BitcoinThe Future of CurrencyBy: Bernardo LopezDr. Carl RebmanITMG 100Nov. 12, 2013

“There is no way to value Bitcoin, which

means there is nothing constraining its price other than supply and

demand.”Blodget, Henry

Introduction What is money? Medium of exchange Nobody invented money, it was a result

of human interaction What is Bitcoin? fungible unit of value

backed by computer processing power. Digital currency

TimelineAUG 2008: Domain

name 'www.bitcoin.org' is

registered

JAN 2009: The first Bitcoin transaction

FEB 2010: Bitcoin market is established

NOV 2010:Bitcoin economy passed the

$1 million USD

FEB 2011: Reached parity with the US

Dollar (1:1)

MAR 2013: Bitcoin economy passed the

$1 billion USD

Information Decentralized system, power is spread

among all users (no central authority or third-parties)

Regulated by peer-to-peer Finite number of coins = eliminate

inflation (no “magic”)

Price of BitcoinsYear Price

June 8th, 2011

$32.00

January 17th, 2012

$7.20

August 19th, 2012

$15.25

March 11th, 2013

$49.00

April 10th, 2013

$266.00

November 7th, 2013

$309.68

Price History

Miners Workforce Paid with Bitcoins Bundle up transactions = ‘blocks’

&’block chains’ Cryptography ensures and secures

transactions All participants know the history of all

transactions in the network

BibliographyHobbs, Darren. "Explain like I’m five: Bitcoin." Darren Hobbs, Shamelessky self-promoting since 202. Wordpress, 09 Apr 2013. Web. 8 Nov. 2013. <http://darrenhobbs.com/2013/04/09/explain-like-im-five-bitcoin/>.

Lee, Timothy B. "An Illustrated History of Bitcoin Crashes." Forbes. (2013): n. page. Web. 10 Nov. 2013. <http://www.forbes.com/sites/timothylee/2013/04/11/an illustrated-history-of-bitcoin-crashes/>.

"History." Important milestones of the Bitcoin project. <https://en.bitcoin.it/wiki/History>.