Tuesday, November 6, 2018

Bitcoin 101

Bitcoin and bitcoin

Bitcoin has 2 distinctly different components that need to be described: 
  • "bitcoin" token - a snippet of code that represents ownership of a digital concept. Note: bitcoin with a lowercase b refers to the token or currency
  • "Bitcoin" protocol - a distributed network of nodes that maintain a ledger of balances of bitcoin tokens. Note: Bitcoin with a capital B refers to the protocol
Both are referred to as "bitcoin".

Note: The image shows bitcoin commemorative coins and are worthless - bitcoin is not a physical coin and cannot be stored in wallet...