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    Bitcoin Daily Discussion, June 05, 2021

    June 05, 2021

    Bitcoin Daily Discussion, June 05, 2021

    Daily Discussion, June 05, 2021

    Posted: 04 Jun 2021 10:06 PM PDT

    Please utilize this sticky thread for all general Bitcoin discussions! If you see posts on the front page or /r/Bitcoin/new which are better suited for this daily discussion thread, please help out by directing the OP to this thread instead. Thank you!

    If you don't get an answer to your question, you can try phrasing it differently or commenting again tomorrow.

    Join us in the r/Bitcoin Chatroom!

    Please check the previous discussion thread for unanswered questions.

    submitted by /u/rBitcoinMod
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    Bitcoin 2021 Livestream - Day 2

    Posted: 05 Jun 2021 04:37 AM PDT

    It's no Lambo, but it was purchased with Bitcoin and also my first car with no car payment. Took some profits@61,500 and got a new family ride, paid off all debt, and paid a little bit forward. Got plenty more to hodl for the next decade, just had to entertain my responsible side first.

    Posted: 04 Jun 2021 10:10 PM PDT

    Jack Dorsey on bitcoin: ‘I don’t think there is anything more important in my lifetime to work on’

    Posted: 04 Jun 2021 02:08 PM PDT

    This man is the CEO of Twitter and Square, and he says this. Bullish af…

    submitted by /u/PayPerPal
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    Square is considering making a hardware wallet for Bitcoin

    Posted: 04 Jun 2021 08:41 AM PDT

    Emotional Ross Ulbricht: “I’m Sorry for Silk Road” And Making Bitcoin Adoption Harder

    Posted: 04 Jun 2021 04:50 PM PDT

    I'm embarrassed for this sub right now

    Posted: 04 Jun 2021 08:29 AM PDT

    I'm happy /r/bitcoin has reached over 3 million users. However the majority of these users are either here for the wrong reasons or haven't done their research or both.

    The most exciting developments in Bitcoin can barely crack 100 upvotes. The list of amazing things that barely see the light of day around here is huge: Lightning Network,Taproot/Schnorr, RGB, CoinSwap, Bitcoin Conference, the #21 Indy 500 Bitcoin car, worldwide Bitcoin charity work, MARA not signalling.. The list goes on.

    The things that get attention around here make me want jump out a two story window. Every other post is about our least favorite billionaire. Claims that Bitcoin's stability is somehow connected to its price get hundreds of upvotes (like we aren't still way beyond our previous all time high). I'm ashamed to admit my most upvoted post here is a tweet from Elon back when this place wasn't yet flooded with it.

    I saw a post about the M1/M2 money supply chalked full of misinformation get over 800 upvotes. No, they did not stop reporting it. No, the M1 does contain savings deposits. No, you did not do your research.

    How many people here do you think have setup a full node? My guess is a tiny fraction. That means the majority of redditors are non-contributing members of the Bitcoin network. Yet they feel the need to vomit their uneducated opinions all over this place with hubris. I'm covered in fucking puke.

    Just to clarify, I understand this place is a meme factory and I will always upvote a solid meme. I think a great meme deserves it's place at the top of the pile.

    Can't wait for the bear market so all you fuck bois disappear and let us talk about the technology in peace.

    EDIT: I'm not knocking people who are here to learn. I'm knocking those who spam us before making the effort to learn or at least before using the damn search bar.

    EDIT 2: To those saying I should try and educate people:

    My post on inflation

    My post on M1/M2

    EDIT 3: /u/twin_bed pointed out that non-nodes still pay transaction fees, which in turn makes them contributing members of the network. I have to concede that point. Thanks

    EDIT 4: Anyone who thinks this post is pointless, just know I've had multiple people today message me saying I've pushed them to learn more and to even run a node. Mass adoption is not equivalent to the standards of a community forum. Well-Kept Gardens Die By Pacifism

    EDIT 5: I used hubris wrong, thanks /u/C10H24NO3PS I fixed it

    EDIT 6 (the final edit): This opinionated rant has more than 4x the amount of upvotes than the stickied video of the Bitcoin conference. I rest my case. And to those thinking I'm gate keeping, Bitcoin has no gates. It's like, my opinion, man.

