new york wholesale jewelry showrooms How to understand the price of bitcoin

coco chanel jewelry wholesalers This article will not involve the more details in the algorithm and the protocol. I plan to write a Bitcoin principle under the perspective of a programmer later, where the more critical data structure and algorithm in the Bitcoin system will be from the perspective of the technical personnel. Explain some of the agreement.
In this article I will give a virtual village called "Bit Village". The entire article will gradually tell you the motivation of Bitcoin, what problems solved, and some key components. Objectives and design schemes.
This questions
The motivation of Bitcoin first.
The village of Bittius with objects
It said that in this world, there is a small village called Bit Village. There are hundreds of households in the village. This village is almost isolated from the world and lives a self -sufficient life. Because there is no large -scale trade, the villagers of Bit Village have always lived a life of vulgar things, which means that the villagers did not use uniform currencies. The trade between each other was basically the old Zhang family changed a bag of flour to change the old Li family to the old Li family. A sheep, Wang Dazhen replaced Liu Dadu for two feet with a basket of wild fruit. The villagers have always lived so simple.

The physical currency
In one day, the villagers feel that it is too inconvenient to have been like this, so the village members met to discuss how to solve this problem. Some people propose to facilitate division and rare things, such as gold, as general equivalent, compile the corresponding relationship between other items and gold into a table, such as one gram of gold corresponding to a sheep, one gram of gold corresponding to a bag of flour, etc. At this time, Lao Zhang no longer had to carry a bag of flour to go to the old Li family to change the sheep. As long as he touched a gram of gold from the house, he could go to the old Li family to carry a sheep, and Lao Li took this with this. One gram of gold can change a bag of flour from anyone who is willing to make flour. Of course, it can also be exchanged for any items that are equal to one gram of gold.
The village of Bittius entered the era of physical currency.
S symbol currency
The good times did not last long. After a period of time, the disadvantages of the physical currency also appeared. Because there are not many gold mines near Bit Village, the mining and smelting gold is too time -consuming. With the use of use, gold is always losing due to wear, loss or someone intentionally hoarding. The village people sat together again and began to discuss countermeasures. At this time, some people say that in fact, you don't have to really use gold, just find a piece of paper, and write "one gram of gold". As long as the people in the village agree with this paper, it is equal to one gram of gold. Essence Others have agreed, but at the same time, there are new problems: real gold requires mining and smelting, gold mines are limited, mining and smelting also require costs, so no one can make a lot of gold in the short -term manufacturing in the short term. For that as long as my paper is enough, just like writing as much as writing, then this will become a lot of paper to fight, and I can change a sheep by 10,000 pieces of paper. Learning inflation).
The thought of everyone. However, some people proposed the solution at this time: This paper is not effective. We only recognize the village chief of the village in the village. Everyone knows the words of the old village chief. The old village chief wrote some paper, and at the same time, it was sent to everyone according to the various gold stocks. For example, the old Zhang family had 200 grams of gold. Paper, at the same time, take the gold of the old Zhang family as a mortgage. In this way, the old village head of the village attracted all gold in the village to his own home, and sent the words of the equivalent paper according to the number of gold paid by each family. At this time, the villagers can take these paper to trade as gold, and everyone recognizes the words of the old village chief, and others can not be forged. In addition, if anyone's paper wear is too serious, you can also get the old village chief to redeem new equivalent paper. In addition, the old village chief promises that if anyone wants to change to real gold, as long as he takes the paper back, the old village chief will be the head of the village. Will return the equivalent gold to that person. Because the amount of gold written by the old village chief is the same as the amount of gold in the home, as long as the principle of how many new paper is written in strict destruction, each piece of valid paper can always be replaced back to the corresponding real golden gold. Essence
At this time, Bit Village entered the era of symbol currency (banknotes). The old village chief undertaken the role of government and banks.

