Bitcoin Wiki - User contributions [en]

User talk:Midnightmagic

2015-03-01T04:24:37Z

Gladoscc: Created page with "Hello, thank you for your message on my talk page. Upon reflection I wholeheartedly agree, I acted improperly, and let groupthink / personal attitudes get the better of me. Th..."

Hello, thank you for your message on my talk page. Upon reflection I wholeheartedly agree, I acted improperly, and let groupthink / personal attitudes get the better of me. This won't happen again. Best, [[User:Gladoscc|Gladoscc]] ([[User talk:Gladoscc|talk]]) 04:24, 1 March 2015 (UTC)

Talk:Paper Wallet (Single Key)

2015-02-27T12:46:02Z

Gladoscc: /* Why rename Paper Wallets to "Paper ECDSA private keys"? */

== Running paper wallets off of live websites ==

Let's never recommend this to users. It is ALWAYS a bad idea to run HTML/JS off of a live website. It does not matter whether you disconnect from the Internet after loading up the HTML -- the code you have loaded may already have been tampered with. At the moment, virtually all HTML/JS based wallet generators allow downloading from github with easy checksumming, so let's always recommend downloading the ZIP file and running entirely offline after verifying signatures.

[[User:Canton|Canton]] ([[User talk:Canton|talk]]) 22:51, 20 January 2014 (GMT)

== Self Promotion ==

As bitcoinpaperwallet.com guy, I admit to it! :) But I also think there should be some good guidelines considering the most recent edits to this page:

1) When listing services, let's alphabetize them, or put them in chronological order (oldest and most venerable to newest). Bitaddress.org shouldn't get pushed to the end of the list just because pointbiz doesn't actively monitor this page.

2) When discussing general topics (like entropy) it's inappropriate to link out to a particular websites. The only time you should link to an external website is from the references section, or when the link clearly indicates you're going to be sent to an external website.

[[User:Canton|Canton]] ([[User talk:Canton|talk]]) 22:51, 20 January 2014 (GMT)

== Paper wallets a bad idea - why? ==

Recently the article was changed to add a 'why' tag to the idea that 'storing Bitcoin' on a paper wallet is a generally perceived to be a bad idea. I have to agree with that tag. I actually find the opposite when reading about the best way to store one's private keys. Perhaps it should be expanded instead to a Pros / Cons section? The 'Printer Security' section would then be merged into the Cons section. [[User:TheRealSteve|TheRealSteve]] ([[User talk:TheRealSteve|talk]]) 14:26, 10 February 2015 (UTC)
:I don't know why this is so discouraged either. If anything, I think this page should be shortened and merged into the [[paper wallet]] page under a new section to prevent confusion. New users may not know what an ECDSA private key is, even if they have theirs on paper. [[User:Taras|Taras]] ([[User talk:Taras|talk]]) 14:31, 10 February 2015 (UTC)
::I added that tag, because I think it's poor form (in general) to say: "This is a bad thing to do" and not offer any explanation. People who have the knowlegde to say that, also should be able to explain it.

::Judging from the history the two were separated to differentiate between HD paper wallets (although I would call those "Paper backups" and Single key "paper wallets". One reason given is that a single key on a paper is not a wallet. I think it's debatable if a HD seed printed on paper makes that paper a wallet. For proper wallet functionality you'll need some way to sign and send a tx, so anything "paper" is not a proper wallet, IMHO. But of course nobody thinks of a wallet that can sign txs etc., if they say "paper wallet" to begin with.

::I support merging this with paper wallet and also a pro/con section. [[User:Newar|Newar]] ([[User talk:Newar|talk]]) 15:04, 10 February 2015 (UTC)

:::I support merging and having a pro/con section as well. I think this page should be renamed back to "Paper Wallet". It's fine to have a section on other forms of paper backups (e.g. HD mnemonic paper backups) but I don't like at all how HD mnemonic paper backups are now the default destination for "Paper Wallet" since this will certainly confuse anyone who has read about paper wallets in books, articles, forums, etc.
:::[[User:Canton|Canton]] ([[User talk:Canton|talk]]) 22:05, 26 February 2015 (UTC)Canton

== Paper wallets vs cold storage ==

The term 'paper wallets' also seems to be used at times for objects made out of metal, plastic, etc. To avoid that mixup further, should the article instead be renamed 'Cold storage' or even 'Storage methods', listing the various methods (be that an offline computer which doesn't need more than 1 paragraph, or literal paper wallets, physical coins (e.g. Casascius), insert-your-method-here? [[User:TheRealSteve|TheRealSteve]] ([[User talk:TheRealSteve|talk]]) 14:29, 10 February 2015 (UTC)
:I think since "Paper wallet" is such an ubiquitous and well known term, it should have its own page. An overview over different "Cold storage methods" would then link to that page. Or make a category "Cold storage methods" and have a page for each, but most can be summarised in a single paragraph, so I'd lean to the overview solution. [[User:Newar|Newar]] ([[User talk:Newar|talk]]) 15:09, 10 February 2015 (UTC)

== Why rename Paper Wallets to "Paper ECDSA private keys"? ==

Why has "Paper Wallet" -- a well understood term in the bitcoin community -- been renamed to "Paper ECDSA private keys"?

It seems to me that if someone is searching for information about paper wallets, they should get information about those things everyone calls paper wallets.

While paper wallet may be a misnomer (they're not always made of paper, and they're not wallets in the truest sense) it's the commonly understood term for what you get when you carry around a ECDSA private key on a non-digital artifact (paper, wood, metal, etc.)

Renaming this page to "Paper ECDSA private keys" would be like going to wikipedia and renaming the entry for "Koala Bear" to "Koala Marsupial" since it's not truly a bear.

[[User:Canton|Canton]] ([[User talk:Canton|talk]]) 22:01, 26 February 2015 (UTC)Canton
:I fully support reverting back to the term "Paper Wallet". I think the change to "Paper ECDSA private keys" is so ridiculously unsupported that it should be considered vandalism.
:[[User:Chinawat|Chinawat]] ([[User talk:Chinawat|talk]]) 12:40, 27 February 2015 (UTC)
::Reverted Luke-Jr's moves. No consensus for such a change. [[User:Gladoscc|Gladoscc]] ([[User talk:Gladoscc|talk]]) 12:46, 27 February 2015 (UTC)

== Is there a good reason to omit bitcoinpaperwallet.com from this page? ==

LukeJr has repeatedly removed the link to [[BitcoinPaperWallet]] with the explanation "BitcoinPaperWallet was removed because it is a website for generating private keys".

By that logic, every single service for generating paper wallets (e.g. bitaddress.org) should be removed.

I'm not clear as to what the intent here is, and I'm not eager to get into a revision battle. Can someone explain why BitcoinPaperWallet shouldn't be linked?

[[User:Canton|Canton]] ([[User talk:Canton|talk]]) 22:12, 26 February 2015 (UTC)Canton

Talk:Paper ECDSA private keys

2015-02-27T12:41:39Z

Gladoscc: Gladoscc moved page Talk:Paper ECDSA private keys to Talk:Paper wallets: Moving to "paper wallet" because this page describes what is commonly known as a paper wallet

#REDIRECT [[Talk:Paper wallets]]

Talk:Paper Wallet (Single Key)

2015-02-27T12:41:39Z

Gladoscc: Gladoscc moved page Talk:Paper ECDSA private keys to Talk:Paper wallets: Moving to "paper wallet" because this page describes what is commonly known as a paper wallet

== Running paper wallets off of live websites ==

Let's never recommend this to users. It is ALWAYS a bad idea to run HTML/JS off of a live website. It does not matter whether you disconnect from the Internet after loading up the HTML -- the code you have loaded may already have been tampered with. At the moment, virtually all HTML/JS based wallet generators allow downloading from github with easy checksumming, so let's always recommend downloading the ZIP file and running entirely offline after verifying signatures.

