Bitcoin API: Is Money Becoming Programmable?

A look at Bitcoin as a protocol.

Transcript

1. Bitcoin: Is Money Becoming Programmable? Money APIs…
2. Elie CHEVIGNARD @mailjet @Elie__ elie@mailjet.com
3. Headline should look like this Wanted to update my last talk “API as a product"
 But I got distracted
4. Headline should look like this The cause of the distraction
5. Headline should look like this Let’s start with the conclusion "Any competent programmer has an API to cash, payments, escrow, wills, notaries, lotteries, dividends, micropayments, subscriptions, crowdfunding, and more."
 
 Naval Ravikant (Founder @AngelList)
6. It matters Semantics
7. Headline should look like this Bitcoin timing is excellent • "Why store my money with strangers who may make crazy bets on derivatives (JPMorgan)? ! • Why keep my money in a bank that could threaten to seize it (Cyprus)? ! • Why keep my hard-earned savings in a currency that could be devalued because of an incompetent government (Argentina)?” ! Chamath Palihapitiya
8. Headline should look like this Still…
9. Headline should look like this South Sea Bubble
10. Headline should look like this Who knows Bitcoin? Who owns bitcoins? ?
11. Headline should look like this bitcoins VS Bitcoin The bitcoin currency, VS the Bitcoin network
12. Headline should look like this bitcoins Bitcoin
13. Headline should look like this Bitcoin
14. Headline should look like this Protocol => platform
 Platform => building "entrepreneurs and developers are now building technology on top of Bitcoin to make it more useful, more accessible, and more secure.” Fred Wilson
15. To summarise - Gold 2.0 - Currency - Platform - Protocol Buying Building
16. It’s about transactions Bitcoin
17. Headline should look like this The concept "Bitcoin is an open source peer-to-peer electronic money and payment network"
18. Headline should look like this What is money? "any object or record that is generally accepted as payment for goods and services and repayment of debts"
19. Headline should look like this What is a payment? "The act of transferring money from one party to another, it’s a transaction"
20. Headline should look like this Bitcoin is about transactions You need to trust the other party right? Well, no longer, thanks to Bitcoin.
21. Headline should look like this 4 concepts behind Bitcoin transactions - Digital signatures - P2P network - Distributed blockchain (ledger) - Proof of work system to prevent double spending => The system doesn’t require trust
22. Headline should look like this Remove trust = automation No more uncertainty or intermediaries: transactions become programmable
23. Examples Building
24. Headline should look like this Bitcoin has an Open API - Distributed (P2P) - Open Source
25. Headline should look like this Safe/sane ecosystem Third parties can build services.
 Let’s see an example.
26. Headline should look like this “The Internet is for snacking" "simple, focused products that capture an atomic behavior and become compound only by linking in and out to other services"
27. Headline should look like this Micro-payments are late
28. Headline should look like this Blockchain = distributed maintenance of the ledger
29. Headline should look like this Capacity limitations of the block chain 7 transactions per second 10,000 transactions per second
30. Headline should look like this "Taking transactions off-block" Solution 1: Third party
31. Headline should look like this Solution 2: Native Bitcoin has "dormant features"
32. Headline should look like this Key feature: "Contracts" "The (Bitcoin) design supports a tremendous variety of possible transaction types that I designed years ago. Escrow transactions, bonded contracts, third party arbitration, multi-party signature, etc." Satoshi
33. Headline should look like this Bitcoin uses a scripting system for transactions e.g. "A list of instructions recorded with each transaction that describe how the next person wanting to spend the Bitcoins being transferred can gain access to them."
34. Headline should look like this Remember Coinbase? "they are only possible between two Coinbase accounts"
35. Headline should look like this Protocol for micro-payments
36. Ecosystem = third party & native services - Proprietary APIs - (Really) Open APIs
37. Headline should look like this Other “contracts" possibilities - Smart property - Agents - Distributed markets - The Ripple currency exchange
38. Headline should look like this Hence the conclusion "Any competent programmer has an API to cash, payments, escrow, wills, notaries, lotteries, dividends, micro- payments, subscriptions, crowdfunding, and more."
 
 Naval Ravikant (Founder @AngelList)
39. Headline should look like this The future of the ecosystem now investors buy bitcoins tomorrow, they’ll fund Bitcoin ventures
40. Headline should look like this BTW, "bubble" or "user growth?"
41. Want more? Future
42. Headline should look like this BTC = SMTP, HTTP OR TCP/IP?
43. Headline should look like this Bitcoin Transport Layer API "working on the API connecting to the bitcoin client to other transport layers / data back-ends.” (…) "A radio station could transmit the block-chain over short-wave radio so that everyone in the world has access to it. The same API could be used for a program to automatically import the block-chain updates in the Bitcoin software."
44. Headline should look like this Headline should look like this