Awesome class, learning quite a bit so far! Will we be going over the lightening network in this course or is that a bit too advanced for this course?
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The lightning network is explained on a different course
What are peoples views on Bitcoin SV in terms of competition with Ethereum as a smartcontract platform?
Bitcoin SV is a fork of a fork… who cares what it can do. it’s not decentralized.
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So in the context of private keys could someone direct me to a step by step tutorial that’s trustworthy on how to print my private keys to put in cold storage hard copy?
[quote=“ivan, post:1, topic:8417, full:true”]
Welcome to the discussion thread about this lecture section. Here you can feel free to discuss the topic at hand and ask questions.
Great learning links to further understand how to create transactions on the BTC blockchain. Understanding how digital signature is hashed from the public key that derived from private key that was randomly generated.But to match the signature and public key it has to go through elliptic curve graph computation in order to match three points on graph to verify its validity which was interesting. The basics of how the inputs,transaction identifications, output and ScrptSig. put together to verify information on chain. Data sequence on blockchain is quite techinical stuff but good to familiarize with the alpha-neumerical string and what made up the transactions on the block. The challenge for me will be how to actually create raw transaction of bitcoin on my computer as it’s a bit too technical but will see as I progress. 
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The Blockchain and Bitcoin 101 course has been very informative, to say the least. I have been in crypto for a while but I don’t have any technical background, so the courses have shed new light on things in crypto I thought I knew well but didn’t. The lessons on functions, Hash Functions and Public and Private key make so much sense.
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Hello,
just for my uunderstanding. If I open an account on Coinbase, Kraken, Bitstamp or some other exchange and then send my fiat to buy some Bitcoin or ETH, is it know that a privat key was creating and they are ovner of the privat key. Or thet happen when i send the Bitcoin to some other wallet or exchange. We have the saying Not Your Keys, Not Your Bitcoin. And ist there any way that i can see the privat key.
Thx
Gregor
Sorry guys. Watch the video on Hosted Wallets, so my qustions were answered there.
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is my understanding right.
Exampel: i send to my wallet every month 0,01 BTC. In one year i would have 12 UTXO and the somme would be 0,12BTC. Now i would like to buy something for 0,08BTC. Now my wallet kunstrukt the transaction. Does the wallet take now 12 of my UTXO, which would mean that i have 12 inputs what would mean that to Fee that i have to pay the Miner ist now higer that if i would only have 1 UTXO. Is my thinging here not correct?
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No, your wallet will not take all your utxo’s. In this scenario, your wallet would take 9 utxo’s of 0.01 to cover a payment of 0.08 (the 9th one is to cover some fee) let’s say the transaction fee is 0.0001
(so You have 12 utxo’s of 0.01)
To pay 0.08 btc.
INPUT: (9 utxo’s of 0.01)
0.01 0.01 0.01 0.01 0.01 0.01 0.01 0.01 0.01
OUTPUT:
0.08 (payment address receiver will own 1 utxo of 0.08)
0.0099 (new utxo’s on a new addres you own)
// input - output = 0.0001 = fee for the miner
after the payment you will have.
these remaining utxo’s:
0.01
0.01
0.01
0.0099
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Tnx for the fast reply.
Question. When I am sending transaction, my device creates a message with a digital signature from my private key? Is digital signature a hash made out of private key and the message?
Another question. I have found that transactions in the beginning didn’t have fees. Let me know if it’s true? Could a transaction has no fees and still be confirmed on the block?
Your input must be higher than your output. If your fee is too low, no miner will add your transaction in a block
If you want a detailed explanation, Watch this:
Bitcoin Digital Signatures
So you basically hash a message and use your signing key (which is derived from your private key) to create a signature. You can proof it’s signed by a particular private key without revealing it.
Watch Andreas going crazy about bitcoin script and keys and signatures https://youtu.be/dm-bgXOuJWA
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Thank you Fabrice for the explanation.
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Question about Bitcoin address. Is it a hash function? How it is created?
Yes, Some kind of double hash of a public key with a prefix and checksum.
How to create Bitcoin Address
The correct way to create a Bitcoin address is to use well tested, open source, peer reviewed wallet software. Manually handling keys has resulted in funds loss over and over again. Unlike other centralized systems losses in Bitcoin are usually unrecoverable.
Here is a brief overview of how address generation works, for informational purposes:
0 - Having a private ECDSA key
18e14a7b6a307f426a94f8114701e7c8e774e7f9a47e2c2035db29a206321725
1 - Take the corresponding public key generated with it (33 bytes, 1 byte 0x02 (y-coord is even), and 32 bytes corresponding to X coordinate)
0250863ad64a87ae8a2fe83c1af1a8403cb53f53e486d8511dad8a04887e5b2352
2 - Perform SHA-256 hashing on the public key
0b7c28c9b7290c98d7438e70b3d3f7c848fbd7d1dc194ff83f4f7cc9b1378e98
3 - Perform RIPEMD-160 hashing on the result of SHA-256
f54a5851e9372b87810a8e60cdd2e7cfd80b6e31
4 - Add version byte in front of RIPEMD-160 hash (0x00 for Main Network)
00f54a5851e9372b87810a8e60cdd2e7cfd80b6e31
(note that below steps are the Base58Check encoding, which has multiple library options available implementing it)
5 - Perform SHA-256 hash on the extended RIPEMD-160 result
ad3c854da227c7e99c4abfad4ea41d71311160df2e415e713318c70d67c6b41c
6 - Perform SHA-256 hash on the result of the previous SHA-256 hash
c7f18fe8fcbed6396741e58ad259b5cb16b7fd7f041904147ba1dcffabf747fd
7 - Take the first 4 bytes of the second SHA-256 hash. This is the address checksum
c7f18fe8
8 - Add the 4 checksum bytes from stage 7 at the end of extended RIPEMD-160 hash from stage 4. This is the 25-byte binary Bitcoin Address.
00f54a5851e9372b87810a8e60cdd2e7cfd80b6e31c7f18fe8
9 - Convert the result from a byte string into a base58 string using Base58Check encoding. This is the most commonly used Bitcoin Address format
1PMycacnJaSqwwJqjawXBErnLsZ7RkXUAs
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Does sending Bitcoin through email have the same blockchain functions as sending it from a wallet? If not, how are they different and allowed to happen?