[This chapter contains a lot of popular science content about Bitcoin. Readers who know Bitcoin very well do not need to subscribe. In addition, the explanation about Bitcoin in the article is based on his own understanding and purely written by the author, so there will definitely be many wrong things, but the general concept is correct, please understand]

I believe everyone has guessed that everything Musk has experienced, including that small book stall and yellowed notebook, is actually Boss Jia’s masterpiece. Otherwise, Boss Jia can really let Musk’s time bomb take over Daqian’s mobile phone?

When Boss Jia saw that Musk was to get him the concept of Bitcoin and get out.

As for why Boss Jia did this, it is the answer that will be revealed later, so I won’t mention these for now.

The topic is back to Bitcoin. What is this Bitcoin?

This is very complicated to say, but it is simple to say. In fact, Bitcoin is essentially a string of passwords, a string of unique passwords on the entire network.

This sounds very incredible. A string of passwords can actually be worth more than 60,000 US dollars. Why is it? What can a string of passwords do? Can it open a bank account of Daqian?

Of course not, but think about it the other way around, a pile of 60,000 US dollars of banknotes, to put it bluntly, is just a pile of paper, which is worse than a password.

Let’s go further and there are digital cash in Alipay, which is just a string of data, which is worse than paper.

In fact, the fundamental reason why all money in this world can maintain is not what the money itself can do, but the credit represented by the money. Everyone believes in the value of the money and is willing to exchange it for their own production products, which means that the money is valid.

Almost all money in the world is endorsed by the national credit, because personal credit is simply worthless in front of money.

But Bitcoin is an exception. Bitcoin is not endorsed by the credit of the country, but by the credit of the entire network.

Let’s talk about the process of Bitcoin’s creation.

I believe everyone must often use x sub-x loading, because this download method is indeed much faster than other traditional download methods.

Because x sub-x loading is different from traditional downloads, traditional downloading is to download files from a fixed server. Although the server has high stability and network, a server needs to face thousands of downloads, and the download speed is very slow.

The x-sub-x-loading is different. It does not directly download it from the server provided by the service provider, but directly download it from the computer of the user who has already downloaded it.

For example, a user has a very good movie, but this movie is not suitable for public download servers, so he made the movie into an x ​​sub-file and then posted the file on the Internet, while ensuring that his computer is in the network state.

At this time, if someone downloads this x subfile and double-clicks to use it, he can directly enter the publisher's computer through the network and download the movie.

Once the download is completed, the movie and seed will be found in the computers of the two people. In this way, the third person can download part of the movie data from the computers of the two people at the same time, and the download speed will be greatly improved.

Then there are 3 people turning into 6 people, and 6 people turning into 12 people. Anyway, as time goes by, more and more people also own this movie, so the download speed will become faster and faster, because the download work is scattered to hundreds of private computers, and it is no longer a single server, so the speed is naturally faster.

In this way, each computer takes out some of its own computing resources, network resources, and storage resources, and aggregates them together to form a large network body. This is the concept of peer network, that is, the P2P network.

After understanding this concept, we continue to understand Bitcoin.

The birth process of Bitcoin is actually not complicated, it is a process of solving mathematical problems.

Satoshi Nakamoto, the creator of Bitcoin, listed a very complex system of equations. You don’t have to worry about what this system of equations is, you just need to know that there are no fixed solutions for this system of equations, and it has many different special solutions.

As for how to solve the answer to this equation, users don’t have to worry about it, because Satoshi Nakamoto has provided an open source Bitcoin mine knife software, which can directly calculate the special solution of Bitcoin.

At the same time, according to estimates, because the number of special solutions is limited, the number of Bitcoins is also limited. There are only about 21 million Bitcoins in the world, because there are only so many special solutions for this equation.

When the first person uses the Bitcoin Knife program to solve the first special solution, the Bitcoin Knife will reward the solver with 50 bitcoins. Then, this answer, as well as the data changes of all transactions that occur within 10 minutes, will be packaged into a data packet and stored on the peer-to-peer network mentioned earlier.

This data packet is called a block, and the first packetized data is the first block.

When a user solves the second special solution, he will also be rewarded with 50 bitcoins, and then all transaction data will be packaged into a data packet within 10 minutes.

This data packet is the second block, and the first block and the second block are connected together through a peer-to-peer network. Then the second block is also connected to the third block, the third block and the fourth block are connected, and finally a long chain is formed, which is connected by countless blocks. This is the so-called blockchain technology.

This blockchain will be automatically stored in the computers of all users who have installed the Bitcoin mine knife software. Of course, some people may choose to delete data.

But it doesn't matter, because there are countless identical blockchains stored in countless computers, which means they have countless data backups, which is absolutely safe.

Bitcoin itself is a string of passwords. When you upload the solved special solution to the Bitcoin mine knife for verification, all the Bitcoin mine knives in the world will verify your special solution at the same time.

As long as this special solution is brand new and completely different from other verified special solutions stored in all mineral knives, the mineral knives will automatically generate a Bitcoin private key, that is, a string of passwords that are so complex that they cannot be untiened, and send them to a Bitcoin address you set.

At the same time, the Bitcoin Knife will also produce a public key, which corresponds to the private key you get. A private key can only open one public key.

You only own the private key, but the public key is stored in everyone's computer.

When conducting Bitcoin transactions, only by using your public key to open the private key can the transaction be carried out. In this way, the Bitcoin mining machine will produce a brand new private key and send it to the Bitcoin address of another user who spent money to buy your Bitcoin. In this way, you will lose the private key, and Bitcoin is equivalent to trading to another person.

This is the basic composition of Bitcoin. You may be a little confused when you see it, so let’s compare it to it vividly.

First of all, suppose that a person’s circle of friends can add friends unlimitedly, and it will always be visible to all friends.

Then the owner of this Moments posted a question in his WeChat Moments: What is fruit?

Then all friends can post a picture of fruit under the picture, and then all friends who have added this circle of friends can like this picture if they think that the picture is indeed a kind of fruit, and there are no other friends posting this fruit before, they can like this picture.

Only when more than 90% of friends like it will this fruit picture be recognized. At the same time, the system will automatically give the person who is sticking the picture a string of passwords, which is Bitcoin.

At the same time, all friends will also get the password box corresponding to the password box, and everyone will also remember that there is a Bitcoin on someone now.

If someone wants to trade this Bitcoin, then he will first leave a message and say who he wants to give Bitcoin to.

Then I send out my password to open the password box that everyone has in their hands. Only when all these password boxes are opened can they be unanimously recognized by all friends.

So the system takes back the original password, then generates a brand new password and hand it over to the person who is given away. At the same time, a brand new corresponding safe is generated and handed over to all friends.

Well, that's roughly the process.
Chapter completed!