[[User:Canton|Canton]] ([[User talk:Canton|talk]]) 22:51, 20 January 2014 (GMT)

== Self Promotion ==

As bitcoinpaperwallet.com guy, I admit to it! :) But I also think there should be some good guidelines considering the most recent edits to this page:

1) When listing services, let's alphabetize them, or put them in chronological order (oldest and most venerable to newest). Bitaddress.org shouldn't get pushed to the end of the list just because pointbiz doesn't actively monitor this page.

2) When discussing general topics (like entropy) it's inappropriate to link out to a particular websites. The only time you should link to an external website is from the references section, or when the link clearly indicates you're going to be sent to an external website.

[[User:Canton|Canton]] ([[User talk:Canton|talk]]) 22:51, 20 January 2014 (GMT)

== Paper wallets a bad idea - why? ==

Recently the article was changed to add a 'why' tag to the idea that 'storing Bitcoin' on a paper wallet is a generally perceived to be a bad idea. I have to agree with that tag. I actually find the opposite when reading about the best way to store one's private keys. Perhaps it should be expanded instead to a Pros / Cons section? The 'Printer Security' section would then be merged into the Cons section. [[User:TheRealSteve|TheRealSteve]] ([[User talk:TheRealSteve|talk]]) 14:26, 10 February 2015 (UTC)
:I don't know why this is so discouraged either. If anything, I think this page should be shortened and merged into the [[paper wallet]] page under a new section to prevent confusion. New users may not know what an ECDSA private key is, even if they have theirs on paper. [[User:Taras|Taras]] ([[User talk:Taras|talk]]) 14:31, 10 February 2015 (UTC)
::I added that tag, because I think it's poor form (in general) to say: "This is a bad thing to do" and not offer any explanation. People who have the knowlegde to say that, also should be able to explain it.

::Judging from the history the two were separated to differentiate between HD paper wallets (although I would call those "Paper backups" and Single key "paper wallets". One reason given is that a single key on a paper is not a wallet. I think it's debatable if a HD seed printed on paper makes that paper a wallet. For proper wallet functionality you'll need some way to sign and send a tx, so anything "paper" is not a proper wallet, IMHO. But of course nobody thinks of a wallet that can sign txs etc., if they say "paper wallet" to begin with.

::I support merging this with paper wallet and also a pro/con section. [[User:Newar|Newar]] ([[User talk:Newar|talk]]) 15:04, 10 February 2015 (UTC)

:::I support merging and having a pro/con section as well. I think this page should be renamed back to "Paper Wallet". It's fine to have a section on other forms of paper backups (e.g. HD mnemonic paper backups) but I don't like at all how HD mnemonic paper backups are now the default destination for "Paper Wallet" since this will certainly confuse anyone who has read about paper wallets in books, articles, forums, etc.
:::[[User:Canton|Canton]] ([[User talk:Canton|talk]]) 22:05, 26 February 2015 (UTC)Canton

== Paper wallets vs cold storage ==

The term 'paper wallets' also seems to be used at times for objects made out of metal, plastic, etc. To avoid that mixup further, should the article instead be renamed 'Cold storage' or even 'Storage methods', listing the various methods (be that an offline computer which doesn't need more than 1 paragraph, or literal paper wallets, physical coins (e.g. Casascius), insert-your-method-here? [[User:TheRealSteve|TheRealSteve]] ([[User talk:TheRealSteve|talk]]) 14:29, 10 February 2015 (UTC)
:I think since "Paper wallet" is such an ubiquitous and well known term, it should have its own page. An overview over different "Cold storage methods" would then link to that page. Or make a category "Cold storage methods" and have a page for each, but most can be summarised in a single paragraph, so I'd lean to the overview solution. [[User:Newar|Newar]] ([[User talk:Newar|talk]]) 15:09, 10 February 2015 (UTC)

== Why rename Paper Wallets to "Paper ECDSA private keys"? ==

Why has "Paper Wallet" -- a well understood term in the bitcoin community -- been renamed to "Paper ECDSA private keys"?

It seems to me that if someone is searching for information about paper wallets, they should get information about those things everyone calls paper wallets.

While paper wallet may be a misnomer (they're not always made of paper, and they're not wallets in the truest sense) it's the commonly understood term for what you get when you carry around a ECDSA private key on a non-digital artifact (paper, wood, metal, etc.)

Renaming this page to "Paper ECDSA private keys" would be like going to wikipedia and renaming the entry for "Koala Bear" to "Koala Marsupial" since it's not truly a bear.

[[User:Canton|Canton]] ([[User talk:Canton|talk]]) 22:01, 26 February 2015 (UTC)Canton
:I fully support reverting back to the term "Paper Wallet". I think the change to "Paper ECDSA private keys" is so ridiculously unsupported that it should be considered vandalism.
:[[User:Chinawat|Chinawat]] ([[User talk:Chinawat|talk]]) 12:40, 27 February 2015 (UTC)

== Is there a good reason to omit bitcoinpaperwallet.com from this page? ==

LukeJr has repeatedly removed the link to [[BitcoinPaperWallet]] with the explanation "BitcoinPaperWallet was removed because it is a website for generating private keys".

By that logic, every single service for generating paper wallets (e.g. bitaddress.org) should be removed.

I'm not clear as to what the intent here is, and I'm not eager to get into a revision battle. Can someone explain why BitcoinPaperWallet shouldn't be linked?

[[User:Canton|Canton]] ([[User talk:Canton|talk]]) 22:12, 26 February 2015 (UTC)Canton

Paper ECDSA private keys

2015-02-27T12:41:39Z

Gladoscc: Gladoscc moved page Paper ECDSA private keys to Paper wallets: Moving to "paper wallet" because this page describes what is commonly known as a paper wallet

#REDIRECT [[Paper wallets]]

Paper wallet

2015-02-27T12:41:39Z

Gladoscc: Gladoscc moved page Paper ECDSA private keys to Paper wallets: Moving to "paper wallet" because this page describes what is commonly known as a paper wallet

[[File:FirstBitcoinBills.jpg|thumb|right|200px|Casascius holding early paper wallets]]
A paper wallet is a mechanism for storing bitcoins offline as a physical document that can be secured like cash or anything else of real-world value.
They are generally created by printing a brand new public address and private key onto paper, and then sending bitcoins from a wallet to the printed key's public address for safekeeping.

__TOC__

==Producing safe paper wallets==

[[File:BitcoinPaperWallet-sample.jpg|thumb|right|300px|Paper keypair with private key secured beneath folds]]
[[File:PaperWallets-offlineaddress-com.png|200px|thumb|right|Paper keypair]]
The [[ECDSA]] [[private key]] can be represented in several formats, but typically the Wallet Import Format (WIF) is used, since keys represented that way are very short (51 characters) and thus easy to re-enter when importing or "sweeping" it for withdrawal.

Several tools exist for producing paper keypairs, including [[Bitcoin Address Utility]], [[BitcoinPaperWallet]], [[vanitygen]], and [[Cwallet]].

Care must be taken to securely generate keys since an attacker can steal stored bitcoins if it is exposed, transmitted, or generated with insufficient entropy.

Some websites feature a free open-source client-side paper keypair generators written in JavaScript.
Using these is generally considered a bad idea and inherently insecure.

'''Recommendations:'''
* Keys should be produced on a computer not connected to the Internet.
* Be aware that malware often allows a remote third party to view your screen and see your keystrokes, and these can compromise the integrity of your key. Also consider that antivirus software cannot completely rule out the possibility of malware. However, booting from a [https://en.wikipedia.org/wiki/Live_CD live disc] prevents most malware from running.
* The private keys should never be saved to a computer hard drive. You should also never scan your key into your computer or type them or save them in e-mail, except at the moment you are redeeming it.
* If possible, the private key should be kept hidden, for example by using BIP38 encryption, or by folding the paper to hide the private key so that a photograph or photocopy of it will not reveal or replicate the private key.
* A web-based generator should not be used.
* A generator should use an appropriate source of random numbers (entropy). This means that the generated keys aren't predictable. If the addresses come from a predictable or partially-predictable patterns like pseudorandom numbers <ref>[https://en.wikipedia.org/wiki/Pseudorandomness#Cryptography Pseudorandomness] '' is not enough for strong cryptography''</ref>, someone else who can predict the pattern can steal the balance. Ideally, randomness should NOT be human generated.
* Remember that unlike wallets, a single paper wallet is only good to receive a single payment, and must be redeemed in its entirety.