    🏆 BEST COMPLIMENT AWARD GOES TO /u/Finance_Lad "I just busted to this post."

    🏆 BEST INSULT AWARD GOES TO /u/BitcoinUser263895 "You are horseshit."

    🏆 BEST ADVICE AWARD GOES TO /u/CisWhiteEarthworm "Embarrassed for a sub? Go outside"

    🏆 WHOLESOME AWARD GOES TO /u/Zealousideal_Neck78 "You have a very foul mouth"

    🏆 BEST CONVERSATION GOES TO /u/AmericanHerstoryX → click here to read ←

    submitted by /u/shleebs
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    We have strength we have power and single tweet won't affect us �� bcoz we are holding ...

    Posted: 04 Jun 2021 12:41 PM PDT

    Here are all the Bitcoin 2021 Miami Conference individual videos

    Posted: 04 Jun 2021 08:44 PM PDT

    Ok, I’ve been orange-pilled. Almost anything negative you could say about bitcoin is a feature, not a bug.

    Posted: 04 Jun 2021 07:50 PM PDT

    Ladies and gents, just wanted to let you know that I'm new to bitcoin. I bought in February. One of the reasons why I've taken the deep dive down this rabbit hole is I've seen more principles in bitcoin and in this community than most of the subs I've visited. I try going to the cryptocurrency sub and all I see are ppl trying to shill the next coin or talk about the next "advancement" in blockchain tech. Talking about things that hardly matter in the short term.

    Don't get me wrong, there are plenty of people obsessing about price here who don't understand the asset they hold, but this is no longer a concern when you realize we are buying what is potentially the future world reserve currency.

    I see that some devs come along every few years thinking they have a better proposition for cryptocurrency and some will blindly pile in without understanding what makes bitcoin irreplaceable. Hard money. Absolute scarcity with a monetary policy that has never and will never change on the whims of a central organization. Decentralization, immutability, and proven security. An unknown creator who stepped back from the project and passed the torch. And a strong community building innovative solutions such as transaction scalability and defi on top of the base layer protocol. And seeing the energy consumption as a strength that can help propel bitcoin adoption to fund renewable energy projects that otherwise would not have been built… This will change the world. This is a movement that has reached critical mass.

    Some criticize this sub as extremist or like a religion. But I see that as a feature, not a bug. We'll need to be true believers to spread the word and stay strong during inevitable challenges ahead.

    Happy Friday and thank you all for everything!

    submitted by /u/EntertainerWorth
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    I usually 3D-print cryptocurrencies logos, but this time I created a HODL version "May 2021 crash - special edition" of my CryptoGadget!

    Posted: 04 Jun 2021 07:56 AM PDT

    I’ll tell ya my plan. I’m all in and now my business partner and my business are all in.

    Posted: 04 Jun 2021 10:13 PM PDT

    I believe in Bitcoin. No longer do I care about the price compared to the almighty dollar. I own a business and have some excess cash. I convinced the minority owners to invest in Bitcoin. We are dollar cost averaging every Saturday. I've never felt more free than taking my hard earned profits from my company and putting them into our companies cold wallet. We got lucky and starting buying after the may dip. I just want newbies, vets, and potential bitcoin buyers to know, there is a ground swell of retail, small business, corporate, whales, and governments who are buying the dip. The hardest money ever created is here and if you want to take control of your destiny, follow me on this path. I'm not sure what the price compared to fiat will be tmrw or next year, but I do know 1 BTC = 1 BTC.

    submitted by /u/Creepy-Purchase-5630
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    Ron Paul: Bitcoin should be legalized as money, let it compete with Dollar

    Posted: 04 Jun 2021 03:35 PM PDT

    Saylor & Keiser fireside chat @ Bitcoin 2021

    Posted: 04 Jun 2021 11:01 PM PDT

    Blame crappy software and bad security for ransomware, not Bitcoin

    Posted: 04 Jun 2021 07:23 PM PDT

    Pics from the bitcoin conference! Florida is crazy awesome

    Posted: 04 Jun 2021 02:53 PM PDT

    The Bitcoin HODL flag appeared on the peaks of the Himalayas

    Posted: 04 Jun 2021 12:28 PM PDT

    I will help you onto lightning by giving away bitcoin. Seriously.

