whole operation. The solution to these centralized vulnerabilities is decentralization. With a decentralized network, all computers have the same information stored. If you want to interact with someone else on a decentralized network you can do this without any third-party intervention. You can send and receive Bitcoins without the use of a bank and a centralized server.
The Transparency Pillar
A lot of people do not fully understand the concept of transparency when it comes to blockchain technology. Isn’t the Bitcoin network supposed to be private? Yes, it is but it is also public for verification purposes.
You need to understand the concept of public and private keys here. A public key is used on the blockchain to show that you have made a transaction. Your private key is never shared. It is linked to your public key to make the transaction valid.
With the Bitcoin blockchain, you can see the public keys associated with all transactions. No other financial system has ever had this kind of transparency. There is a much-needed level of accountability with blockchain that financial institutions certainly want. When you have a blockchain public address you can view all of the transactions made using that key. A lot of financial institutions are looking at blockchain because of this but some are concerned that it will force their hand to reveal all of their transactions!
The Immutability Pillar
Blockchain technology creates immutable records. This means that after verifying a transaction you cannot change it. Once your transaction is added to the blockchain there is no turning back. You cannot reverse the transaction.
The immutability in blockchain comes from the cryptographic hash functionality. The blockchain system takes input strings of any length and converts these to an output string of a fixed length. The Bitcoin blockchain uses the highly secure SHA 256 algorithm. Blockchain is basically a linked list of transactions. Each block has a hash pointer connecting it to the previous block. If a hacker tries to change the details of a block it will affect the entire blockchain which is impossible to do.
Now, targeting the coffee industry in particular, the BITCOFFEEN coffee is one such project that aims to change the dynamics of the game. BITCOFFEEN aims to create an engaged community of shoppers and sellers thereby creating an integrated ecosystem. Coffee is one such drink loved and liked across age groups all over the globe. The platform has a unique cryptocurrency cashback rewards system dubbed ‘BitBack’ for shoppers which motivates customers to stay hooked to the BITCOFFEEN platform.
Thus, it goes beyond the existing boundaries of the coffee industry by increasing consumer demand for coffee. To ensure complete transparency and a fair play for its entire community, BITCOFFEEN uses the decentralized blockchain technology to directly share the profits to all members of its trading platform. This allows the BITCOFFEEN platform participants to receive direct benefits for their investments. The BITCOFFEEN team working under the advise of Alex Sudadze aims to create a global network of retail outlets all interlinked in a single automated ecosystem.
BITCOFFEEN Ecosystem – Offering SMART Rewards in BFF Coins
The blockchain-based BITCOFFEEN coffee platform will ensure that everyone gets their share of profits from the entire coffee industry combined. Let’s understand how this ecosystem works. Once any coffee shop connects to a BITCOFFEEN network, they have to buy 1000 BFF tokens through a crypto exchange. Upon scanning the QR, the coffee buyer gets 0.1 BFF in rewards equal to 0.1 USD.
These rewards shall be stored in the users’ BITCOFFEEN wallets. The incentive to coffee shop owners for joining the BitCoffeen network is that they can thus entice more customers and ensure more sales. As more shops join the BitCoffeen network, the value of BFF tokens will rise. This will encourage other businesses to join the network over a period of time ensuring higher exchange activity for BFF tokens.
In the Q1 2020, the BitCoffeen project team worked towards initiating the BFF token trading at Livecoin. Besides, they also launched the BitCoffeen application on Android and iOS platforms. In Q3 2020, the BitCoffeen platform will launch its own coffee products in the market.
More Bitcoin News and Cryptocurrency News on TheBitcoinNews.com
Blockchain might help major apparel brands from Nike to Macy’s better share product data across the retail supply chain, according to a white paper Auburn University’s RFID Lab published Wednesday.
The study, named the “Chain Integration Project” (CHIP), saw those retailers and others run Hyperledger Fabric nodes on a slice of their mammoth supply chains. The study found blockchain to be a promising way to share serialized data after following tens of thousands of products including Nike Kids’ Air Force 1 shoes and Michael Kors parkas as they moved between distribution centers.
RFID Lab is one of the most prominent outposts for U.S. retailers’ experiments with emerging supply chain tech, but Blockchain Fellow Allan Gulley said it’s a relative newcomer to distributed ledger technology. And so CHIP, which began in 2018, became a blockchain trial by fire for the Auburn research institute.