===Printer Security===

Some advanced printers have internal storage (even hard drives) that preserve copies of printouts. This is a risk if someone gets access to your printer, or if you dispose of your printer. There is also the possibility that a smart enough printer can be hacked. (Consider [http://en.wikipedia.org/wiki/Stuxnet StuxNet] which was able to rewrite the firmware of non-computer devices indirectly connected to the Internet) If this concerns you, use a "dumb" printer, and never let your printer have access to the Internet or to an Internet-connected computer.

==Redeeming Keys and Withdrawing Funds==

Paper wallets are very different from wallets such as Bitcoin Core in that it is not possible to transfer (withdraw) a ''portion'' of a key's bitcoins.
The only way to withdraw funds is to import or "sweep" the ''entire'' received amount to a new address, typically a wallet or online exchange.
Once the transfer has been confirmed, ''the key should not be reused''.<ref>[http://www.reddit.com/r/Bitcoin/comments/1c9xr7/psa_using_paper_wallets_understanding_change/ reddit.com] ''Using Paper Wallets and Understanding Change''</ref>

There are various methods for copying the private key data to other wallets.
* bitcoind supports an "importprivkey" RPC method for this purpose.
* Bitcoin-Qt's debug console can also be used in a similar way (see also [[how to import private keys v7+]]).
* [[BlockChain.info]] and [[Armory]] can also import them directly into wallets.

Note that importing a private key that may be compromised can result in the entire wallet being insecure.
For this reason, sweeping is generally recommended over importing.

==References==
<references />

==See Also==

* [[Private key]]

* [[Securing_your_wallet#Paper_Wallets]]

* [[How to import private keys]]

* [https://blockchain.info/wallet/paper-tutorial Blockchain.info tutorial] on how to generate a paper wallet.

* [[Casascius physical bitcoins]]

[[Category:Security]]

[[es:Monedero de papel]]

Paper wallet

2015-02-27T12:41:02Z

Gladoscc: Undo revision 54634 by Luke-jr (talk) No consensus.

Hierarchical Deterministic Wallet Backups

2015-02-27T12:40:25Z

Gladoscc: Gladoscc moved page Paper wallet to Hierarchical Deterministic Wallet Backups over redirect: Wallet backups are not paper wallets.

'''Paper wallets''' are wallets that are contained entirely on paper.
This is preferably in the form of a mnemonic [[Deterministic wallet | HD wallet]] seed.
They are generally used with the goal of storing bitcoins offline in non-digital format to prevent unauthorized access.
Using securely generated paper wallets properly will nullify the chances of your bitcoins being stolen by hackers or computer viruses.

They should not be confused with [[paper ECDSA private keys]], which are a bad practice.{{why}}

== Basics ==

The private seed is used to prove your right to spend the bitcoins transferred to the paper wallet, and as such should be kept hidden and secret.
If the private seed on a paper wallet is exposed (for example in a photograph) then the wallet may be used by anyone who sees it.
To guard against accidental revelation, the private key displayed on the paper wallet may be encrypted or split into several different parts (for example using [https://en.wikipedia.org/wiki/Shamir%27s_Secret_Sharing Shamir's secret sharing scheme]).
At the very least, the private key should be well hidden e.g. by folding the wallet in half and sealing it shut.

You can use the public seed to generate as many addresses as you need to receive bitcoins, and they will be inaccessible until the private seed is loaded.

== Software for using paper wallets ==

Currently, at least [[Armory]] and [[Electrum]] support generating mnemonic codes for their wallets, which can be written down or printed to make a paper wallet.

== Tips for making paper wallets ==

For the most security, it is advisable to generate your wallet from a [https://en.wikipedia.org/wiki/Live_CD live disc], to ensure that the private seed is not compromised by spyware.
To generate a safer paper wallet in this way, first "clean-boot" your computer with a bootable CD (such as a Linux Live CD) while disconnected from the Internet.
Download a verified version of your preferred wallet software or generator software, and disconnect the computer from the internet.
Print your paper wallets or store them on external media (do not save them on the computer), and then shut down the computer.
You may need to load an appropriate printer driver in order to print while booted from the live CD.

* Disconnecting from the Internet guarantees that that the paper wallet generator is truly self-contained and isn't transmitting your keys online.

* Verifying the integrity of the code (and the trustworthiness of the author) is important to make sure a hacker hasn't modified the download so that it generates predictable seeds instead of truly random ones.

* Using a very basic printer is advisable since high-end office printers may have WiFi or internal storage that keeps a cache of printed documents.

* Remember, spyware and viruses often attempt to monitor your computer activities so that their authors can steal from you. They are interested in passwords to online accounts, and anything of value. Bitcoin wallets are something of value that have already been targeted by malware. If your computer is infected with spyware or viruses - even if there are no symptoms, or your antivirus isn't reporting anything - then anything you type, view, or save on your computer, could potentially be stolen by someone remotely controlling your computer. Your private seed can then be intercepted while you enter it, so only enter a Bitcoin private seed into your computer when you are certain it is secure (such as a fresh boot of a LiveCD).

BIPS

2014-09-23T14:54:16Z

Gladoscc: Removed uncited claim

BIPS is Payment Service Provider (PSP) specializing in the technical aspects of accepting cryptocurrencies - such as bitcoin.

==Bitcoin Payment Solutions==

Providing services for merchants in 204 countries

==Merchant Tools==
For merchants using an eCommerce platform, choose between a wide range of [https://bips.me/plugins bitcoin plugins]. For merchants without an eCommerce solution, BIPS offers Hosted Invoices. Hosted Invoices can be used for both catalog of items and shopping cart with buttons and widgets per item. Also [https://bips.me/merchants#hosted-invoices Hosted Invoices] supports recurring billing in bitcoin, by emailing invoice link or using BIP70 Payment Requests. <ref name="BIP70 Payment Requests" />

===Point of Sale===
BIPS can deliver near field communication (NFC) to "make secure payments fast and convenient by simply tapping the phone on any BIPS-enabled point of sale at checkout. And the possibility of sending payment information via sound based on Chirp.

BIPS POS NFC can be used with the following devices:

Phones

HTC One on Sprint
HTC One SV on Boost Mobile
HTC EVO 4G LTE on Sprint
LG Viper 4G LTE on Sprint
LG Viper 4G LTE on Zact Mobile
LG Optimus Elite on Sprint
LG Optimus Elite on Virgin Mobile
LG Optimus Elite on Zact Mobile
LG Nexus 4*
LG Nexus 5*
Motorola Moto X*
Samsung Galaxy Note II on Sprint
Samsung Galaxy Note II on US Cellular
Samsung Galaxy SIII on Sprint
Samsung Galaxy SIII on MetroPCS
Samsung Galaxy SIII on US Cellular
Samsung Galaxy SIII on Virgin Mobile
Samsung Galaxy SIII on Boost Mobile
Samsung Galaxy S4 on Sprint (model number must be SPH-L720)
Samsung Galaxy S4 on US Cellular
Samsung Galaxy S4 Google Play Edition*
Samsung Nexus S 4G on Sprint
Samsung Galaxy Nexus on Sprint
Samsung Galaxy Nexus*
Samsung Galaxy Victory 4G LTE on Sprint
Samsung Galaxy Victory 4G LTE on Virgin Mobile
Samsung Galaxy Axiom on US Cellular

Tablets

Asus Nexus 7
Samsung Nexus 10

===Business model===

BIPS doesn't charge merchants for accepting Bitcoin online or with point of sale as payment for merchandise, but run a 0% Payment Processing Fees <ref name="Zero Payment Processing Fees" />, and plans to make money by the conversion spread.

