Brilliant Programmer Robert McNally Put Together An Awesome Presentation On What Bitcoin Really Is

robert mcnally bitcoin

Is Bitcoin the new gold?

Some former gold bugs certainly think so.

And it’s value has skyrocketed in recent months.

Last week, Bloomberg.com columnist Paul Ford opined they could now be the world’s last currency safe haven.

But many readers at this point are probably wondering…what exactly is Bitcoin?

Robert McNally, an iOS developer at parking payment startup QuickPay, presented the following presentation  to last year’s Hacker’s Conference (don’t worry, they were the “good” kind of hackers) in Santa Cruz answering exactly that question. 

With his kind permission, he’s allowed us to republish it. 

Let's begin...

And start with basics.

In 2013, Bitcoin *is* money, at least for some — though that population grows each day.

In this community, it has developed the exact same properties as regular cash.

Though some prefer to think of it as more akin to gold, in its durability and limited supply.

But technically, it is a cryptocurrency.

That means there are no records or files on the transactees.

This is Bitcoin's principal benefit for many currency hawks or central bank doubters.

There have been previous attempts at cryptocurrencies, but Bitcoin is unique.

In theory, no one controls it. And you can also take it anywhere, since it's just code.

Here's how Bitcoins are made...

As Boromir would say...

Does this look familiar? Plotted over millennia, it represents the arc of known gold stocks. Plotted over decades, it's also, in theory, true for Bitcoin.

Again, mining for Bitcoins requires a heck of a lot of dedicated computer memory.

Do Bitcoins look like anything?

As previously alluded, they're basically just code.

Source: Mt. Gox

So who's actually accepting Bitcoins? When they first came on the scene, pretty much only programmers or gamers were.

But as its popularity — and value — grew...

So did the range of things you could buy with it.

And now, chances are your card shark buddy would allow you to pay off your debt in it.

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