bitcoin presentation webcamp cyberjaya 25 july 2013

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Bitcoin 101 –Virtual Currency Basics

Colbert Low, BitcoinMalaysia.com

25 July 2013, WebCamp Cyberjaya

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Colbert Low, BitcoinMalaysia.com- Listed on Bitcoin Foundation as Colbert Low

- Featured on Personal Money magazine (Malaysia) May 2013;

- Featured on Business Times Singapore ;

- Verified account at bitcoin-otc IRC (user: ninjaboon) ;

- Listed on BTCXperts;

- Listed on Lifeboat Foundation as Colbert Low;

- City Leader (Malaysia) for BitAngels [www.BitAngels.co ] World’s first distributed veteran entrepreneur and angel Bitcoin investor group ;

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Team Members - BitcoinMalaysia.com

Mr Ragu. – COO.

Systems and Project management experience for over 15 years. Domain experience in banking, hotel management, and IT.

Mr Sasi Kumar (above) – Business Consultant.

Sasi Kumar has over 15 years of IT domain experience and is currently the Request Manager for Global Business Continuity Services in HP. He was previously an Incident/Problem Manager and Service Improvement Program Consultant, Quality Management Team for Shell Operation Integrators.

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Bitcoin in the News

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I found out about Bitcoins back in June 2012

Digital Currency / Cryto Currency / eCash

Created by computers through cryptography (SHA-256)

Bitcoin Mining - Sounds exciting, revolution, distruptive!

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What is Bitcoin?- Bitcoin or BTC, is a hybrid protocol.

a. Magic internet money, e-cash, crypto-currency.

b. Global Payment System (any country)

- Creator : Satoshi Nakamoto in 3 Jan 2009. Location unknown.

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What is Bitcoin?- Decentralized peer-to-peer (P2P) system. Bitcoin servers ran by Bitcoin Miners. No central server unlike other payment systems like Paypal, eGold, Liberty Reserve, etc. Users SHA-256 as the underlying cryptographic hash function.

- As of 21 July 2013, there's about 11.4 million BTC out there. (www.ounce.me) Maximum circulation is about 21 million (reached in 2140).

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What is Bitcoin?- Bitcoin (BTC) is divisible into 8 decimals.

Low transaction fees / network fee of 0.005 BTC

Lower fees for merchants – > Credit cards 2-3% or Paypal 2.9% + RM2.00 MYR onwards.

Borderless

Faster

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What is Bitcoin?Bitcoin (BTC) price is volatile.

4 November 2012 – High of USD 15 (MYR 42)

4 April 2013 – High of USD 266 (MYR 851)

http://bitcoinwisdom.com

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What is Bitcoin ? : Global Payment System

BitPay offers plugins for popular shopping carts and billing systems:WP e-Commerce, Magento, WHMCS, WooCommerce, Ecwid, Opencart, Zen Cart, PrestaShop, Ubercart.

https://bitpay.com

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What is Bitcoin ? : Paying with Bitcoin

Typical Bitcoin (BTC) checkout page:

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QUIZ TIME! #1

Which is a milliBitcoin (mBTC)?

a. 0.01 Bitcoin

b. 0.001 Bitcoin

c. 0.0001 Bitcoin

d. 0.00001 Bitcoin

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Bitcoin: Getting Started- Bitcoin Wallets – online, offline type

- Get Bitcoins – Buy Bitcoins, Bitcoin mining

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Bitcoin: Getting Started- Bitcoin Wallet

1. Blockchain Wallet , Android version – https://blockchain.info/wallet/

DOWNLOAD from Google Play Store:

https://play.google.com/store/apps/details?id=piuk.blockchain.android&hl=en

By Qkos Services Ltd

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1. Blockchain Wallet , Apple iTunes version –

DOWNLOAD from Apple iTunes Store:

https://play.google.com/store/apps/details?id=piuk.blockchain.android&hl=en


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1. Blockchain Wallet, web based – https://blockchain.info/wallet/


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2. Electrum Bitcoin Client - http://electrum.org3. Bitcoin-QT aka Original Bitcoin Client - http://bitcoin.org4. Armory, Advanced Bitcoin Client - http://bitcoin.org

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5. MultiBit v0.5.12, download for Windows, Mac, and Linux. - https://multibit.org

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How do I get Bitcoins?