===Settlement===

Exchanged bitcoins are sent to your bank account in 1-5 business days. With the possibility of setting a % to be transferred, or simply keep bitcoin.

Sell for $100, see $100 deposited into your bank*

==Consumer Side==

===Buy Bitcoins===

[https://bipsmarket.com Buy Bitcoins] from any country in the world.

===Sell Bitcoins===

Receive payouts to bank in any currency to any countries.

==History==

With experience in Bitcoin since 2010, BIPS was founded in July 2011

==See Also==
* [[Bitcoin Ladder]]

==External Links==
* [[File:BIPS.gif|20px|link=https://bips.me]] [https://bips.me BIPS] website
* [[File:BIPS.gif|20px|link=https://bips.me/api]] [https://bips.me/api REST API]
* [[File:BIPS.gif|20px|link=https://bips.me/connect/Quickstart.pdf]] [https://bips.me/connect/Quickstart.pdf Quickstart]
* [[File:BIPS.gif|20px|link=https://bips.me/plugins]] [https://bips.me/plugins eCommerce Plugins]

==References==
<references>
<ref name="BIP70_Payment_Requests">[https://bips.me/merchants#hosted-invoices Hosted Invoices]</ref>
<ref name="Zero_Payment_Processing_Fees">[https://bips.me/merchants 0% Payment Processing Fees]</ref>
</references>

[[Category:Clients‏‎]]
[[Category:ECommerce‏‎]]
[[Category:EWallets‏‎]]
[[Category:Economics‏‎]]
[[Category:Exchanges‏‎]]
[[Category:Financial‏‎]]
[[Category:Shopping Cart Interfaces]]
[[Category:Payment Processors]]
[[Category:Bitcoin payment systems]]

Inputs.io

2014-09-23T14:49:19Z

Gladoscc: typo

Inputs.io was hacked on November 7th, 2013 and the service has been discontinued.
See https://bitcointalk.org/index.php?topic=248803.580

The article is kept only as historic documentation.

'''[https://inputs.io Inputs.io]''' was a free Bitcoin web wallet that leveraged its own [[Off-Chain Transactions|off chain]] payment network. Inputs implemented numerous security measures, and featured instant, fee-less offchain confirmations with an easy to implement developer API.

Inputs.io is no longer operational as November 7th, 2013. 4100 BTC was stolen from Inputs due to a compromise of the server hosting account.

Inputs.io processed more than 235,000 BTC during it's operation.

Inputs.io was supported by the following sites, along with dozens of faucets.

* Just-dice.com
* BitsPoker.com
* CoinLenders.com
* Coinchat.org
* DailyBitcoins.org
* Peerbet.org
* BitAds.net

Inputs.io was a [[Bitcoin Foundation]] Silver industry member.

[[Category:EWallets]]
[[Category:Clients]]
[[Category:Frontends]]

Inputs.io

2014-09-23T14:49:00Z

Gladoscc:

Inputs.io was hacked on November 7th, 2013 and the service has been discontinued.
See https://bitcointalk.org/index.php?topic=248803.580

The article is kept only as historic documentation.

'''[https://inputs.io Inputs.io]''' was a free Bitcoin web wallet that leveraged its own [[Off-Chain Transactions|off chain]] payment network. Inputs implemented numerous security measures, and featured instant, fee-less offchain confirmations with an easy to implement developer API.

Inputs.io is no longer operational as November 7th, 2013. 4100 BTC was stolen from Inputs due to a compromise of the server hosting account.

Inputs.io processed more than 235,000 BTC during it's operation.

Inputs.io was supported by the following sites, along with dozens of faucets.

* Just-dice.com
* BitsPoker.com
* CoinLenders.com
* Coinchat.org
* DailyBitcoins.org
* Peerbet.org
* BitAds.net

Inputs.io was a [[Bitcoin Foundation]] Silver indusry member.

[[Category:EWallets]]
[[Category:Clients]]
[[Category:Frontends]]

Forums

2013-08-22T08:43:44Z

Gladoscc: /* General Bitcoin Discussion */

== General Bitcoin Discussion ==

* [http://www.bitcointalk.org BitcoinTalk Forum]
* [http://www.bitcointalk.co.uk Bitcoin Forum UK]
* [http://www.bitcoin-board.com Bitcoin-Board]
* [http://btcstocktrader.com/ Bitcoin Stock Trader]
* [http://www.reddit.com/r/bitcoin Bitcoin subreddit]
* [http://www.bitcointrading.com/forum/index.php Bitcoin Trading Forum]
* [http://tweetforum.com/?board=51.0 Bitcoin Tweet Forum @Bitcoin]
* [http://coinboards.org CoinBoards]
* [https://coinchat.org CoinChat - bitcoin integrated chat network with free BTC, gambling games, custom rooms, SSL encryption]
* [http://www.rugatu.com Rugatu Q&A Community]
* [http://www.facebook.com/pages/Bitcoin/133067610063481 Facebook - Bitcoin]
* [http://www.facebook.com/btchkex Facebook - Bitcoin Hong Kong]
* [http://www.facebook.com/bitcoins Facebook - Bitcoin P2P Cryptocurrency]
* [http://groups.google.com/group/bitcoin-discussion Google groups - bitcoin-discussion]
* [http://groups.google.com/group/bitcoinpeople Google groups - Bitcoin People]
* [https://support.mtgox.com/forums MtGox Support]
* [http://steamcommunity.com/groups/bitcoin Steam - Bitcoin]
* [http://www.talkgold.com/forum/f513-.html Talkgold - Bitcoin Forum]
* [http://www.ugbit.com/forums/forum.php UgBit - Bitcoin Trading & Mining Forum]

== Regular shows and podcasts ==
* [http://letstalkbitcoin.com Let's talk bitcoin - Adam B. Levine's podcast]
** [http://www.reddit.com/r/letstalkbitcoin/ Let's talk bitcoin subreddit]
* [http://www.jupiterbroadcasting.com/show/planb Plan B - Juniper Broadcasting weekly bitcoin show]
** [http://www.youtube.com/user/jupiterbroadcasting/ Juniper Broadcasting youtube channel]
** [http://www.reddit.com/r/planbshow/ Plan B show subreddit]
* [http://www.thebitcoinchannel.com Bitcoin Channel - Bitcoin report and other videos/webcasts]
** [https://www.youtube.com/user/BitcoinChannel Bitcoin Channel on youtube]

== Language/Region Specific ==

* [http://www.bitcoins.co.ke Nairobi, Kenya and Africa Bitcoin community forum]
* [http://forum.bitcoin.com.au Australian Bitcoin forum]
* [https://www.coinforum.ca Canada's Bitcoin forum]
* [http://www.bitecoin.com/bbs/ Chinese Bitcoin forum]
* [http://nordcoin.org/ Danish Bitcoin forum]
* [http://www.bitcointalk.biz Farsi / Persian community]
* [https://www.bitcoin-italia.org Italian Bitcoin community forum]
* [http://www.facebook.com/pages/Bitcoin-New-Zealand/189769464405632 New Zealand Facebook community]
* [http://bitcoin.pl/forum/ Polish Bitcoin community forum]
* [https://forum.btcsec.com/ BTCsec.com Bitcoin community forum (Russian)]
* [http://rubitcoin.com Russian Bitcoin community forum]
* [http://bitcoin.rs Serbian Bitcoin community forum]
* [https://bitcoin.org.uk/forums/ United Kingdom Bitcoin forum]
* [http://blog.bitcoin-portugal.com/ Portugal Bitcoin Blog]
* [http://www.bitcoin.si/ Slovenian bitcoin community]
* [http://www.bitcoin-tr.com/ Turkish Bitcoin community]

