The promise of bitcoin summary
August 21, 2022

The Promise of Bitcoin: A New World Of Unsecured Money – Summary, Chapters and Review of Bobby C. Lee’s Book

The world of cryptocurrency can be intimidating, even for those with a strong background in finance and technology. There are an abundance of new terms to learn, concepts to understand, and risks to take into consideration. Fortunately, there are books available that make the process of learning about cryptocurrency much easier.

Bobby C. Lee is the CEO of BTCC, one of the largest Bitcoin exchanges in China as well as the first Bitcoin mining pool operator.

In his book The Promise of Bitcoin: A New World of Unsecured Money, he introduces readers to Bitcoin and its underlying blockchain technology in an accessible way without sacrificing depth or accuracy. The following is a book summary and review of Bobby C. Lee’s book “The Promise Of Bitcoin.”

A High-Level Account Of What Makes This New Technology So Compelling

The Promise of Bitcoin offers an insightful look into how these technologies work in practice while providing an overview of their history and future potential.

“What does it mean for Bitcoin to be permissionless? It means that, unlike many things in life, you do not need permission to participate in the Bitcoin ecosystem. You do not need permission to mine bitcoin, to send bitcoin, to receive bitcoin, to invest in bitcoin, nor to write software to improve bitcoin. The beauty is that Bitcoin is completely in the open, and no one can stop or prevent you from participating. “

Bobby C. Lee

The promise of digital currency is that it is borderless and decentralized, which makes it very difficult for governments to control. While governments can impose capital controls on their own currency to prevent money laundering, terrorist financing, or other illicit activities, they would have a much more difficult time doing so with Bitcoin, since it is not issued by governments or centralized financial institutions.

Blockchain Introduces Concepts Like Cryptography, Decentralization And Consensus Protocols

Blockchain is a decentralized network that is maintained by a group of computers that constantly verify each other’s accuracy. If one computer tries to falsify data, the rest of the network will catch it and the computer will be expelled from the network. This is made possible by cryptography, a way of securing information so that only those with the correct “key” can access it.

Because no one person or company owns or controls the network, it is decentralized. In addition, because the network is open source and user verification is incentivized through the mining process, it is also a largely democratic system.

Each network participant has a key that enables them to add new data to the blockchain, and this data is verified by other participants.

Blockchain Can Be Applied To Digital Currency, Online Voting, Data Storage And More

You’ll also learn about the blockchain, which is a distributed database or ledger. It consists of blocks that contain data about transactions between two parties. Each block contains the hash of a previous block: the hash functions as an identifier for any given transaction in the blockchain. The integrity of each block is ensured through proof of work (PoW), while PoW ensures security and immutability on the network

Blockchain is essentially a spreadsheet that solves the double-spending problem without involving large institutions like banks or governments. If one accountant adds a line to her ledger, it appears in everyone else’s. In other words, when one line of accounting code, or block, is created in the blockchain, everyone can see and verify it. This makes double entries impossible, and it creates a decentralized but fail-safe mechanism for keeping track of transactions ledgers only records legitimate transactions, which is key to the whole system.

The real power of blockchain technology lies not in the security and immutability it provides for cryptocurrency, but rather in the potential for it to be applied to other industries.

A growing number of businesses are piloting blockchain-based solutions for use in supply chain management, cybersecurity, and health care data storage. In each of these cases, the technology can be used to create a near-perfect record of transactions and interactions, with little room for error or tampering.

Bitcoin From A Technical Perspective And Its Potential As An International Currency

In The Promise of Bitcoin, Bobby C. Lee explains how cryptocurrencies allow people to transact business more freely than ever before; he also discusses the distinction between traditional fiat currency (government-issued currency) and cryptocurrency.

Bitcoin is a decentralized global payment system that uses cryptography to control the creation and transfer of funds. Bitcoin enables peer-to-peer payments without an intermediary such as PayPal or Visa.

Bitcoin has many benefits over traditional currencies:

  • It’s globally accessible and easy to use via mobile devices, so you can easily send or receive bitcoins from anywhere in the world at any time of day.
  • Transactions are confirmed within minutes through a network of computers instead of days by banks, making them fast and secure relative to traditional currencies like dollars or euros (which need to be physically transported)

Decentralized Technologies Such As Blockchains Will Replace Centralized Ones Such As Banks Or Governments

While there is no doubt that cryptocurrencies and decentralized technologies have the potential to impact a wide range of industries and sectors, it will take time for them to be adopted by mainstream society. For decentralized technologies like blockchain to be adopted on a large scale, they must be far easier to use than they are now. This will require a significant amount of time and investment in research and development.

Digital Currencies Regulation and Taxation Around The World

In addition to covering Europe, Japan, China (including Hong Kong), India, Turkey and South Korea’s regulatory policies on virtual currencies—he makes sure to cover Bitcoin from a technical perspective for those who are interested in learning about what exactly makes up this new type of money.

Join The Bitcoin Revolution By Using Exchanges 

Exchanges are essentially platforms that allow you to trade or store your cryptocurrency in exchange for fiat currency, like US dollars or euros. And there are a lot of them out there!

Exchanges are a great way for you to get started trading Bitcoin because they allow you to trade bitcoins without having them stored at all. This reduces risk considerably – if anything happens while you’re transferring funds between wallets or if hackers break into your account then at least none of your money will be lost!

About The Author

Bobby C. Lee is the CEO of Bitcoin startup BTCC. In “The Promise of Bitcoin”, he shares his insights on what’s happening with bitcoin, ethereum and other cryptocurrencies.

Lee describes Bitcoin as ‘digital gold’ due to its unique characteristics of being limited in supply and not having any intrinsic value like other commodities do; however, he argues that it is ‘free from government or corporate control.’

Bobby’s book is meant to give people hope for the future of cryptocurrency even though there are many obstacles ahead.

The author has the gift of being able to explain complex concepts in simple and straightforward language.

For people who are new to bitcoin, this book is perfect because it covers all the basics in easy-to-understand language while also managing to stay on topic and not get bogged down with too much detail. For those who already know quite a bit about bitcoin, The Promise of Bitcoin is still worth reading because it keeps things interesting by including stories from Bobby’s personal life (like when he first got into cryptocurrency).

Conclusion

‘The Promise of Bitcoin’ is a great introduction for beginners and intermediates alike interested in learning more about cryptocurrency and blockchain technology. However, it is important to keep in mind that blockchain technology and cryptocurrencies are relatively new and evolving, and there is still a lot of progress that needs to be made before they are ready for mainstream adoption.

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