1. Buy Bitcoins

2. Get Free Bitcoins

3. Bitcoin Mining

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How do I get Bitcoins : Buy BitcoinsRinggit Malaysia (MYR) <> BTCUSD / SGD / AUD <> BTC

1. dgtmkt.com ( Chua u-Zyn) Online Maybank transfers.

2. localbitcoins.com ( Jeremias Kangas ) COD, online.

3. coinjar.io - Asher Tan (CEO), Jerrold Poh, Ryan Zhou.Melbourne-based startup. Founded in 2013, AngelCubeprovided them seed funding and mentorship.

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How do I get Bitcoins : Buy BitcoinsUSD / SGD / EURO / AUD <> BTC

1. fybsg.com – First Singapore Bitcoin Exchange.

2. bitstamp.net – Slovenia Bitcoin Exchange.

3. Crypto-trade.com – Hong Kong. Accepts Perfect Money, Okpay.

4. MtGox.com – based in Tokyo, Japan.

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How do I get Bitcoins : Get Free Bitcoins

Bitcoins faucet :

http://www.btctrade.org/index.html

Chat and Get Free Bitcoins : http://coinchat.org

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QUIZ TIME! #2

Which set of cryptographic hash function is used by Bitcoin (BTC) ?

a. SHA-224 b. SHA-256 c. SHA-384 d. SHA-512

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How do I get Bitcoins : Bitcoin Mining

Bitcoins are generated (or "mined") by the following process: Cryptographic puzzles are random-generated at a controlled rate by a computer program, then transmitted to a network of volunteer Bitcoin "miners."

Using an open-source software program and powerful computer processors, miners crunch insanely complex calculations to solve the cryptographic puzzles. The first miner to solve the puzzle receives 50 bitcoins (BTC)

Block halving : every 4 years (every 210,000 blocks), 28 Nov 2012 – from 50 BTC to 25 BTC per block

Naturally, the more processing power a miner has, the faster he can solve the cryptographic puzzles and the more bitcoins he can accumulate. The program will generate puzzles until 2140, when it hits a limit of 21 million bitcoins.

Technically, anyone with a computer and a download of the open-source Bitcoin software can become a miner.

However, as more miners enter the system two things happen: 1) problems get harder; and 2) processing power escalates.

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How do I get Bitcoins : Bitcoin MiningHardware: CPU > GPU > FPGA > ASIC

FPGA units

Unit Speed & Efficiency of 840+Mh/s @ only 40 watts.

BTCFpga.com or ModMinerQuadStore.com–owned by Tom aka cablepair

Sells for USD $1,069.99 or MYR 3424.

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ASIC vendors : Butterfly Labs (BFL), Avalon, ASICminer, BitFury, KnCMiner, Terrahash, virtualminingcorp.com

Below : Butterfly Labs (BFL) ASIC aka Jalapeno BTC mining server, 5 Giga hashes per second (GH/s), cost about MYR 877. Shipping date: unknownROI calculator : http://mining.thegenesisblock.com

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ASIC vendors : 1.Butterfly Labs (BFL), 2. Avalon, 3. ASICminer, 4. BitFury, 5. KnCMiner, 6. Terrahash, 7. AMC at virtualminingcorp.com

Below : Butterfly Labs (BFL) ASIC mining server, 5 GH/s aka Jalapeno, cost about MYR 999. More pics

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Software:

bitcoin-qt v0.8.3,

cgminer,

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Software:

bfgminer v 3.1.3,

Easyminer (for BFL ASICs)

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QUIZ TIME! #3

How many types of Bitcoin Wallet did I talk about earlier ?

a. 5 b. 4 c. 3 d. 2

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I've got Bitcoins : So what now?

1. Keep them. They will rise in value.

2. Invest in Virtual Shares – www.btct.co

3. Get interests on your BTC – www.Coinlenders.com

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1. Keep them (hoarding). They will rise in value.

a. John (John K.) (bitcointalk.org)

b. Paper wallets.

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1. Keep them (hoarding). They will rise in value.

c. Trezor BTC hardware wallet.

d. Multibit running on a Linux PC.

