Bitcoin For Dummies
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Оглавление
Peter Kent. Bitcoin For Dummies
Bitcoin For Dummies® To view this book's Cheat Sheet, simply go to www.dummies.com and search for “Bitcoin For Dummies Cheat Sheet” in the Search box. Table of Contents
List of Tables
List of Illustrations
Guide
Pages
Introduction
About This Book
Foolish Assumptions
Icons Used in This Book
Beyond the Book
Where to Go from Here
Bitcoin Basics
Bitcoin in a Nutshell
In the Beginning, There Were … Digital Currencies?
The Birth of Bitcoin
But Who Is Nakamoto?
Understanding What Bitcoin Actually Is
FIAT CURRENCY?
Understanding Bitcoin Units
Cryptocurrency or Cryptoasset?
If There Is No Bitcoin, How Can It Be Valuable?
Milton Friedman and the rai stones
Money is belief
Understanding Bitcoin Benefits
Portability
Verifiability
Fungibility
Durability
Divisibility
Open access
Final settlement
Borderless, stateless
Pseudonymous
Monopoly-resistant
Debasement-proof
Bitcoin Tech Explained
Understanding That There Is No Bitcoin!
Discovering the Bitcoin Ledger
So where is this “Bitcoin ledger”?
Bitcoin uses a blockchain ledger
Looking at the Bitcoin Distributed, Peer-to-Peer Network
Using the Bitcoin Blockchain’s Blocks of Business
Hashing the blocks
The Bitcoin blockchain is “immutable”
Finding Out How the Ledger Functions
Your address: Where your money is stored in the ledger
What’s the crypto in cryptocurrency?
ENCRYPTED BLOCKCHAINS
Public key encryption magic
HOW DO YOU ENCRYPT EMAILS?
Messages to the blockchain
Signing messages with the private key
Sending a transaction message to the Bitcoin ledger
MESSAGE TO THE BLOCKCHAIN
Unraveling the message
THE HOLDER OF THE PRIVATE KEYS OWNS THE MONEY
But you’ll need a wallet
Using Bitcoin
Buying, Using, and Selling Bitcoin
Finding the Price of Bitcoin
Your Options for Acquiring Bitcoin
Bitcoin ATMs
Buying Bitcoin from Coinme
PARTIAL BITCOIN?
Understanding your custodial Coinme wallet
Sending Bitcoin from your Coinme wallet
More Bitcoin ATM networks
Retail Bitcoin
Person-to-person trading
LocalBitcoins.com
Bisq
Trusted sellers
Bitcoin exchanges
Buying from Coinbase
Sending Bitcoin to another wallet
Sending Bitcoin to the Coinbase wallet
How to find the best exchange rate
Different types of exchanges
Not your keys, not your coins: The danger of exchanges
“Bitcoin Back” on Credit and Debit Cards
Earning Your Bitcoin
Mining Bitcoin
Finding Bitcoin Everywhere
Selling Your Bitcoin
Taking Control of Your Wallet (and Hodling Your Bitcoin)
HODL?
What Is a Wallet?
Wallets store private keys
Wallets create and store keys and addresses
Wallets communicate with the Bitcoin network
Wallets can be hot or cold
Exploring Wallet Hardware
Brain wallets
Paper wallets
Metal wallets
Hardware wallets
Web wallets
Dedicated full nodes
Dedicated hardware full nodes
Full-node software
Software wallets
Finding a Wallet
Setting Up a Bitcoin Wallet
Creating and securing your first wallet
DIGGING INTO SEED ORIGINS
Creating a 24-word seed
THE GEEKY STUFF
Increasing security with a fake account
Receiving Bitcoin
Getting those notifications
Checking your addresses
Sending Bitcoin
Following the money
Backing up your wallet
Importing (or recovering) a wallet
Creating a watch-only wallet
Exploring multiple-signature wallets
Understanding multi-sig wallets
Creating multi-sig wallets
Sending Bitcoin from a multi-sig wallet
Using the Lightning Network
Keeping Your Bitcoin Safe
Understanding How You Can Lose Control of Your Bitcoin
HOW 7,500 BITCOINS WERE LOST
Grasping the Goal: Private Key and Seed Protection
Making a Choice: Custodial or Private Wallet?
Devising Your Cryptocurrency Safety Plan
Producing powerful passwords
Protecting passwords with password programs
Protecting your computer
Watching out for sophisticated phishing
PHISHING?
Employing two-factor authentication
HOW’S THAT AUTHENTICATOR THING WORK?