The central system virtual currency
In more years, the old village chief must check a large number of old banknotes every day, write new banknotes, and carefully record various accounts. Essence Overwhelming, the old village chief worked overly.
Bit Village held a plenary conference again to discuss what to do. At this time, the son of the old village chief, Ergouzi, told himself to take over his father's pen and assume the responsibility of currency issuance. The young village chief Ergouzi was very smart. He did it for a few days and found that he didn't really need to write so many paper. It can be completely like this: the villagers handed all the banknotes and destroyed it, but the two dogs recorded the number of banknotes per household. In the future, if you want to pay, for example, Lao Zhang wants to exchange a gram of gold to change a sheep to Lao Li, and call the two dogs together, indicating that the gram of gold under the old Zhang name is placed under the old Li Ming under the old Li Ming. , Ergouzi took out the ledger to see if there was a gram of gold under the name of Lao Zhang. If one gram was reduced in the name of Lao Zhang, and a gram of Lao Li's name, then the payment was completed. At this time, Lao Li heard the two dogs confirmed that the transfer was completed, and he could rest assured that Lao Zhang took away the sheep.
The village of Bittius entered the era of central system virtual currency. Each villagers do not need to pay by physical payment, and the payment process has become a change in numbers maintained on the ledger maintained by Erguzi.

distributed virtual currency
This new two dogs are clever, but this person is sometimes clever and clever. One day, Er Dou stared at the ledger, thinking that the whole village's households had how much money was the calculation, then I was not ... So he was hot, and he made ten grams of Jinzi in his name under his account.
This thought that the Tianyi was seamless, but I did not expect that Lao Zhang also had the habit of accounting. One day he was about to pay but was informed by the two dogs that the account had no money. Lao Zhang checked his own ledger, and there were ten grams, so he took the ledger to find the two dogs theory. This verification discovered the transfer of the transfer without the consent of Lao Zhang.
The incident! Bit Village was exploded. Ergouzi was impeached, but through this incident, everyone found that the disadvantages of the ledger concentrated in a person's hands:
This system depends on the personal credit of the ledger holder. Rules, tampering with the ledger at will, then the entire currency system will collapse
. If the people's fire or the ledger theft will also bring a devastating blow to the entire system
Poly when people are at a loss, the village is overwhelmed, the village is at a loss, the village is at a loss, the village is at a loss, and the village will be at a loss. The village will be at a loss. A otaku scientist named Satoshi Nakamoto has stepped on the stage and told everyone that he has designed a virtual currency system called Bitcoin that does not rely on any central processor, which can solve the above problems. Then he slowly told his plan.
It let's take a look at how Nakamoto Satoshi designed this system.
Infrastructure construction
In publicity mechanisms
I Zhongcong first explained that the existing account book should be transformed as follows:
Record every transaction. That is, the payer, the receipt and the payment amount of each transaction. As long as the initial status of the book book is determined, each transaction record is reliable and sometimes sequential. How much money everyone currently holds can be calculated.
This books are changed from private ownership to disclosure. As long as any villagers need, they can get the current complete account book. The book book records the transaction records from the book creation to all current transaction records.
In this remarks, fried immediately below. It doesn't matter, but the second article is simply unacceptable, because the book book records the transactions of all villagers, so whether everyone's privacy is exposed?
The Cong was not panicked and took out a pair of strange things.
The identity and signature mechanism (public key encryption system)
Makura said, don't panic. Under his mechanism, no one uses a real identity transaction, but uses a unique code -trading.
This he showed the magical things in his hand, saying that the two things were called confidential seal and seal scanner. He will send a confidential seal and a seal scanner for every household in the village. The role of the two is as follows:
The confidential seal can be stamped on the paper. Each seal is hidden in the only string of characters in the village, but the naked eye is invisible. It is also impossible to create the corresponding seal by observation.
The scanner of the seal can scan a stamp that has been covered, read the implicit information, and display a string of characters on the LCD screen.
has these two magical things, and everyone can trade without revealing the true identity, and the string of characters hidden in the seal is the code of this family. How to use the confidential seal and seal scanner for transaction will be detailed below.
In the establishment of a virtual miner organization (mining group)
The next step, Satoshi Nakamoto recruits virtual miners in the village, as follows:
One household can also be a group of several sets of households in a group of
The mining workers do not affect the normal use of currency
Miners spend a certain time to engage in Bitcoin "mining" activities, but unlike mining mining, virtual virtual Miners do not need to take tools to work in the wild, and they can complete work at home
The may be paid for certain possibilities. The more effort to pay in mining activities, the greater the possibility of getting compensation
Miners can exit at any time, or new miners can be added at any time
soon, about one -fifth of the villagers join the Bitcoin miner organization, divided into 7 groups.
In the establishment of the initial account book (creation)
Below, Satoshi Nakamoto announced that according to the book book in the hand of the two dogs, the balance of the mortgage recorded by the mortgage book was returned to each villager, and then Thoroughly destroy this book.
Then, Satoshi Nakamoto took out a new book book and recorded some transaction records on the first page of the book book. In particular, the payers of these records were all "systems", and the payee The implicit characters corresponding to each seal respectively, representing the initial moment, the system allocates a certain number of bitcoin by default for each household, but there are very few, only a few, and even some unfortunate villagers have not obtained Bitcoin.
It Satoshi Nakamoto said that since there are very few Bitcoin on the market, you can go back to the era of using gold as currency. Since I am not a village chief, I have no right to force everyone to admit that Bitcoin. Everyone You can decide whether to accept Bitcoin by yourself. However, with the flow of Bitcoin and the activities of miners, Bitcoin will gradually increase.
The payment and transaction
did so many pavement, and finally said the key points. Let ’s talk about how to complete the payment under such a system. Take Lao Zhang to 10 Bitcoin as an example.
The payer signed the transaction list
In order to pay 10 Bitcoin, Lao Zhang first asked Lao Li's logo string, such as "ABCDEFG", and at the same time, Lao Zhang also has a logo string such as "Hijklmn "Then Lao Zhang wrote a list with the content" Hilklmn paid 10 Bitcoin to ABCDEFG ", and then changed a chapter with his own confidential seal and handed this list to Lao Li. In addition, in order to facilitate the source of this money, it is necessary to indicate which page of the source of the money in the list. For example The first page.