Many retailers have already been keeping internal tabs on product movements via radio frequency identification (RFID) tags installed in every unit. As one example, Gulley said every box of Nike shoes comes with an RFID tag that helps the athletics giant track its sprawling inventory. However, different retailers tags store data differently and there’s little to no data interoperability.
“Everyone was speaking a different language.” Gulley said. “The way they sent data to us was wildly different from one company to another. There wasn’t a good common language in place and there wasn’t a common platform for them to share that data.”
That gave the RFID Lab two opportunities: Build retailers a common language, and build them a platform.
The language aspect took up about 70 percent of the researchers’ time, Gulley said. With the help of the many students who operate the lab, Gulley’s team built a “translator tool” that reworks different data streams into the EPCIS standard developed by Belgian non-profit GS1.
Implementing Hyperledger Fabric was simpler but still came with its own set of dilemmas, Gulley said. Rookie-level bugs throttled the system’s initial transaction throughput – the team was measuring in seconds per transaction instead of transactions per second – but optimization increased throughput by over 6,500 percent.
“We realized pretty quickly how unproven the blockchain technology really is,” Gulley said.
He compared this study to other high-profile blockchain supply chain trials, like the IBM Food Trust. Those systems track shipments in sum. Gulley said CHIP, which looked at reams of data for specific products, was far more “granular,” and as such more complex.
In the final design, each retail pair had a different “channel” where the pair could run its own closed proof of concept. Nike’s vertically integrated supply chain was all in-house, but more interlinked retailers and brands had support from tech vendors and others.
The proof of concept ultimately saw thousands of products matched across its nodes. Nike recorded 72,575 items from encoder to distribution center; PVH and Kohl’s recorded 3,766; and Macy’s, which had the trial’s most complex supply chain of – a HermanKay distribution center, a Macy’s distribution center, and a Macy’s store – matched 62 products across all three, according to the study.
In total, 222,974 items were written onto the blockchain, according to the study. It needs to take on more, though, if it is to go mainstream.
“The system as it stands right now can process what we need it to, but in the long term we’re talking about billions of products flowing through the retail supply chain with these RFID tags. There needs to be a much more robust system in place to handle that,” Gulley said.
RFID Lab will now take its blockchain study to a “consultancy” phase of sorts, trying to understand just how much value DLT and RFID data sharing systems can offer the businesses, who, by virtue of their size, can reap millions of dollars in efficiencies with only minor tweaks to their business practices.
Gulley predicted blockchain’s long-term viability in the supply chain space will rely on a more robust network of service providers being there to assist its growth.
“For the next phase of this work there’s absolutely going to have to be more involvement and engagement from technology players. If this thing continues to grow beyond a handful of nodes and a handful of operators it’s going to get big pretty fast.”
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Since the days of clay tablets people have recorded the exchange of goods and services as we evolved into the digital age.
Recording these transactions has become much more complex whether it’s the exchange of money between two parties documenting.
How goods move through a supply chain or making contractual agreements the growth of global commerce and trade has created a network of disparate ledger systems vulnerable to errors fraud and misinterpretation.
Blockchain offers all parties involved in a business network a secured and synchronized record of transactions.
The blockchain ledger records every sequence of transactions from beginning to end whether it’s hundreds of steps in a supply chain or a single online payment.
As each transaction occurs it’s put into a block each block is connected to the one before and after it groups of transactions are blocked together and a fingerprint of each block is added to the next thus creating an irreversible chain law…Watch the video for more.
The registration of the product on blockchain would allow users to “securely sell or trade” the tangible form of the shoes, Nike said. Oregon-based footwear giant Nike has been awarded a blockchain patent by the U.S. Patent and Trademark Office to create digital versions of its shoes.
Blockchain Shoes In the patent published on the U.S. Patent and Trademark Office website on Tuesday, Nike said that its customers would be able to register the purchase of their physical shoes with a unique identification number.
An equivalent digital version of the shoe will be created through a cryptocurrency wallet connected […]
Hey everyone and welcome back to the block brief presented by block spaces, where we give you the top blockchain news. You need to know and under 59 seconds today is December 10th, 2019 in today’s top news we see Nike holds a brand new patent for its blockchain based crypto kicks.
Then Accenture open sources a brand new interoperability feature with the hyper ledger blockchain, the ECB looks to discuss its brand new digital euro blockchain in the coming week next, digital assets raise over 35 million dollars for its brand new smart contract platform in a Series C,
Funding round next fiat-chrysler joins Ford and VW and their blocked and consortium for ethically sourced minerals and finally Russia’s state-owned electric grid will begin trials on a blockchain project and that’s the top news you need to know…