UX14 - BitCoining Experience (Ranjeet Tayi)

Bit Coins are one most disruptive technologies in recent times with an impact that may ultimately be as big as the internet. Bitcoin uses peer-to-peer technology to operate with no central authority or banks. Managing transactions and the issuing of bitcoins is carried out collectively within a network. Bitcoin is open-source; its design is public, nobody owns or controls Bitcoin and anyone can take part. Through many of its unique properties, Bitcoin allows exciting uses that could not be covered by any previous payment system. Bitcoin is a virtual currency and the Bitcoin user experience will be very important for widespread adoption and use. In my talk I am going to talk about the evolution of currency, crypto currencies and Bit Coins. I will also discuss Bitcoin experiences and the Bitcoin platform eco-system, Bit Coin facts, and the possible future of Bit Coins.

Transcript

1. BitCoining Experience Ranjeet Tayi Principal, User Experience - Informatica International Conference on User Experience Design – Bangalore , India. 10th October 2014
2. Before 600BC http://s.hswstatic.com/gif/bartering-4.jpg Bartering Livestock, Tools & Food
3. Coins 600 BC - Present
4. 806 AD – Present Paper Money
5. 331 BC – Present Cheque
6. 1816 Present 1900 1930 Only few nations tie the value of currency to price of gold. US begins a world wide movement to end tying currency to gold The US adopts the gold standards England makes gold a benchmark of value of currency The Gold Standard
7. US$ Real Goods / Services Virtual Goods / Services Closed Flow Hybrid Open Flow Virtual Currencies “An unregulated, digital money, which is issued and usually controlled by its developers, and used and accepted among the members of a specific virtual community”- European Central Bank. “A medium of exchange that operates like a currency in some environments, but does not have all the attributes of real currency” - US Department of Treasury - Wikipedia Next - Virtual Currency
8. 100 Coins = 1 Life Closed Flow
9. Semi Closed
10. Chunk E Cheese Tokens and Tickets Hybrid System
11. Hybrid / Open System
12. http://g1.idg.pl/ftp/mac/secondlife.jpg
13. 1996 2012 1998 1999 1990 1994 2006 2009 Failed and Discontinued Currencies
14. Crypto Currencies
15. What is a bit coin?
16. Bit Coins • Bit Coin is a peer-to-peer payment systems and a digital currency. • BTC is a type of crypto currency. Crypto, because it uses cryptography technology to work. • It doesn't exist as physical object. Bit Coin has a form of a long string that carries all of its information. • “CASH” for the internet. • Bitcoins can be stored electronically on computers and mobile phones across the internet. It is also a means to circulate, share and transact, just like PayPal or VISA. 1Mx3dNbiXLtYLiJq8F9BbriiLgRRhS34RA
17. Bit Coin Bubble 1 BTC = Rs.24702.49
18. 40M$ + Transactions a day 100000+ Merchants
19. Distribution of bitcoin. Source: State of Bitcoin 2014
20. Centralized Network De Centralized Network
22. Mining 21 Million The maximum number of it Coins that can exists ever. 2140 The year the last remaining Bitcoins will be supposedly mined. Mining is the process of spending computing power to process transactions, secure the network, and keep everyone in the system synchronized together. Miners are rewarded newly generated bitcoins for verifying transactions.
23. Wallet • You can bring a Bitcoin wallet in your everyday life with your mobile or you can have a wallet only for online payments on your computer. • Wallets are computer files that holds bitcoins. • Each wallet has a unique address that distinguishes it from other wallets. • If you lose the address, that Bitcoin is lost forever.
24. Transfer • Email • Bit Coin Address
25. Block Chain The block chain is a shared public ledger on which the entire Bitcoin network relies. All confirmed transactions are included in the block chain. This way, Bitcoin wallets can calculate their spendable balance and new transactions can be verified to be spending bitcoins that are actually owned by the spender. The integrity and the chronological order of the block chain are enforced with cryptography.
26. Bit Coin ATM
27. 70+ sites, bourses, and platforms from around the world Buy Bitcoins
28. http://cointelegraph.com/news/112561/top-10-nations-in-bitcoin-merchant-adoption
29. 1,00,000+ Merchants Accept Bit Coins
31. Buying Bit Coins
32. Payment
33. https://squareup.com/help/en-us/article/5214-square-market-accepts-bitcoin
36. Silk Road Silk Road is an underground website, sometimes it is also called as the AMAZON / eBAY of “illegal Drugs” 9.5 M Collected Bitcoin in revenue FEB 2011 JULY 2013 $1.2 Billion worth of business
37. Lack of international acknowledgement • Not all governments acknowledge BTC as a currency or as good. • Some governments intervene: • China and Thailand have forbidden any use of that technology. • USA and Canada have developed set of laws regulating activity of firms that work with BTC. • Germany imposed taxes on all income that comes in the form of BTC for German citizens.
38. • There are 70+ “alt coins” (Alternative bitcoins - inspired ) with market caps over $1M USD. • Each vary their technology based on offering different benefits and markets. • Because the technology is open source anybody can launch a new type of “Coin” • But the challenge is adoption and that is where Bitcoin is winning. Other Crypto currencies
40. What does LIKE mean in Facebook?
42. Payment freedom Very low fees Fewer risks for merchants Security and control Transparent and neutral Micro transactions Global Can change the future Degree of acceptance Volatility Ongoing development – still in beta. Wallets can be lost Lack of price stability. No buyer protection Lack of regulations Advantages and Disadvantages
45. http://revistadonna.clicrbs.com.br/porai/2013/01/12/vida-longa-ao-papel/ UX Challenges • Difficult to Understand. • It is based on mathematics. Only top mathematicians and cryptographers understand the algorithms. • Long address, very difficult to remember 1Mx3dNbiXLtYLiJq8F9BbriiLgRRhS34RA • Lack of trust on digital money. • Too many crypto currencies taking birth each month. • There are many Bitcoin wallet’s and every UI looks & behaves very different. • Governments are unclear about BTC. • Challenges with illegal usage. • Not clear, what to do with Bitcoins? • Still a newbie, can’t predict future. • The psychology of decimals. NEED TO UPDATE THE SLIDE
46. http://bitcoinmagazine.com/8274/the-psychology-of-decimals/
47. • It’s Bigger than what we can imagine. • The rise of many new Bitcoin startups. • Huge opportunity to innovate as Bit coin platform is open source. • Government’s and banks will also innovate new policies, tax systems and regulations. • This is still like the early stage of the internet… Can you imagine a person without an email now? • New demand for developers /UX designers who have crypto currency background.
48. Ux’er. Ranjeet Tayi www.ranjeeth.com I ACCEPT BITCOINS I believe Bitcoin is a great, recent innovation. I remain neutral about bitcoin itself, but am very excited by the mining methodology and use of bitcoins. Over time, the technology will become more secure and governments will develop policies and regulations that help create secure transaction environments. References https://bitcoin.org/ https://www.iconfinder.com http://bitcoinmagazine.com/8274/the-psychology-of-decimals/ http://www.slideshare.net/jamesgagliardi http://sapientnitroblog.com/post/63066867197/the-future-of-money 1Mx3dNbiXLtYLiJq8F9BbriiLgRRhS34RA ranzeeth@gmail.com Thanks a TON!