    Posted: 04 Jun 2021 03:37 PM PDT

    Lightning Network get a lot of fud even here in this sub. I suspect a lot of you guys haven't yet actually tried it. It really is a lot easier than i think most people expect, and here is me trying to prove it. I suspect that the big hurdle right now is that you have to move your coins onto the lightning Network, so the idea behind this post is actually giving away MY satoshis so you do not have to do this to experience lightning. Hopefully some other experienced lightning-users will join me if this ends up a costly adventure. (Please lets keep this thread focused on giving people the first experience with lightning)

    HERE'S the plan: -Go download Wallet of satoshi. This is a really really easy lightning Wallet. It IS custodial, but ignore that for now

    -post your adress/qr here, it would be cool if you added your country, but no pressure. I will send you some sats as soon as I can. I will answer you when i do, with the amount and the cost of the transaction. IF someone else wants to join me, just send sats, and answer the post in the same way.

    -when you recieve the sats, congratz! You have bitcoin in the lightning Network. Find a friend, pay it forward.

    -Should you choose to explore this further, go download breez Wallet. You now have a non-custodial Wallet, and you can create an invoice (recieve via invoice) for yourself and pay from Wallet of satoshi and my sats. No risk, its someone elses money. You have now made your first transaction and is probably starting to Get it.

    -With the sats well placed in breez, go to the apps-section from the top left corner. Pick the lightning roulette app, fund with 20(!) sats (press «open in Wallet»), and gamble HALF of your deposit. Then go to the menu and press «withdraw using webln», and watch your remaining sats return to your breez balance. How cool is that?

    -now: IF you want to experiment with moving YOUR coin onto breez, you have to make an on-chain transaction(recieve via btc adress) but breez assumes that you want any bitcoin on the lightning Network, and any recieved coin wil be on lightning. There are fees.

    -go read about lightning Network!

    -Lets keep this going: when you are done, if you can, return as many satoshis back to me as you can, that way i can give them to more people, and we give them the same experience.

    Edit: this really took off. I will keep up for as long as i can. Upvote and spread to friends. Give a friend some sats and lets just see how far this goes.

    Huge thanks to all those who helped sending sats, you are legends. I went to bed, and woke up to all of you stepping up to the plate and contributing. Kudos!

    submitted by /u/shitoshi-nokamoto
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    There will be no more than 2100 trillion Sats. That's currently about 250 thousand Sats (~100 USD) per human on Earth.

    Posted: 05 Jun 2021 02:53 AM PDT

    • 2100 trillion satoshi / 8 billion people
    • To compare: The global money supply is about 100 trillion USD, i.e. 12 thousand USD per human on Earth.
    submitted by /u/FreddiKnoks
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    In First Interview Since Arrest, Silk Road Founder Ross Ulbricht Appeals To Bitcoin Users

    Posted: 04 Jun 2021 03:19 PM PDT

    Bitcoin price will increase tenfold, argue the famous Winklevoss twins

    Posted: 04 Jun 2021 10:55 PM PDT

    In August, Google will accept bitcoin exchange and wallet adverts.

    Posted: 04 Jun 2021 11:39 AM PDT

    Beginning Aug. 3, Google will accept adverts for cryptocurrency exchanges and digital wallets targeting US customers on its platform. In August, the Internet giant will revise its financial goods and services policy to "clarify the scope and requirements to allow the advertisement of cryptocurrency

    https://www.SunDispatch.com/in-august-google-will-accept-bitcoin-exchange-and-wallet-adverts/

    submitted by /u/BoyYeetzWorld
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    bitcoin: hash2reward vs. stock2flow

    Posted: 04 Jun 2021 01:44 PM PDT

    bitcoin: hash2reward vs. stock2flow

    bitcoin model: hash2reward
    I played around a bit with some bitcoin data and created a so-called hash2reward [h2r] model, which achieved an r² score of 94.9 % and compared it with the common stock2flow [s2f] model.

    h2r & s2f model

    We can add some upper / lower bands that have been adjusted to catch the hypes and crashes of the past:

    crashes & hypes

    For further explanations, here is my very first video, I hope it's understandable ;-)
    Perhaps this approach will provide some interesting new insights for some of you.

    submitted by /u/plaxtito
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    Market finally starts to ignore Elon?