This confirmation of the document signer
In Lao Li got this list, you need to confirm that this list is indeed signed by "hijklmn" (that is, Lao Zhang). Not difficult. Because there must be a confidential seal on the list, Lao Li takes out the seal scanner and scan the chapter. If the characters shown by the LCD screen are consistent with the character characters of the payer (this is "hijklmn"), you can confirm that the list is indeed a payer. Signed. This is because according to the mechanism of confidential seal, no one else can forge the seal. Anyone can confirm whether the payer and the seal person can be consistent if anyone scan the seal.
The contribution confirmation of the payer balance
This system is still very problematic. Through the confidential seal, although the payee can confirm that the payer did sign the order, he could not confirm whether the payer had enough balance to pay. In the previous central virtual currency system, Ergouzi was responsible for checking the balance of the payer and notifying whether the transaction of the payee was valid. Now that the two dogs are opened, who is responsible for the effectiveness of each transaction?
has previously said that the system designed by Nakamoto is a distributed currency system and does not rely on any central figure, so there will be no one or a few people responsible for this. Miner organization mentioned. Any villagers who use Bitcoin to trade in the Lao Zhang, Lao Li, and the whole village rely on the work of miners' organizations to complete the transaction.
The work of miners
The work of miners is the core of the entire system and the most complexity. The work content and purpose of the miners will be gradually introduced below.
In the tools of miners
. As the saying goes, if you want to be good at work, you must first benefit his instrument. Although Bitcoin miners do not use tools such as iron, iron, and visiting lights, there are some necessary things.
The initial account book. Each group first copys a initial book. There is only one page of the initial book book, which records the first gift of the system. Each group has several book paper, only the book structure on each page of paper, without filling in content. The specific content of the content is later described. Below is the appearance of an empty account book paper. The meaning of each field will be mentioned later