== Other ==

* [http://forum.mtgoxlive.com/ MtGox Live Traders Forum]
* [http://bitcoin.stackexchange.com Bitcoin StackExchange] - Q&A site, currently in public beta
* [http://sourceforge.net/mailarchive/forum.php?forum_name=bitcoin-development Developer mailing list]

[[pl:Fora dyskusyjne]]

Forums

2013-08-22T08:43:19Z

Gladoscc: /* Other */

== General Bitcoin Discussion ==

* [http://www.bitcointalk.org BitcoinTalk Forum]
* [http://www.bitcointalk.co.uk Bitcoin Forum UK]
* [http://www.bitcoin-board.com Bitcoin-Board]
* [http://btcstocktrader.com/ Bitcoin Stock Trader]
* [http://www.reddit.com/r/bitcoin Bitcoin subreddit]
* [http://www.bitcointrading.com/forum/index.php Bitcoin Trading Forum]
* [http://tweetforum.com/?board=51.0 Bitcoin Tweet Forum @Bitcoin]
* [http://coinboards.org CoinBoards]
* [http://www.rugatu.com Rugatu Q&A Community]
* [http://www.facebook.com/pages/Bitcoin/133067610063481 Facebook - Bitcoin]
* [http://www.facebook.com/btchkex Facebook - Bitcoin Hong Kong]
* [http://www.facebook.com/bitcoins Facebook - Bitcoin P2P Cryptocurrency]
* [http://groups.google.com/group/bitcoin-discussion Google groups - bitcoin-discussion]
* [http://groups.google.com/group/bitcoinpeople Google groups - Bitcoin People]
* [https://support.mtgox.com/forums MtGox Support]
* [http://steamcommunity.com/groups/bitcoin Steam - Bitcoin]
* [http://www.talkgold.com/forum/f513-.html Talkgold - Bitcoin Forum]
* [http://www.ugbit.com/forums/forum.php UgBit - Bitcoin Trading & Mining Forum]

== Regular shows and podcasts ==
* [http://letstalkbitcoin.com Let's talk bitcoin - Adam B. Levine's podcast]
** [http://www.reddit.com/r/letstalkbitcoin/ Let's talk bitcoin subreddit]
* [http://www.jupiterbroadcasting.com/show/planb Plan B - Juniper Broadcasting weekly bitcoin show]
** [http://www.youtube.com/user/jupiterbroadcasting/ Juniper Broadcasting youtube channel]
** [http://www.reddit.com/r/planbshow/ Plan B show subreddit]
* [http://www.thebitcoinchannel.com Bitcoin Channel - Bitcoin report and other videos/webcasts]
** [https://www.youtube.com/user/BitcoinChannel Bitcoin Channel on youtube]

== Language/Region Specific ==

* [http://www.bitcoins.co.ke Nairobi, Kenya and Africa Bitcoin community forum]
* [http://forum.bitcoin.com.au Australian Bitcoin forum]
* [https://www.coinforum.ca Canada's Bitcoin forum]
* [http://www.bitecoin.com/bbs/ Chinese Bitcoin forum]
* [http://nordcoin.org/ Danish Bitcoin forum]
* [http://www.bitcointalk.biz Farsi / Persian community]
* [https://www.bitcoin-italia.org Italian Bitcoin community forum]
* [http://www.facebook.com/pages/Bitcoin-New-Zealand/189769464405632 New Zealand Facebook community]
* [http://bitcoin.pl/forum/ Polish Bitcoin community forum]
* [https://forum.btcsec.com/ BTCsec.com Bitcoin community forum (Russian)]
* [http://rubitcoin.com Russian Bitcoin community forum]
* [http://bitcoin.rs Serbian Bitcoin community forum]
* [https://bitcoin.org.uk/forums/ United Kingdom Bitcoin forum]
* [http://blog.bitcoin-portugal.com/ Portugal Bitcoin Blog]
* [http://www.bitcoin.si/ Slovenian bitcoin community]
* [http://www.bitcoin-tr.com/ Turkish Bitcoin community]

== Other ==

* [http://forum.mtgoxlive.com/ MtGox Live Traders Forum]
* [http://bitcoin.stackexchange.com Bitcoin StackExchange] - Q&A site, currently in public beta
* [http://sourceforge.net/mailarchive/forum.php?forum_name=bitcoin-development Developer mailing list]

[[pl:Fora dyskusyjne]]

Forums

2013-08-22T08:42:42Z

Gladoscc: /* General Bitcoin Discussion */

== General Bitcoin Discussion ==

* [http://www.bitcointalk.org BitcoinTalk Forum]
* [http://www.bitcointalk.co.uk Bitcoin Forum UK]
* [http://www.bitcoin-board.com Bitcoin-Board]
* [http://btcstocktrader.com/ Bitcoin Stock Trader]
* [http://www.reddit.com/r/bitcoin Bitcoin subreddit]
* [http://www.bitcointrading.com/forum/index.php Bitcoin Trading Forum]
* [http://tweetforum.com/?board=51.0 Bitcoin Tweet Forum @Bitcoin]
* [http://coinboards.org CoinBoards]
* [http://www.rugatu.com Rugatu Q&A Community]
* [http://www.facebook.com/pages/Bitcoin/133067610063481 Facebook - Bitcoin]
* [http://www.facebook.com/btchkex Facebook - Bitcoin Hong Kong]
* [http://www.facebook.com/bitcoins Facebook - Bitcoin P2P Cryptocurrency]
* [http://groups.google.com/group/bitcoin-discussion Google groups - bitcoin-discussion]
* [http://groups.google.com/group/bitcoinpeople Google groups - Bitcoin People]
* [https://support.mtgox.com/forums MtGox Support]
* [http://steamcommunity.com/groups/bitcoin Steam - Bitcoin]
* [http://www.talkgold.com/forum/f513-.html Talkgold - Bitcoin Forum]
* [http://www.ugbit.com/forums/forum.php UgBit - Bitcoin Trading & Mining Forum]

== Regular shows and podcasts ==
* [http://letstalkbitcoin.com Let's talk bitcoin - Adam B. Levine's podcast]
** [http://www.reddit.com/r/letstalkbitcoin/ Let's talk bitcoin subreddit]
* [http://www.jupiterbroadcasting.com/show/planb Plan B - Juniper Broadcasting weekly bitcoin show]
** [http://www.youtube.com/user/jupiterbroadcasting/ Juniper Broadcasting youtube channel]
** [http://www.reddit.com/r/planbshow/ Plan B show subreddit]
* [http://www.thebitcoinchannel.com Bitcoin Channel - Bitcoin report and other videos/webcasts]
** [https://www.youtube.com/user/BitcoinChannel Bitcoin Channel on youtube]

== Language/Region Specific ==

* [http://www.bitcoins.co.ke Nairobi, Kenya and Africa Bitcoin community forum]
* [http://forum.bitcoin.com.au Australian Bitcoin forum]
* [https://www.coinforum.ca Canada's Bitcoin forum]
* [http://www.bitecoin.com/bbs/ Chinese Bitcoin forum]
* [http://nordcoin.org/ Danish Bitcoin forum]
* [http://www.bitcointalk.biz Farsi / Persian community]
* [https://www.bitcoin-italia.org Italian Bitcoin community forum]
* [http://www.facebook.com/pages/Bitcoin-New-Zealand/189769464405632 New Zealand Facebook community]
* [http://bitcoin.pl/forum/ Polish Bitcoin community forum]
* [https://forum.btcsec.com/ BTCsec.com Bitcoin community forum (Russian)]
* [http://rubitcoin.com Russian Bitcoin community forum]
* [http://bitcoin.rs Serbian Bitcoin community forum]
* [https://bitcoin.org.uk/forums/ United Kingdom Bitcoin forum]
* [http://blog.bitcoin-portugal.com/ Portugal Bitcoin Blog]
* [http://www.bitcoin.si/ Slovenian bitcoin community]
* [http://www.bitcoin-tr.com/ Turkish Bitcoin community]

== Other ==

* [http://forum.mtgoxlive.com/ MtGox Live Traders Forum]
* [http://bitcoin.stackexchange.com Bitcoin StackExchange] - Q&A site, currently in public beta
* [http://sourceforge.net/mailarchive/forum.php?forum_name=bitcoin-development Developer mailing list]
* [http://coinchat.org CoinChat - bitcoin integrated chat network]

[[pl:Fora dyskusyjne]]

Coinboards

2013-08-22T08:42:16Z

Gladoscc: Created page with "CoinBoards is a community around cryptocurrency like Bitcoin. CoinBoards features a Bitcoin brain wallet in Javascript, a link directory / listing to other cryptocurrency site..."