    Posted: 05 Jun 2021 03:28 AM PDT

    Market finally starts to ignore Elon?

    Elon media tweets running out of power?
    I just marked the last Covid and Elon events in the bitcoin chart, it seems that the market has corrected the entire Tesla hype again:

    Tesla events

    Here is the Covid-Dip and the first Tesla-Hype:

    Covid Dip & Tesla Hype

    Finally, the big picture in the hash2reward [h2r] model:

    Elon out of media power?

    For some more details, I have just made a short video to this. Maybe someone will find it helpful for our big picture.

    submitted by /u/plaxtito
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    PAXFUL FROZEN MY ACCOUNT ALMOST 60 DAYS AND 4500$ WORTH BTC HELD

    Posted: 05 Jun 2021 04:39 AM PDT

    u/Martha_Paxful

    ​

    hi martha/PAXFUL OFFICIAL . please i need your help to solve my problem.

    My user on paxful is BTC_Arabia

    4500$ Worth funds are in my account and i cannot take out or use it for trading.

    on 24 March i received email that my account has been frozen and under review by compliance team and i will receive a email once review is completed, also i seen on terms that Frozen account will be restored after certain of time or after warning if any mistake we did in terms of rule violation.

    Today 5 June while i am write it to you. its almost 70 Days and still i have same message that its frozen. please help me to resolve it. i don't know even what TOC is breached . please fix my account

    ​

    Hi, BTC_Arabia

    Your account has been frozen due to a terms of service ("TOS") violation. Specifically for The account didn't pass compliance review.

    Please contact us to resolve this violation and unfreeze your account. As a reminder, having your account frozen constitutes a warning. Multiple warnings will lead to your account being suspended.

    During that period, you can't:

    Withdraw your funds

    Conduct trades on Paxful.

    submitted by /u/javediqbal884
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    Awesome Bitcoin technical FAQ from MIT: a discussion between professor and students at "Distributed Systems" class / tons of useful Q&As for new&old to Bitcoin

    Posted: 05 Jun 2021 04:29 AM PDT

    If you find some mistakes or things that could be outdated or maybe even think of extra Q&As yourself, just post them below and I'll include them.

    Q: I don't understand why the blockchain is so important. Isn't the requirement for the owner's signature on each transaction enough to prevent bitcoins from being stolen?

    A: The signature is not enough, because it doesn't prevent the owner from spending money twice: signing two transactions that transfer the same bitcoin to different recipients. The blockchain acts as a publishing system to try to ensure that once a bitcoin has been spent once, lots of participants will know, and will be able to reject a second spend.

    Q: Why does Bitcoin need to define a new currency? Wouldn't it be more convenient to use an existing currency like dollars?

    A: The new currency (Bitcoins) allows the system to reward miners with freshly created money; this would be harder with dollars because it's illegal for ordinary people to create fresh dollars. And using dollars would require a separate settlement system: if I used the blockchain to record a payment to someone, I still need to send the recipient dollars via a bank transfer or physical cash.

    Q: Why is the purpose of proof-of-work?

    A: It makes it hard for an attacker to convince the system to switch to a blockchain fork in which a coin is spent in a different way than in the main fork. You can view proof-of-work as making a random choice over the participating CPUs of who gets to choose which fork to extend. If the attacker controls only a few CPUs, the attacker won't be able to work hard enough to extend a new malicious fork fast enough to overtake the main blockchain.

    Q: Could a Bitcoin-like system use something less wasteful than proof-of-work?