encoded the generator (hash function). Nakamoto has distributed several encoding generators to each component organized by the miner. This thing is amazing. Put the book paper that fills the contents of the contents in this machine. The column automatically prints a number of "0" and "1" numbers, with a total of 256. The most amazing thing is that the number generator has the following functions:
The number of numbers generated is only related to the contents of the book paper, and it has nothing to do with factors such as the person, font, and filling time. The number of paper generation is always the same, but if the content is changed only one character, the number will be uniform
encoded the generator when printing and encoding The consistency of the single and filling in the transaction list, especially the confidential seal, if it is found that the confidential seal and the payer are inconsistent, they will refuse to print the encoding
The machine prints and determines whether the number and content are the same. Each miner group needs to hang a box at the door to collect transaction orders. Bulletin Board. Each miner group also needs a notice board to publicize some information.
With the tools above, the miners can start!
Coloning the transaction list
The Satoshi stipulated that the initiator of each transaction must not only give the transaction order to the receiver, but also copy several exactly the same transaction orders to each miner group at the same time In the income box.
The people in the miner group regularly take the collected transactions in their post -box.
Fill the account book
The people in the group take out a piece of empty account paper, fill in these transactions into the "trading list" column, and find the last page of the current account book. Copy to the "Previous Bill Number". Note that there is also a "lucky number", you can just fill in a number, such as 12345. Then, put this book paper in the number generator and print the number.
If you think that the work of the miner is so simple, then it is very wrong. Nakamoto has a perverted rule: only the top 10 numbers of the number are 0, and this page book paper is valid.
Ben according to the description of the previously generator, the number of the number must be modified, and the content of the book paper can only be modified, and the "trading list" and "previous account book number" cannot be changed casually. Numbers. So in order to generate effective book paper, the miners in the group kept copying the book paper, but the lucky numbers of each piece of paper were different, and then repeatedly repeatedly put the paper into the encoder. Even if it is abolished, repeat this process until a string of effective numbers.
We we know that if each number of the number is random, then the average paper with more than 1,000 lucky numbers can get a valid number.
This is strange. Why do these miners do this seemingly meaningless thing? I still remember that the miner had paid before, this is the motivation of the miner. Nakamoto stipulates that the first transaction of the transaction list of each account book paper is "paying 50 Bitcoin to this group". In other words, if you generate a meaningful book paper and accept it by all mining teams, then it means that this transaction is also accepted, and your mining team has won 50 Bitcoin.
This is why miners are called miners, and why the number of Bitcoin will continue to increase with the activities of transactions and miners. For example, a mining process, the public Bitcoin account of this group is "UVWXYZ".

In the lucky number to try to "533", the system generates a page effective book.
Confirm the account book
Is in a mining team lucky to generate a meaningful book. In order to get a reward, other groups must be asked to confirm their work immediately. As mentioned earlier, there are 7 mining groups in the village, so this group must send 6 fast horse plus whip to other 6 groups to request confirmation.
Men Cong stipulated that when a group receives the book paper from other groups, the mining work in the hand must be stopped to confirm the account book.
The information that needs to be confirmed:
The number of account books is valid
The first page book book of the account book is valid
The transaction list is valid
Simple. As long as the book paper is placed in the encoding generator for verification, the number is valid if the verification is passed.
The second part needs to compare the "Previous Book Paper Number" on the book page and the last page number of the valid account book currently saved by this group. Compare forward until you find the page of this number. If the page corresponding to the designated "Previous Book Paper Number" is not found, this group will throw this page. No confirmation.
Note that the above mechanism can be guaranteed that if the book paper in the hands of each group is the same, then they can bind the same accountbooks in the same order. Because the number of the latter paper always depends on the number of the previous paper, the mechanism of encoding the generator ensures that the relative order of all legal book paper is the same in each group (there may be branches, but there will be no occurrence of appear. Ring, talked about it later).

