Bitcoin - Digital curreny Content:  What is Bitcoin?  How Bitcoin transaction works?  Use of Bitcoins in real world  Its characteristics & valuation  Overall acceptance scenario  Bitcoin ATM

1. BITCOIN
CURRENCY
Charmi Popat (03)
SVKM’s NMIMS SPP SPTm (School of
Pharmacy & Technology Management)

2. CONTENT
What is Bitcoin?
Its characteristics
& valuation
How Bitcoin
transaction works?
Use of Bitcoins in
real world
Overall acceptance
scenario
Bitcoin ATM
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SVKM’s NMIMS SPP SPTM
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3. What is Bitcoin?
Digital
currency
2/3/2014
Peer-to-peer
payment
network
SVKM’s NMIMS SPP SPTM
Japanese
programmer:
Satoshi
Nakamoto
(2009)
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4. How Bitcoin transaction works?
Online
Merchant
Online Buyer
Validate
Flow of Bitcoin
& cash
Private Key
Receivers
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5. Its characteristics
Open-source software program
“crypto-currency”
“Mining”
Portable
Authenticity Verification
Finite (21 million bitcoins and the last expected to be
“mined” in 2140)
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6. Currency Valuation
• Supply and demand
• 1 BTC = $847.24 (As of Jan.31 . 2014)
st
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7. Advantages & Disadvantages
- Decentralized
- Payment freedom
- Very low fees
- Difficult to Counterfeit
- online security
- Volatile
- a lack of regulation
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8. Use of Bitcoins in real world
• 20 business (such as apartments, law firms, and popular online
services such as WordPress)
• August 2013, US$ 1.5 billion
• Bitcoin gambling sites
Physical
goods
• Bitcoinshop.us
Travel
• Bitcoin.Travel
Online
auctions
• Silkroadvb5piz
3r.onion
Greeting
cards
• Amazon.com
gift cards
• BitcoinStore.c
om
Memory
Dealers
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9. Example of website where bitcoin is used
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10. Places where Bitcoin is accepted in the
world
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11. Use of Bitcoins in real world
• US • “surrogate currency”
• seized bitcoins from
purchasing a controlled
substance
Money
laundering
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12. Bitcoin ATM
• World’s 1st Bitcoin ATM- Vancouver,
Canada at Wave coffee house
• Maker - Robocoin
• It’s a Cash-Only Machine
• Works on - Biometric Identification
System
• It can dispense hard cash in exchange for
Bitcoins
• Transaction recorded in – Public Ledger
• Create on the spot new a/c – 4min (Scan
your palm, Government identification card
& Face recognition)
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