    A: Proof-of-work is hard to fake or simulate, a nice property in a totally open system like Bitcoin where you cannot trust anyone to follow rules. There are some alternate schemes; search the web for proof-of-stake or look at Algorand and Byzcoin, for example. In a smallish closed system, in which the participants are known though not entirely trusted, Byzantine agreement protocols could be used, as in Hyperledger, or variants of it as in Stellar. There seems to be an interest in general to move to proof-of-stake; ethereum is moving to PoS (https://ethereum.org/en/developers/docs/consensus-mechanisms/pos/)

    Q: Can Alice spend the same coin twice by sending "pay Bob" and "pay Charlie" to different subsets of miners?

    A: Suppose Alice does that. One of the two subsets of miners is likely to find the nonce for a new block first. Let's assume the first block to be found is B50 and it contains "pay Bob". This block will be flooded to all miners, so the miners working on "pay Charlie" will switch to mining a successor block to B50. These miners validate transactions they place in blocks, so they will notice that the "pay Charlie" coin was spent in B50, and they will ignore the "pay Charlie" transaction. Thus, in this scenario, double-spend won't work. There's a small chance that two miners find blocks at the same time, perhaps B50' containing "pay Bob" and B50'' containing "pay Charlie". At this point there's a fork in the block chain. These two blocks will be flooded to all the nodes. Each node will start mining a successor to one of them (the first it hears). Again the most likely outcome is that a single miner will finish significantly before any other miner, and flood the successor, and most peers will switch to that winning fork. The chance of repeatedly having two miners simultaneously find blocks gets very small as the forks get longer. So eventually all the peers will switch to the same fork, and in that fork there will be only one spend of the coin. The possibility of accidentally having a short-lived fork is the reason that careful clients wait until there are a few successor blocks before believing a transaction.

    Q: It takes an average of 10 minutes for a Bitcoin block to be validated. Does this mean that the parties involved aren't sure if the transaction really happened until 10 minutes later?

    A: Yes. The 10 minutes is awkward. But it's not always a problem. For example, suppose you buy a toaster oven with Bitcoin from a web site. The web site can check that the transaction is known by a few servers, though not yet in a block, and show you a "purchase completed" page. Before shipping it to you, they should check that the transaction is in a block. For low-value in-person transactions, such as buying a cup of coffee, it's probably enough for the seller to ask a few peers to check that the bitcoins haven't already been spent (i.e. it's reasonably safe to not bother waiting for the transaction to appear in the blockchain at all). For a large in-person purchase (e.g., a car), it is important to wait for sufficiently long to be assured that the block will stay in the block chain before handing over the goods.

    Q: What can be done to speed up transactions on the blockchain?

    A: I think the constraint here is that 10 minutes needs to be much larger (i.e. >= 10x) than the time to broadcast a newly found block to all peers. The point of that is to minimize the chances of two peers finding new blocks at about the same time, before hearing about the other peer's block. Two new blocks at the same time is a fork; forks are bad since they cause disagreement about which transactions are real, and they waste miners' time. Since blocks can be pretty big (up to a megabyte), and peers could have slow Internet links, and the diameter of the peer network might be large, it could easily take a minute to flood a new block. If one could reduce the flooding time, then the 10 minutes could also be reduced.

    Q: The entire blockchain needs to be downloaded before a node can participate in the network. Won't that take an impractically long time as the blockchain grows?

    A: It's true that it takes a while for a new node to get all the transactions. But once a given server has done this work, it can save the block chain, and doesn't need to fetch it again. It only needs to know about new blocks, which is not a huge burden. On the other hand most ordinary users of Bitcoin don't run full Bitcoin nodes; instead they trust a few full nodes to answer questions about whether coins have already been spent.

    Q: Is it feasible for an attacker to gain a majority of the computing power among peers? What are the implications for bitcoin if this happens?

    A: It may be feasible; some people think that big cooperative groups of miners have been close to a majority at times: http://www.coindesk.com/51-attacks-real-threat-bitcoin/ If >50% of compute power is controlled by a single entity, they can double-spend bitcoins: transfer a coin to one payee, and then generate a new fork from before that transaction in which the transaction doesn't exist. Bitcoin's security would be broken if this happened.

    Q: From some news stories, I have heard that a large number of bitcoin miners are controlled by a small number of companies.

    A: True. See here: https://blockchain.info/pools. It looks like three mining pools together hold >51% of the compute power today, and two come to 40%.