The dangers of 2FA
The danger of SIM swaps
Exploring More Ways to Protect Your Bitcoin (and Everything Else)
Knowing What Happens When You Kick the Bucket
Choosing the multi-sig solution
Scheduling future transactions
Using a digital inheritance feature
Investing in Bitcoin
Bitcoin: Valuable Asset or Bubble About to Burst?
Bitcoin’s got to rise in value!
Bitcoin’s bound to bust!
Understanding stock-to-flow
LOST BITCOIN?
Bitcoin: digital gold
So You Want to Buy Bitcoin…
The basic strategy — buy and hodl
Dollar cost averaging
Timing the market
Arbitrage
Other Bitcoin-related investment vehicles
Don’t forget your retirement
Hodling II — An Even Better Strategy
The New Frontier — Other Cryptocurrencies
NFTs — What’s It All About?
Getting Geeky
Understanding the Bitcoin Network and Bitcoin Mining
The Bitcoin Network
Submitting Transactions
Looking at transaction fees
Change address
PUBLIC KEY ENCRYPTION
Verifying the transaction
Mining for Bitcoin — the 10-minute contest
HASHING?
Winning the Bitcoin
Bitcoin Presets
Bitcoin Adoption in the Real World
Bitcoin in the Boardroom
Bitcoin in Nations
When governments love Bitcoin
Nations promoting crypto
It’s not just the rich
When the nation collapses
Bitcoin Botheration
Bitcoin Is Too Volatile
Governments Ban Bitcoin
Bitcoin: A 21st-Century Ponzi Scheme
The Bitcoin Bubble
Bitcoin Costs Too Much to Use
Bitcoin Security Risks
Bitcoin Energy Usage
The Part of Tens
Ten Tips to Hodl and Stack Sats
Invest in Knowledge, Do Your Homework
Get Off Zero (B)
Lower Your Cost Basis, Buy the Dip
Dry Powder, or Get on Zero ($)?
Run Your Own Bitcoin Node
Secure your Keys, Test Seed Backups
Bitcoin Price-Prediction Models
Bitcoin Technical Analysis, Market Indicators, and Other Tea Leaves
Slow and Steady Wins the Race
Tell Everyone, or Speak Softly?
Ten Types of Bitcoin Resources
Bitcoin Documentaries
Bitcoin Books
Bitcoin Guides and Walkthroughs
Bitcoin Block Explorers
Bitcoin Data Aggregators
Bitcoin Forums
Bitcoin Volatility Charts
Bitcoin Foundational Documents
Bitcoin Wikis
Bitcoin Data Visualizations
Ten (Plus One) Thoughts about the Future of Bitcoin
Bitcoiners Love Lindy’s Law
Bitcoin’s Limited Supply Drives Price
Bitcoin Adoption Coin Rush
Bitcoin Adoption by Corporations
Bitcoin Is Dead!
Bitcoin Boom-and-Bust Cycles
The Halvening and Bitcoin Price
New Bitcoin “Layers”
Bitcoin Lightning Network
Bitcoin sidechains
Bitcoin Will Get Easier
Bitcoin Development and Bitcoin Improvement Proposals
What Is the Future of Bitcoin?
Index. Numbers
A
B
C
D
E
F
G
H
I
K
L
M
N
O
P
Q
R
S
T
U
V
W
Y
Z
About the Authors
Dedication
Authors’ Acknowledgments
WILEY END USER LICENSE AGREEMENT
Отрывок из книги
Welcome to Bitcoin For Dummies, 2nd Edition, a book that tells you everything you need to know to get started with the original blockchain-based cryptocurrency (including what blockchain and cryptocurrency mean).
This is a very strange subject. Bitcoin is perhaps the most valuable asset (there’s about a trillion dollars’ worth right now) that almost nobody understands. How can you invest in something if you don’t understand what it is? And make no mistake, most people, even some with thousands of dollars’ worth of Bitcoin, don’t know what it truly is. Read this book, and that won’t be you.
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And furthermore, why would you want to spend your Bitcoin when it might double or triple in value over the next few months? No, Bitcoin is not a true currency, though it was originally intended to be one (and perhaps in the future, it will become one).
Google and the Oxford Languages dictionary describe currency as “a system of money in general use in a particular country.” Bitcoin is certainly not a currency in, say, Europe or North America. Perhaps the only country in which it comes anywhere close to being a currency is El Salvador, the government of which launched Bitcoin as a secondary currency. But for most of us, Bitcoin is a store of value, not something we’re going to use to buy groceries.
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