CoinBoards is a community around cryptocurrency like Bitcoin. CoinBoards features a Bitcoin brain wallet in Javascript, a link directory / listing to other cryptocurrency sites, as well as an Android app on the Google Play store with Tapatalk support for the forum.

[http://coinboards.org Visit CoinBoards]

Inputs.io

2013-08-13T09:40:32Z

Gladoscc:

'''[https://inputs.io Inputs.io]''' is a free Bitcoin eWallet that leverages it's own [[Off-Chain Transactions|off chain]] payment network. Inputs is one of the most secure web wallets on the market, with two factor authentication, location based email confirmation, client sided hashing, and a setup that prevents the hack of Bitcoins even if the web server was compromised.

Users do not need to download the blockchain to create a wallet, which makes Bitcoin easier to use. Transactions are mixed by default with no fee to provide anonymity. However, the site doesn't leverage client side cryptography and doesn't allow it's users to export their private keys. Take caution when using any web wallet service.

Inputs.io also offers an extensive API for using the off-chain payment network.

Currently, Inputs.io is supported by the following sites:

* Just-dice.com
* BitsPoker.com
* CoinLenders.com
* Coinchat.org
* DailyBitcoins.org
* Peerbet.org
* BitAds.net

Inputs.io is also a [[Bitcoin Foundation]] Silver member.

[[Category:Clients]]
[[Category:Frontends]]

Fractional Reserve Banking and Bitcoin

2013-07-10T11:50:17Z

Gladoscc:

While Fractional Reserve Banking with Bitcoin is possible and already implemented with [https://coinlenders.com CoinLenders], there is [https://bitcointalk.org/index.php?topic=51899.0 disagreement] over what it would entail. Much discussion occurred on the [[Talk:Myths#Fractional_reserve_banking_with_Bitcoin_is_fundamentally_different|Myths Talk Page]].

==Keynesian Viewpoint==
Fractional Reserve Banking with Bitcoin is possible and practical. There is no fundamental difference between classical currencies and Bitcoin as it applies to banking. Banks will still be free to take in bitcoins and present them to customers as "available for withdrawal" while still lending most of those bitcoins to a different customer for a profit. Some of those bitcoins will be held in reserves in case of a bank run. It will be up to the bank to hold a sufficient supply of reserves in order to prevent insolvency in the event of a bank run. Central banks were established to enforce reserve requirements and so, with Bitcoin lacking a central bank, some banks will almost surely collapse, taking their customers' deposits with them. MtGox could tomorrow lend out 10,000 bitcoins to an individual to start a business. The [http://www.federalreserve.gov/faqs/money_12845.htm money supply] would thus increase by 10,000 and we would instantly have Fractional Reserve Banking. The same amount of bitcoins would still exist in the [[Block Chain]], but the body of people participating in the Bitcoin economy would have the perception that more bitcoins exist. If the value of a bitcoin is stable for a long period of time, then Fractional Reserve Banking is ''inevitable''. 

See [http://en.wikipedia.org/wiki/Fractional-reserve_banking Fractional reserve banking].

The Monetary Base of Bitcoin is limited to 21 million. But because Fractional Reserve Banking is possible, the money supply of bitcoins (which includes demand deposits) can exceed 21 million by a factor of x where x is the [http://en.wikipedia.org/wiki/Money_multiplier Money Multiplier].

==Austrian Viewpoint==

According to the [http://wiki.mises.org/wiki/Fractional_reserve_banking Austrian viewpoint]:
<blockquote>Fractional-reserve banking (or FRB) is the widespread banking practice in which only a fraction of a bank's demand deposits are kept in reserve and available for immediate withdrawal (as cash and other highly liquid assets), whilst the remaining cash is lent out to borrowers (and so is never actually available for immediate withdrawal to legitimate deposit-holders).</blockquote>

In order for fractional reserve banking to affect the money supply, the debt instruments issued by the bank (for example, bank notes or demand deposits) must be accepted as if they were money proper, in other words, they must be money-substitutes. This is explained for example by [http://mises.org/rothbard/austrianmoneysupply.pdf Rothbard in Austrian Definitions of the Supply of Money]:

<blockquote>And so long as demand deposits are accepted as equivalent to standard money, they will function as part of the money supply.

It is important to recognize that demand deposits are not automatically part of the money supply by virtue of their very existence; they continue as equivalent to money only so long as the subjective estimates of the sellers of goods on the market think that they are so equivalent and accept them as such in exchange.</blockquote>

In the historical cases of money based on gold or government issued fiat, the reason why money-substitutes are accepted as if they were money proper is that the money proper has in some circumstances high transaction costs (for example, gold might be too heavy to carry around, or the buyer and seller are not at the same location and want to perform the exchange electronically), or are not legally permitted (normal people are not allowed to obtain central bank reserves). This creates a demand for forms of money which have lower transaction costs. With gold/fiat, this requires the creation of debt instruments, which then, after being generally accepted in exchange, become money substitutes and a part of the money supply.

The situation with Bitcoin is different, because other forms can be created without debt instruments, for example [[Casascius physical bitcoins]] or [[Bitbills]]. Bitcoin in its "classical" form is similar in function of a bank account (allowing electronic transfers of balances) even though there is no debt instrument. Any object that can store 64 bytes of data (size of Bitcoin keypair) can, hypothetically, be used as a form of Bitcoin. In some cases, shorter forms than 64 bytes are possible too (for example, [[Mini_private_key_format|mini private key format]] used by Casascius physical bitcoins). Issuers of Bitcoin-based debt instruments, if they expect these instruments to be accepted in exchange, need to create demand for them as a method of payment outside of the Bitcoin network. This is difficult, because a transaction that occurs outside of the Bitcoin network is incompatible with it, so people equipped with software for handling only pure Bitcoin transactions cannot accept it. Furthermore, they also would need to compete against not only Bitcoin, but against other currencies, payment methods and services.

Currently, Bitcoin based debt instruments are restricted to a narrow field of uses. Exchanges allow these instruments to be traded against other currencies. E-wallets allow inter-wallet transfers. GLBSE allows the floating of shares or other contractual arrangements. However, these debt instruments are, in general, outside of these narrow fields, not accepted for exchange as if they were native Bitcoins. They rarely even circulate outside of the internal transactions of the providers of these services. There are very few exceptions, such as the redeemable Mt. Gox code. If the service provider attempted to conduct FRB by overissuing these instruments, they would be exposed at risk of having them redeemed too quickly. One possible way of mitigating this risk is to institute a suspension of specie payments (for example, Mt. Gox. having a default withdrawal limit).

If in the future, P2P exchanges and distributed wallets are available (both have been suggested already at bitcointalk.org forums), this would decrease the demand for Bitcoin-based debt instruments even further.

Historically, in all known situations where an overissue of Bitcoin-based debt instruments was produced, this resulted either in a voluntary elimination of the excess instruments (Mt. Gox hack from June 2011), bankruptcy (the demise of mybitcoin) or a new investor bailout (the demise of bitomat.pl and subsequent takeover by Mt. Gox). Here we have empirical evidence that FRB with Bitcoin is possible.

