Babbitt Column | Bitcoin White Paper 11th Anniversary: ​​Here are 11 amazing common sense about Bitcoin

Author: Liu teaches chain

Source: Liu Jiao Chain

Editor's Note: The original title is "Today is the 11th anniversary of Bitcoin White Paper, and here are 11 amazing common sense about Bitcoin."

Today is the 11th anniversary of Bitcoin White Paper. Here are 11 amazing common sense about Bitcoin.

1. The total amount of bitcoin is only 21 million pieces.

According to CreditSuisse's 2017 report, the number of millionaires worldwide is about 36 million. Therefore, if a "1 bitcoin club" consisting of users with more than one bitcoin is established, the number of club members will not exceed 21 million, which is less than the number of millionaires worldwide.
Bitcoin was gradually released through so-called “mining”, and today it has issued more than 85% of the total. The release rate will be slower and slower, and will be completely discontinued by about 2140. Bitcoin's annualized inflation rate (3.7%) is now much lower than the US dollar's annualized inflation rate (36%) since 2008 and will fall further to 1.7% after half a year next year.
2, Bitcoin can be subdivided
In theory, one bitcoin can be infinitely subdivided by extending the precision of digital storage or by extending it to upper layers (such as lightning network). However, the transfer fee actually limits the value of the use of bitcoin that is too small, so the current code only supports subdividing to one hundred million, the unit called "Cong", which is the netizen to commemorate the inventor of Bitcoin. Nakamoto is named.
Don't say that 1 bitcoin is too expensive, because you can buy 0.1 or 0.01.
3. You don't need to "register" your account before you start using Bitcoin.
Some friends want to start using Bitcoin, so they will ask questions about the use of the Internet. Where can I register for an account?
In fact, there is no need to find any central institution to "register" an account with Bitcoin. Bitcoin does not need to “open an account”, and even there is no account in the Bitcoin system.
Your bitcoin is in the address. The address is a number, but for the convenience of writing and use, it is encoded into a string. Bitcoin addresses are generated by cryptographic calculations of the Bitcoin private key. This generation process does not require networking (because mathematics does not require networking) and can be generated offline on your own computer.
4. The private key of Bitcoin is actually a random number.
The only absolute thing that controls Bitcoin is the private key. The private key is actually a randomly chosen number ranging from 0 to 2^256. Throw a coin 256 times and write down a 0/1 string. This is a binary number. The randomness of this method is very good, but it is more laborious.
The security of the private key is that it is sufficiently random. The better the randomness, the less likely it is to be guessed by others. So don't use the unreliable wallet software to help you generate a private key, because its randomness may not be good enough.
5, no one can help you find the "password" of Bitcoin
The private key of Bitcoin is actually quite different from the bank card "password". The bank card password is lost. You can find the bank to reset the password, and then open the account with your new password to retrieve your money. However, if the private key of Bitcoin is lost, no one can help you get it back.
Conversely, if your private key is known to others, then the other party can easily transfer your bitcoin from your address.
The private key is the only, absolute, and final control of the bitcoin in the address, so be careful.
6, you can "save" bitcoin on paper or in your head
Keeping your private key can be done without any internet site, without using a computer or mobile phone, or by relying on any software. Just copy the private key on paper or put it in your head.
Even if the Internet website goes down in the future, the computer is broken or updated, and the new software is replaced. Your bitcoin is intact. Just re-import the private key and you can use your bitcoin at any time.
7, send bitcoin can not pass the Internet
Although the Internet is the most convenient way to send data today, Bitcoin can be sent from one person to another without using the Internet. Bitcoin transfers can be made via microwave radio, SMS, satellite communications, or even homing pigeons (just as soon as the rate is reached ^_^).
8. The Bitcoin transfer fee is not charged according to the transfer amount.
Unlike the traditional financial system, you have to deduct a large fee for transferring a large sum of money, because they often charge a fee according to a certain percentage of the transfer amount.
But Bitcoin is not the case at all. Bitcoin charges a fee based on the amount of data transferred, so it is often extremely cheap. For example, in September 2019, an address went over $1 billion, and the Bitcoin network only charged a fee of about $700, which was only 0.00007% of the transfer amount.
9, do not wait for 10 minutes or 1 hour to deal with bitcoin payments
The most popular "lie" on the market in the past few years is that bitcoin transfer speed is very slow (and the coin we invented and the chain is super fast, reaching XXXXTPS). The reason is that the Bitcoin block packs a transaction in 10 minutes, and the final confirmation of the block recommends at least 6 blocks for security reasons.
But this is a lie, the purpose is nothing more than to promote and promote another altcoin. In fact, the bitcoin system can do it in real time for credit card swipe or mobile micropayments. In fact, this problem was actually written by Nakamoto before many years ago. Specific interested friends can read the discussion and explanation of Nakamoto's snack-selling machine.
10, quantum computers can not steal your bitcoin
Recently, Google and IBM news about quantum computers are eye-catching. However, it does not mean that the current quantum computer is still 100,000 miles away from general-purpose computing. Even if the quantum computer can be generalized in the future, it can only improve the speed of cracking the public and private keys of the ECDSA algorithm, and cannot crack the bitcoin address. The SHA256 hash algorithm used.
Nakamoto added two layers of protection to Bitcoin. As long as your Bitcoin address has never been spent on the chain (when your private key public key is not chained or exposed), your bitcoin is safe in front of a quantum computer.
11, do not need to do anything to receive bitcoin transfer
As long as the other party knows your bitcoin address, you can always give you coins. You don't need to show your private key or operate your wallet throughout the process.
Keep the private key offline. It is very safe to only accept coins and not to open accounts.