    Q: Are there any ways for Bitcoin mining to do useful work, beyond simply brute-force calculating SHA-256 hashes?

    A: Maybe -- here are two attempts to do what you suggest: https://www.cs.umd.edu/~elaine/docs/permacoin.pdf http://primecoin.io/

    Q: There is hardware specifically designed to mine Bitcoin. How does this type of hardware differ from the type of hardware in a laptop?

    A: Mining hardware has a lot of transistors dedicated to computing SHA256 quickly, but is not particularly fast for other operations. Ordinary server and laptop CPUs can do many things (e.g. floating point division) reasonably quickly, but don't have so much hardware dedicated to SHA256 specifically. Some Intel CPUs do have instructions specifically for SHA256; however, they aren't competitive with specialized Bitcoin hardware that massively parallelizes the hashing using lots of dedicated transistors.

    Q: The paper estimates that the disk space required to store the block chain will by 4.2 megabytes per year. That seems very low!

    A: The 4.2 MB/year is for just the block headers, and is still the actual rate of growth. The current 60+GB is for full blocks.

    Q: Would the advent of quantum computing break the bitcoin system?

    A: Here's a plausible-looking article: http://www.bitcoinnotbombs.com/bitcoin-vs-the-nsas-quantum-computer/ Quantum computers might be able to forge bitcoin's digital signatures (ECDSA). That is, once you send out a transaction with your public key in it, someone with a quantum computer could probably sign a different transaction for your money, and there's a reasonable chance that the bitcoin system would see the attacker's transaction before your transaction.

    Q: Bitcoin uses the hash of the transaction record to identify the transaction, so it can be named in future transactions. Is this guaranteed to lead to unique IDs?

    A: The hashes are technically not guaranteed to be unique. But in practice the hash function (SHA-256) is believed to produce different outputs for different inputs with fantastically high probability. Q: It sounds like anyone can create new Bitcoins. Why is that OK? Won't it lead to forgery or inflation? A: Only the person who first computes a proper nonce for the current last block in the chain gets the 12.5-bitcoin reward for "mining" it. It takes a huge amount of computation to do this. If you buy a computer and have it spend all its time attempting to mine bitcoin blocks, you will not make enough bitcoins to pay for the computer.

    Q: The paper mentions that some amount of fraud is admissible; where does this fraud come from?

    A: This part of the paper is about problems with the current way of paying for things, e.g. credit cards. Fraud occurs when you buy something on the Internet, but the seller keeps the money and doesn't send you the item. Or if a merchant remembers your credit card number, and buys things with it without your permission. Or if someone buys something with a credit card, but never pays the credit card bill.

    Q: Has there been fraudulent use of Bitcoin?

    A: Yes. I think most of the problems have been at web sites that act as wallets to store peoples' bitcoin private keys. Such web sites, since they have access to the private keys, can transfer their customers' money to anyone. So someone who works at (or breaks into) such a web site can steal the customers' Bitcoins.

    Q: Satoshi's paper mentions that each transaction has its own transaction fees that are given to whoever mined the block. Why would a miner not simply try to mine blocks with transactions with the highest transaction fees?

    A: Miners do favor transactions with higher fees. You can read about typical approaches here: https://en.bitcoin.it/wiki/Transaction_fees And here's a graph (the red line) of how long your transaction waits as a function of how high a fee you offer: https://bitcoinfees.github.io/misc/profile/

    Q: Why would a miner bother including transactions that yield no fee?

    A: I think many don't mine no-fee transactions any more.

    Q: How are transaction fees determined/advertised?

    A: Have a look here: https://en.bitcoin.it/wiki/Transaction_fees It sounds like (by default) wallets look in the block chain at the recent correlation between fee and time until a transaction is included in a mined block, and choose a fee that correlates with relatively quick inclusion. I think the underlying difficulty is that it's hard to know what algorithms the miners use to pick which transactions to include in a block; different miners probably do different things.

    Q: What are some techniques for storing my personal bitcoins, in particular the private keys needed to spend my bitcoins? I've heard of people printing out the keys, replicating them on USB, etc. Does a secure online repository exist?