Putting all this together, there are several steps that need to be addressed regarding Bitcoin-FRB and money supply:

# overissue of debt instruments (this would cause FRB)
# general acceptance of these instruments as a method of payment (this would mean the instruments need to be included in the money supply)
# market price of these instruments at a different rate than the reserve ratio of the issuer (this would cause inflation or deflation)

Even if we assume that an overissue is possible in long term, there are significant obstacles in phase 2 and 3, as elaborated above. It is therefore unlikely that even if Bitcoin-FRB became widespread, this would significantly affect the money supply of Bitcoins or inflation/deflation.
[[Category:Economics]]

Mining

2013-07-10T11:49:13Z

Gladoscc: /* ASIC Mining */

[[File:Quick-and-dirty-4x5970-cooling.jpg|thumb|right|A quick and dirty mining rig]]
== Introduction ==
'''Mining''', or generating, is the process of adding transaction records to Bitcoin's public ledger of past transactions. This ledger of past transactions is called the [[block chain]] as it is a chain of [[block|blocks]]. The block chain serves to [[Confirmation|confirm]] transactions to the rest of the network as having taken place. Bitcoin nodes use the block chain to distinguish legitimate Bitcoin transactions from attempts to respend coins that have already been spent elsewhere.

Mining is intentionally designed to be resource-intensive and difficult so that the number of blocks found each day by miners remains steady. Individual [[blocks]] must contain a [[proof of work|proof of work]] to be considered valid. This proof of work is verified by other Bitcoin nodes each time they receive a block.

== History ==
Bitcoin's public ledger (the 'block chain') was started on January 3rd, 2009 at 18:15 UTC presumably by [[Satoshi Nakamoto]]. The first block is known as the [[genesis block]]. The first transaction recorded in the first block was a single transaction paying the reward of 50 new bitcoins to its creator.

Bitcoin mining is so called because it resembles the mining of other commodities: it requires exertion and it slowly makes new currency available at a rate that resembles the rate at which commodities like gold are mined from the ground. See [[Controlled Currency Supply]].

== Mining contracts ==
Provides mining services with performance specified by contract. An example would be where a specific level of mining capacity is rented out for a set price for a specific duration. One of the biggest mining contractors is [[Minerlease]]

== Difficulty ==
=== The Computationally-Difficult Problem ===
Mining a block is difficult because the SHA-256 hash of a block's header must be lower than or equal to the [[Target|target]] in order for the block to be accepted by the network. This problem can be simplified for explanation purposes: The hash of a block must start with a certain number of zeros. The probability of calculating a hash that starts with many zeros is very low, therefore many attempts must be made. In order to generate a new hash each round, a [[Nonce|nonce]] is incremented. See [[Proof of work]] for more information.

=== The Difficulty Metric ===
The [[Difficulty|difficulty]] is the measure of how difficult it is to find a new block compared to the easiest it can ever be. It is recalculated every 2016 blocks to a value such that the previous 2016 blocks would have been generated in exactly two weeks had everyone been mining at this difficulty. This will yield, on average, one block every ten minutes. As more miners join, the rate of block creation will go up. As the rate of block generation goes up, the difficulty rises to compensate which will push the rate of block creation back down. Any blocks released by malicious miners that do not meet the required difficulty [[Target|target]] will simply be rejected by everyone on the network and thus will be worthless.

=== Reward ===
When a block is discovered, the discoverer may award themselves a certain number of bitcoins, which is agreed-upon by everyone in the network. Currently this bounty is 25 bitcoins; this value will halve every 210,000 blocks. See [[Controlled Currency Supply]].

Additionally, the miner is awarded the fees paid by users sending transactions. The fee is an incentive for the miner to include the transaction in their block. In the future, as the number of new bitcoins miners are allowed to create in each block dwindles, the fees will make up a much more important percentage of mining income.

== Hardware ==
[[File:Usb-fpga module 1.15x-hs-800.jpg|thumb|right|FPGA Module]]
Users have used various types of hardware over time to mine blocks. Hardware specifications and performance statistics are detailed on the [[Mining Hardware Comparison]] page.
=== CPU Mining ===
Early Bitcoin client versions allowed users to use their CPUs to mine. The advent of GPU mining made CPU mining financially unwise. The option was therefore removed from the Bitcoin client.
=== GPU Mining ===
GPU Mining is drastically faster and more efficient than CPU mining. See the main article: [[Why a GPU mines faster than a CPU]]. A variety of popular [[Mining rig|mining rigs]] have been documented.
=== FPGA Mining ===
FPGA mining is a very efficient and fast way to mine, comparable to GPU mining and drastically outperforming CPU mining. FPGAs typically consume very small amounts of power with relatively high hash ratings, making them more viable and efficient than GPU mining. See [[Mining Hardware Comparison]] for FPGA hardware specifications and statistics.
=== ASIC Mining ===
An application-specific integrated circuit, or ''ASIC'', is a microchip designed and manufactured for a very specific purpose. ASICs designed for Bitcoin mining were first released in 2013 and (at the time of this writing) are in the hands of a very limited number of miners. For the amount of power they consume, they are vastly faster than all previous technologies and already has made GPU mining financially unwise in some countries and setups.

== Pools ==
As mining a block became more and more difficult, individuals found that they were working for months without finding a block and receiving ''any'' reward for their mining efforts. Thus they started organizing themselves into [[Pooled mining|pools]] so that they could share rewards more evenly. See [[Pooled mining]] and [[Comparison of mining pools]].
[[Category:Mining]][[Category:Vocabulary]]

==See Also==

* [http://codinginmysleep.com/bitcoin-mining-in-plain-english Bitcoin Mining in Plain English] by David Perry
* [[Automatically mine when computer is locked|Tutorial to automatically start mining when you lock your computer]]. (Windows 7)
* [http://www.reddit.com/r/Bitcoin/comments/18q2jx/eli5_bitcoin_mining_xpost_in_eli5/ Simplified Explanation of Bitcoin Mining] by reddit user [http://www.reddit.com/user/azotic azotic]

Template:MainPage Topics

2013-07-10T11:46:03Z

Gladoscc:

{|cellpadding="2" style="background-color: inherit;"
|-
| scope="col" style="width: 200px;" |
* [[Introduction]]
* [http://www.weusecoins.com/getting-started.php Getting started]
* [[Myths]]
* [http://bitcoin.gw.gd/-Bitcoin-News- News]

* [[Securing your wallet]]
* [http://www.quandl.com/markets/bitcoin Bitcoin Statistics]
| scope="col" style="width: 200px;" |
* [[PHP developer intro]]
* [[API reference (JSON-RPC)]]
* [[Protocol specification]]
* [[Secure Trading|Best practices for OTC traders]]
* [[Bitcoin Improvement Proposals]]
|}

{|cellpadding="2" style="background-color: inherit;"
|-
! scope="col" style="width: 200px;" |
! scope="col" style="width: 200px;" |
|-
|
* [[Software]]
* [[Mining]]
* [[:Category:Exchanges|Exchanges]]
* [[:Category:Directories|Local Directories]]
* [[:Category:Marketing|Marketing resources]]
* [[People]]
|
* [[:Category:Technical|Technical articles]]
* [[:Category:Clients|Clients]] / [[:Category:Frontends|Frontends]]
* [[:Category:Economics|Economics]]
* [[Trade|Businesses (Trade)]]
* [[:Category:Games|Games]]
* [[Real world shops|Real world merchants map]]
* [[Donation-accepting_organizations_and_projects|Donation-accepting sites]]
* [[Meetups]]
|}

<div style="text-align: right;" class="noprint"><span class="plainlinks">[{{fullurl:Template:MainPage_Topics|action=edit}} '''Edit''']</span> – '''[[Special:Categories|See More]]'''</div>