In the end how to confirm the validity of the transaction list. In fact, it is to confirm that the payer of each transaction has enough balance to pay the money. Since the transaction information contains how the money comes from, it also includes the bill number recording the source transaction. For example, Hijklmn wants to give ABCDEFG 10 Bitcoin and indicates that these 10 Bitcoin transactions paid to Hijklmn from OPQRST before. When confirming, you must first confirm whether the previous transaction exists. At the same time Did not pay these 10 Bitcoin to others. After all this confirmation, the effectiveness of the transaction was confirmed.
The first of which is the 50 groups that are rewarded to the group that generate this page book. This transaction is recognized by default. As long as the following methods are traced on the above method, you can confirm whether Hijklmn really has 10 Bitcoin payment currently. Give ABCDEFG.
If all the above verifications are completed and all passed, this group recognizes the validity of the above account paper, and then put this account paper into the main account book of the group, abandon the current work that is currently ongoing. It will be based on this updated main ledger.
The feedback of the account book
For the mining team, when the book paper is sent out, if there is a book paper from other groups, the "previous page book paper number" is the before The book paper sent out, then it means that their work is successfully recognized by other groups, because there are already groups that they have continued to work based on their book paper. At this time, it can be roughly considered that 50 Bitcoin has been considered.
It, when any group generates a new valid account book paper or confirms the book paper of other groups, the latest transaction that is recognized by this group is written on the bulletin plate, so the payee only needs to find that the relevant transaction is being being transaction being being being transaction. Each group recognizes that it can basically think that the money has reached his account, and he can point the source of the money at the transaction when paying.
The above is the payment system of the entire Bitcoin. Let's analyze why this system can work, and the risk that the system may face.
The work mechanism analysis
Although the basic operation rules of Bitcoin are explained above, the villagers still have a lot of questions. Therefore, Master Nakamoto has a special question meeting to answer common questions. Let's summarize the most concentrated concern of the villagers.
Core questions answered
. What should I do if I receive two legal book pages at the same time?
News Note that in the above operating mechanism, each mining team is working parallel, so it is possible to have such a situation: a group receives two different account pages. They are based on the current group's main account book. The last page, and the content is completely legal, what should I do?
For this issue, Cong Satoshi said that the group should not organize account books in a linear manner, but should organize account books in a tree -shaped tissue. At any time, the current maximum branch is used as the main account book, but other branches are retained. For example, a group received a two -portal book page of A and B at the same time, and the accounting was legal. At this time, the group should organize the two pages in the form of a bifurcation, as shown in the figure below:

black indicates the main book of the current account book. At this time, you can choose a page as the current main branch, for example, select A:

. If there is a new account page based on A, then this trunk continues:

If this trunk has continued like this, it means that everyone is basically A as the main trunk, and B will be forgotten. However, it is also possible that Sudi B has become longer:

Then we need to use the B branch as the current trunk and follow this branch for follow -up work.

From a partial point of view, although there may be inconsistency at the main book of each group at a certain time, the general direction is consistent. History.
If what to do if there are people in the mining team for pseudo account book
For this issue, Cong Satoshi said that as long as most people in the mining organization are honest, this system is reliable. reply.
First of all, based on the confidential seal mechanism, no one can forge the identity of others for payment, because the encoding generator will check the confidential seal of all transaction orders when printing and encoding, and the seal and the payer will refuse to print.
Coufending the honest miners will not acknowledge illegal transactions (such as a transaction payment party's balance is not enough).
So there is only one possible attack behavior, that is, after the receiver confirms the receipt, the other branch will be established from another branch to cancel the previous payment and pay the same money to another person again (The so-called Double-Spending issue). The following is also an example to illustrate this problem.
I assume that one attacker has 10 Bitcoin, he is going to pay the money to two victims A and B at the same time, and both are recognized.
The first step, the attacker is going to buy 10 Bitcoin gold from the victim A's hand. He signed a transaction list to the victim A, and transferred 10 Bitcoin to the victim A.

Step 2, this transaction was confirmed in the latest account book page and announced by various mining teams. Seeing the announcement, the victim A confirmed that the Bitcoin arrived, and gave the attacker's 10 Bitcoin equivalent gold.

