Bitcoin, Block chain and its applications

Dr. Helal Uddin Ahmed

PhD in Computer Engineering (South Korea), MBA (UK), MSc
(DU), BSc.(DU)
Professor
Department of MIS
University of Dhaka
Mob. 01783368720
helal1009@gmail.com
 Bitcoin
• it’s a decentralized digital currency also called
crypto currency
• No person, company, or organization is in
control of Bitcoin
• Controlled by distributed network of computers.
• You can send, receive, and store coin using a 
secure digital wallet app which you can
download for free.
 Bitcoin-how to mine
• Miners has to solve a complex mathematical problem to
mine bitcoin.
• Eg.  All transactions are locked into boxes with a virtual lock.
• Miners are running software to locate the “key” that opens
that lock.
• Once the computer finds it, the box is opened, the
transaction is verified and
– the miner receives 12.5 bitcoins.
• the estimated number of attempts to find the correct key is
about 1.7 billion, and
• a bitcoin reward is given out about every 10 minutes.
 Bitcoin- Tools for payments

• You can accept both Bitcoin Cash and Bitcoin

payments;
• Tools for bitcoin payments: digital wallet app
(cash), Bitcoin payment gateway (online
businesses) or a point-of-sale app (in-store
businesses).
 Bitcoin- as a public record

• The Bitcoin network continually process and

verify the latest transactions
• These transactions are publicly recorded on a
global digital ledger called ‘the blockchain.’
• Each time a new list of transactions (called a
‘block’) is added to the blockchain,
• every previous Bitcoin transaction is
repeatedly acknowledged by the network.
 Available crypto currencies
• Bitcoin
• Bitcoin cash
• Litecoin
• Dogecoin
• Ethereum
• BAT
• NEO
• Ripple XRP
• Stellar (XLM)
• Cardano (ADA)
 Transaction between the parties
• two individuals wish to conduct a transaction online, each with a
private and a public key, blockchain allows the first person (person
A) to use their private key to attach information regarding the
transaction to the public key of the second person (person B).
• This information together forms part of a block, which contains a
digital signature as well as a timestamp and
• other relevant information about the transaction, but not the
identities of the individuals involved in that transaction.
• That block is then transmitted across the blockchain network to all
of the nodes, or other component parts of the network, which will
then act as validators for the transaction.1
• https://www.bitcoin.com/get-started/a-quick-introduction-to-bitc
oin/