    A: Any scheme that keeps the private keys on a computer attached to the Internet is a tempting target for thieves. On the other hand, it's a pain to use your bitcoins if the private keys are on a sheet of paper. So my guess is that careful people store the private keys for small amounts on their computer, but for large balances they store the keys offline.

    Q: What other kinds of virtual currency were there before and after Bitcoin (I know the paper mentioned hashcash)? What was different about Bitcoin that led it to have more success than its predecessors?

    A: There were many previous proposals for digital cash systems, none with any noticeable success. It's tempting to think that Bitcoin has succeeded because its design is more clever than others: that it has just the right blend of incentives and decentralization and ease of use. But there are too many failed yet apparently well-designed technologies out there for me to believe that.

    Q: What happens when more (or fewer) people mine Bitcoin?

    A: Bitcoin adjusts the difficulty to match the measured compute power devoted to mining. So if more and more computers mine, the mining difficulty will get harder, but only hard enough to maintain the inter-block interval at 10 minutes. If lots of people stop mining, the difficulty will decrease. This mechanism won't prevent new blocks from being created, it will just ensure that it takes about 10 minutes to create each one.

    Q: Is there any way to make Bitcoin completely anonymous?

    A: Have a look here: https://en.wikipedia.org/wiki/Zerocoin

    Q: If I lose the private key(s) associated with the bitcoins I own, how can I get my money back?

    A: You can't.

    Q: What do people buy and sell with bitcoins?

    A: There seems to be a fair amount of illegal activity that exploits Bitcoin's relative anonymity (buying illegal drugs, demanding ransom). You can buy some ordinary (legal) stuff on the Internet with Bitcoin too; have a look here: http://www.coindesk.com/information/what-can-you-buy-with-bitcoins/ It's a bit of a pain, though, so I don't imagine many non-enthusiasts would use bitcoin in preference to a credit card, given the choice.

    Q: Why is bitcoin illegal in some countries?

    A: Here are some guesses. Many governments adjust the supply of money in order to achieve certain economic goals, such as low inflation, high employment, and stable exchange rates. Widespread use of bitcoin may make that harder. Many governments regulate banks (and things that function as banks) in order to prevent problems, e.g. banks going out of business and thereby causing their customers to lose deposits. This has happened to some bitcoin exchanges. Since bitcoin can't easily be regulated, maybe the next best thing is to outlaw it. Bitcoin seems particularly suited to certain illegal transactions because it is fairly anonymous. Governments regulate big transfers of conventional money (banks must report big transfers) in order to track illegal activity; but you can't easily do this with bitcoin.

    Q: Why do bitcoins have any value at all? Why do people accept it as money? Because other people are willing to sell things in return for bitcoins, and are willing to exchange bitcoins for ordinary currency such as dollars. This is a circular argument, but has worked many times in the past; consider why people view baseball trading cards as having value, or why they think paper money has value. Q: How is the price of Bitcoin determined?

    A: The price of Bitcoin in other currencies (e.g. euros or dollars) is determined by supply and demand. If more people want to buy Bitcoins than sell them, the price will go up. If the opposite, then the price will go down. There is no single price; instead, there is just recent history of what prices people have been willing to buy and sell at on public exchanges. The public exchanges bring buyers and sellers together, and publish the prices they agree to: https://bitcoin.org/en/exchanges

    Q: Why is the price of bitcoin so volatile?

    A: The price is driven partially by people's hopes and fears. When they are optimistic about Bitcoin, or see that the price is rising, they buy so as not to miss out, and thus bid the price up further. When they read negative news stories about Bitcoin or the economy in general, they sell out of fear that the price will drop and cause them to lose money. This kind of speculation happens with many goods; there's nothing special about Bitcoin in this respect. For example: https://en.wikipedia.org/wiki/Tulip_mania

    Source: https://pdos.csail.mit.edu/6.824/papers/bitcoin-faq.txt

    submitted by /u/cascading_disruption
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    Satoshi Nakamoto statue will have a mirror face - Faketoshi Wright guaranteed to never leave that spot now lol

    Posted: 04 Jun 2021 04:55 PM PDT
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