The third step, the attacker finds the book book, and make a branch from the previous page of the account page that just trades the transaction, generate more bill pages, exceeding the branch just now. Because the branch created by the attacker at this time has become a trunk branch, and the branch that includes the victim A gets money has become a side branch, so the mining organization no longer acknowledges the transfers just now, and the 10 bitcoin obtained by the victim A is canceled. It's right.

The fourth step, the attacker can sign the transaction order again and pay the same money to the victim B. After the victim B confirmed that the money arrived, he paid the attacker equal gold.

. At this point, the attacker spent 10 Bitcoin twice, and purchased the equivalence of gold from the two victims. The attacker can also be made in the same way to cancel the transfer with the victim B, and pay the same money to others ...
A on this attack, the solution given by Satoshi Nakamoto is that it is recommended that the payee should not be in When the announcement is hung out, confirm the transaction immediately, but should watch it for another time. Waiting for each mining team to hang out 6 confirmation books, and the previous account book has not been canceled before confirming that the money has arrived.
The Tong Sato explained that the number of metamorphosis before setting was to defend this. According to the previously described, it is not so simple to generate a valid book page. It takes a lot of manpower to repeatedly try different lucky figures, and the process is completely lucky. If a book page contains the confirmation of your money, and it continues 6 in the back, then the attacker wants to catch up from another branch from another branch to catch up with the current main branch. Unless an attacker is an attacker Having a lot of manpower, exceeding the sum of the manpower of all other honest miners.
, and if the attacker has so many manpower, instead of spending such a strong energy to engage in such an attack, it is better to make a good benefit from the good people. This eliminates the formation of attacks by motivating.
Bitcoin will continue to increase, wouldn't it be severe inflation
本 said, I also thought of this. I forgot to say before, the manual of the operation rules I organized by the miner will explain that at the beginning of our agreement, each of which was generated by a page book, and the reward group 50 Bitcoin was generated. Later, when the account book increased by 21,000 pages, the reward was halved, for example, as the right, After reaching 210,000 pages, each one -page book reward 25 Bitcoin and 420,000 pages, 12.5 rewards for each generation, push in order, wait for the account book to reach 6,930,000 pages, the new account book page has no reward. At this time, the total amount of Bitcoin was about 21,000,000, which is the total amount of Bitcoin, so it will not increase infinitely.
has no one after rewarding, no one is a miner, wouldn't it be no one helping to confirm the transaction
, the profit of the miner will change from mining income to charging fees. For example, you can specify that 1%of them can be paid to the group with the handling fee when transferring, and each group will choose a transaction list with high hand renewal.
If there are more and more miners, will Bitcoin generate faster?
will not. Nakamoto explained that although the miners can be added and exited arbitrarily, the number of miners can change, and each miner will also get a coding generator, but I have added a regulatory mechanism to the encoding generator. The current work encoding generator The more the efficiency of each machine, the less the generating rate of the new account book is unchanged.
Although everyone's code is anonymous, if someone's code is leaked, the book book is open again, wouldn't it be found that all his accounts were found
are indeed like this. For example, if you have to trade with someone, you must go to his code before you can fill in the transaction order. Because the payee's column is filled in the person's code. However, Nakamoto said that it can provide unlimited confidential seals. It is recommended that each transaction uses different confidential seals, so that the account check book will not be traced all the accounts of the same person.
The answer.
The
It this article explains the operating mechanism of Bitcoin in a popular metaphor. There are a few points to explain:
In order to facilitate understanding, I made a lot of simplification, so some mechanism details are not exactly the same as the actual Bitcoin. But the overall ideas and key principles are the same.
It because many computer worlds (such as public key systems and network transmission) are not particularly good in the real world, there are inevitably some hard and unreasonable details in the story.
The technical principles and operating mechanisms of the Bitcoin network itself described this article. When Bitcoin transactions were conducted in the trading market such as MTGOX, the market did an intermediate agent and did not comply with the above mechanism.