Essay on Money and Bitcoin

Submitted By debbie2564
Words: 3632
Pages: 15

To: Mark Hearn
From: Deborah Murdock
Class: CBA 350-01 Business Communications 9:15 TT
Semester: Spring 2014
Subject: Individual Presentation
Topic: Bitcoin
Presentation: To be presented April 1, 2014
Due Dates: Memo of Transmittal through Appendix A (03/11/2014) Appendices B-D (04/01/2014)
Please accept the attached report for the CBA 350-01 Business Communications class, which meets on Tuesday and Thursday at 9:15 A.M., during the Spring 2014 semester. The topic of this presentation is Bitcoin. This paper is scheduled to be presented April 1, 2014 at our regularly scheduled class. The due date for Appendices B-D is March 20, 2014 at our regularly scheduled class.
This report was prepared in accordance with the guidelines you mentioned in class as well as the examples on your web site. The report contains a memo of transmittal, a title page, a table of contents, an executive summary, and a references page. The references and the in text parenthetical citations follow the APA format. This report also includes four appendices:
Appendix A contains copies of references
Appendix B contains PowerPoint slides
Appendix C contains PowerPoint note pages
Appendix D contains PowerPoint handouts.
Microsoft Word 2007 and Microsoft PowerPoint 2007 were used to prepare this presentation.


Presented by Debbie Murdock

Presented for Dr. Mark Hearn

CBA 350-01 Business Communication
TT 09:15-10:45
Spring 2014

The Origin of Bitcoin 1
The Bitcoin Process 2
Transactions 2
Mining 3
Nakamoto’s Currency Limitations 4
Digital Wallets 5
Obtaining Bitcoin 6
Transaction Processing 7
Problematic Issues 7-10
APPENDIX A: References Copies 14
APPENDIX B: PowerPoint Slides 15
APPENDIX C: PowerPoint Note Pages 16
APPENDIX D: PowerPoint Handouts 17

Figure 1: Mining Pools – Hash Rate Distribution as of March 8, 2014
Figure 2: Bitcoin Closing Prices on Bitstamp 11/24/13 – 3/15/14


EXECUTIVE SUMMARY The concept of a global, cyber currency is in its infancy. Recent start-ups LiteCoin and Dogecoin are examples. There is only one, Bitcoin , which seems to be gaining momentum as a new currency. Anonymous hacker named “Satoshi Nakamoto” proposed the cyber-currency in his November 2008 paper “ Bitcoin – A peer-to-peer Electronic Cash System.” Nakamoto’s motive was to eliminate the problems associated with fiat currency. He created and recorded the first “genesis” block of 50 Bitcoins, establishing the first transactions of the cyber currency. Bitcoin was created through the utilization of the digital transaction process. There are several consecutive steps in Bitcoin’s development. This paper will explain the origins of Bitcoin, its creation and transaction processes, and explore the idea that Bitcoin may become the currency of the future.

Global publicity has recently sparked interest in an innovative new cyber currency called Bitcoin. What is “Bitcoin”? How does it work? How will it affect domestic currency? Is Bitcoin a good option for banking? The truth is individuals who do not have a good understanding of information technology and finance might find the concept of cyber-currency hard to grasp.
The Origin of Bitcoin
Bitcoin is a new “decentralized” crypto-currency that utilizes a peer-to-peer system, open source algorithms, cryptographic techniques, and digital signatures to support its legitimacy. An anonymous hacker pen named “Satoshi Nakamoto” was extremely frustrated with the global money crisis occurring in the late 2000’s (The Basics on Bitcoin: 11 Things to Know About This Suddenly “Hot” Digital