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2. Invest in Virtual Shares – https://btct.co/security/ASICMINER-PT

8 Feb 2013 – 0.1 BTC per share

21 July 2013 – 4.69 BTC per share

ASICMiner has paid out a total of 67,515.09 BTC since first IPO payout on Feb 28th.

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3. Get interest on your BTC – www.Coinlenders.com

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Bitcoin Escrow: Don't get scammed!

An escrow-like service that allows safer payment by securely holding a buyer's BTC in escrow until the terms of the sale are met and as a result the buyer releases payment to the seller.

http://btc-asia.com

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Bitcoin: Famous People

Martti Malmi aka Sirius (Finland) - Operates the host for bitcoin.org and is an administrator of the Bitcoin Forum.

Charlie Shrem – is co-founder of BitInstant LLC and the current CEO. Known on the Bitcoin forums as ‘Yankee’, he has over 5 years experience working with start-ups and business development in the eCommerce industry.

Gary Rowe (Profile) – Contributor to the MultiBit (http://multibit.org) and BitCoinJ (http://code.google.com/p/bitcoinj/) projects. Working on various Bitcoin based businesses.

Martti Malmi

Charlie Shrem

Gary Rowe

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Gavin Andresen- (Profile) Satoshi client maintainer. He previously worked at Silicon Graphics and now runs his own company.

Hal Finney- one of the creators of PGP and one of the earliest contributors to the Bitcoin project. First to identify a type of double-spending attack that now bears his name — the Finney attack.

Jeff Garzik- (Wikipedia Entry) Satoshi client core developer, GPU poold software and the founder of Bitcoin Watch. Worked as a Linux kernel developer at Red Hat. Now working for Bitpay.com

Gavin Andresen

Hal Finney

Jeff Garzik

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Mark Karpeles aka MagicalTux- Owner of the largest Bitcoin exchange, MtGox.

Mike Hearn - Google engineer who works on Gmail and developed BitCoinJ (http://code.google.com/p/bitcoinj/)

Roger Ver aka Bitcoin Jesus– BitInstant LLC Director of Marketing. He is also the CEO of MemoryDealers.com

Vladimir Marchenko - runs Marchenko Ltd which sells mining contracts, previously developed the figator.org search engine. Roger Ver

Mark Karpeles

Mike Hearn

Roger Ver

Vladimir Marchenko

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Biggest Heists in Bitcoin HistoryThousands of bitcoins have been lost to theft over the years.

Here are the top incidents and number of bitcoins lost:

Bitcoin Savings and Trust 200,000 >> pirate@40

MyBitcoin Theft 79,000

Linode Hacks 46,000

July 2012 Bitcoinica Theft 40,000

May 2012 Bitcoinica Hack 18,000

March 2011, Allinvain Theft 25,000 - a long-time Bitcoiner known as Allinvain had 25,000 Bitcoins stolen from an unencrypted digital wallet saved on his Windows computer.

Bitfloor Theft 24,000

Hackers Pull Off $12,000 Bitcoin Heist – WIRED (Charlie, BitInstant)

http://www.wired.com/wiredenterprise/2013/03/digital-thieves-pull-off-12000-bitcoin-heist/

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QUIZ TIME! #4

How fast is a Butterfly Labs (BFL) Jalapeno server?

a. 4 giga hashes per secondb. 5 giga hashes per secondc. 6 giga hashes per secondd. 9 giga hashes per second

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Prizes sponsored by:

Coinjar.ioBitcoinKeychains.com

FYBsg.com

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Read:

https://bitcointalk.org - Forum (ninjaboon)

http://en.wikipedia.org/wiki/Bitcoin - Basics

https://www.weusecoins.com - Basics

http://btc.re – BTC charts

http://bitjoy.org – BTC charts

http://bitcoinity.org/markets – BTC charts

https://cryptrader.com - BTC Trading Platform

http://www.blockrun.com - Auctions

http://coinmade.org - bitcoin merchant directory

http://www.reddit.com/r/Bitcoin/ - News

http://bitcoinmagazine.com - News

http://havelockinvestments.com - Investments

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The END. Thank you!

Colbert Low

Email: [email protected]

www.btc-asia.comwww.bitcoinmalaysia.com

https://www.facebook.com/BTCMalaysia

WhatsApp: +601111725850

Scan my Vcard above!

bitcoin presentation webcamp cyberjaya 25 july 2013

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