Forums

2013-07-10T11:22:59Z

Gladoscc: /* Other */

== General Bitcoin Discussion ==

* [http://www.bitcointalk.org BitcoinTalk Forum]
* [http://www.bitcointalk.co.uk Bitcoin Forum UK]
* [http://www.bitcoin-board.com Bitcoin-Board]
* [http://btcstocktrader.com/ Bitcoin Stock Trader]
* [http://www.reddit.com/r/bitcoin Bitcoin subreddit]
* [http://www.bitcointrading.com/forum/index.php Bitcoin Trading Forum]
* [http://tweetforum.com/?board=51.0 Bitcoin Tweet Forum @Bitcoin]
* [http://www.rugatu.com Rugatu Q&A Community]
* [http://www.facebook.com/pages/Bitcoin/133067610063481 Facebook - Bitcoin]
* [http://www.facebook.com/btchkex Facebook - Bitcoin Hong Kong]
* [http://www.facebook.com/bitcoins Facebook - Bitcoin P2P Cryptocurrency]
* [http://groups.google.com/group/bitcoin-discussion Google groups - bitcoin-discussion]
* [http://groups.google.com/group/bitcoinpeople Google groups - Bitcoin People]
* [https://support.mtgox.com/forums MtGox Support]
* [http://steamcommunity.com/groups/bitcoin Steam - Bitcoin]
* [http://www.talkgold.com/forum/f513-.html Talkgold - Bitcoin Forum]
* [http://www.ugbit.com/forums/forum.php UgBit - Bitcoin Trading & Mining Forum]

== Regular shows and podcasts ==
* [http://letstalkbitcoin.com Let's talk bitcoin - Adam B. Levine's podcast]
** [http://www.reddit.com/r/letstalkbitcoin/ Let's talk bitcoin subreddit]
* [http://www.jupiterbroadcasting.com/show/planb Plan B - Juniper Broadcasting weekly bitcoin show]
** [http://www.youtube.com/user/jupiterbroadcasting/ Juniper Broadcasting youtube channel]
** [http://www.reddit.com/r/planbshow/ Plan B show subreddit]
* [http://www.thebitcoinchannel.com Bitcoin Channel - Bitcoin report and other videos/webcasts]
** [https://www.youtube.com/user/BitcoinChannel Bitcoin Channel on youtube]

== Language/Region Specific ==

* [http://www.bitcoins.co.ke Nairobi, Kenya and Africa Bitcoin community forum]
* [http://forum.bitcoin.com.au Australian Bitcoin forum]
* [https://www.coinforum.ca Canada's Bitcoin forum]
* [http://www.bitecoin.com/bbs/ Chinese Bitcoin forum]
* [http://nordcoin.org/ Danish Bitcoin forum]
* [http://www.bitcointalk.biz Farsi / Persian community]
* [https://www.bitcoin-italia.org Italian Bitcoin community forum]
* [http://www.facebook.com/pages/Bitcoin-New-Zealand/189769464405632 New Zealand Facebook community]
* [http://bitcoin.pl/forum/ Polish Bitcoin community forum]
* [https://forum.btcsec.com/ BTCsec.com Bitcoin community forum (Russian)]
* [http://rubitcoin.com Russian Bitcoin community forum]
* [http://bitcoin.rs Serbian Bitcoin community forum]
* [https://bitcoin.org.uk/forums/ United Kingdom Bitcoin forum]
* [http://blog.bitcoin-portugal.com/ Portugal Bitcoin Blog]
* [http://www.bitcoin.si/ Slovenian bitcoin community]
* [http://www.bitcoin-tr.com/ Turkish Bitcoin community]

== Other ==

* [http://forum.mtgoxlive.com/ MtGox Live Traders Forum]
* [http://bitcoin.stackexchange.com Bitcoin StackExchange] - Q&A site, currently in public beta
* [http://sourceforge.net/mailarchive/forum.php?forum_name=bitcoin-development Developer mailing list]
* [http://coinchat.org CoinChat - bitcoin integrated chat network]

[[pl:Fora dyskusyjne]]

Merchant Howto

2013-07-10T11:21:32Z

Gladoscc: /* Using offchain payment networks= */

{{merge|How to accept Bitcoin, for small businesses}}

Accepting Bitcoins is easy, and there are several ways to do it.

==Manually==
# Download a bitcoin client
# When a customer wants to buy something, send them a Bitcoin address where their payment should be sent.
#* You can do this by clicking "New.." next to your address in the Bitcoin client and sending that address to the customer.
# When payment comes in to that address, send the goods to your customer. Depending on the value of what you're selling, you may wish to wait until the payment shows Confirmed.
# To issue a refund, obtain from the customer the [[Address|bitcoin address]] where the refund payment should be sent. The refund address will likely be different from the address used when the customer sent payment, especially if an [[EWallet]] was used by the customer.

==Automated==
===Pre-generating Bitcoin addresses===
You can accept Bitcoins on your website without needing to use Bitcoin APIs or third party services if you pre-generate a large number of receiving Bitcoin addresses and store them in a database on your web server, and dispense them one-by-one to customers when they are ready to pay. This way, your web server never actually handles the bitcoins - it simply gives out addresses belonging to a wallet you maintain elsewhere. By using a unique address per order, you will always know which payment belongs to which order. [https://www.casascius.com Example of website using this method]

To pre-generate addresses, use a tool such as [[Pywallet]] (which can generate a wallet.dat file) or [[Bitcoin Address Utility]] (which can generate a CSV file). In both cases, you will be generating a list of [[Address|Bitcoin address]]es along with their corresponding [[private key]]s. Only the Bitcoin addresses (not the private keys) should be loaded on the web server.

If you are shipping goods manually, you can use the Bitcoin software to check for incoming payments, or alternately consider using [[Block Explorer]] or [[Abe]] to verify payment when you're about to ship. To make this easy, make your website provide you a full hyperlink that includes the proper receiving address: ht<nowiki>tp://www</nowiki>.blockexplorer.com/address/ADDRESSGOESHERE.

If you are delivering digital goods or services and want to be able to deliver instantly upon payment and/or confirmation, you can use a third-party service such as [[Bitcoin Notify]] to tell your website when a payment has been received. This sort of service requires no significant API implementation - they will simply make a POST to your website or send you an e-mail when a payment has been received on one of your addresses.

If you keep Bitcoins off your web server, this ensures your wallet cannot be stolen if your web server experiences a security intrusion. Your risk becomes limited to the possibility that a successful intruder could add his own addresses to your address pool and steal funds from a few incoming orders until you detect the problem, however, this is a relatively controllable risk.

==Using offchain payment networks==

[[Off-Chain_Transactions|Off chain]] networks provides various benefits to Bitcoin, such as instant confirmations and protection against double spending. [[File: inputs.png]] [https://inputs.io Inputs.io] is an offchain payment network that charges no fees and has a easy API to integrate, as well as providing frictionless buttons that can be added by copying 2 lines of code. Visitors will be able to pay without leaving the page.

===Using a third-party plugin===
You can use an existing [[:Category:Shopping Cart Interfaces|shopping cart interface]] from a 3rd party to automatically handle all Bitcoin payments on your website. If you want to develop the system yourself, you can utilize the Bitcoin client's [[API tutorial (JSON-RPC)|JSON-RPC API]] to automatically accept payments.

Things to note if you build it yourself:
# When a customer orders something on your website it records:
#* Bitcoin address that payment should be sent to
#* Order details (delivery address etc.)
#* Customer's refund address (optional - if you wish you can ask for this later, only in cases a refund is required)
#* Payment amount
# When payment arrives, checks that they have paid the correct amount or not, and informs you
#* You dispatch the goods to the customer and mark the order as fulfilled
#* If you cannot dispatch the goods you mark the order as denied and ask the customer for a refund address (unless you already have it from earlier) to send a refund.
# Forwards the funds to bitcoin address of your choice

==Common Errors==
It has been observed on occasion that a business funnels all its orders through the same Bitcoin address, and asks people to send some BTC, then send email describing the timing and the amount of the transaction to 'claim' it. This is '''not''' secure, since anyone can see the transaction details using a tool such as [[Block Explorer]], and then try to claim someone else's transaction as theirs.

Do not do this. Give each customer a unique Bitcoin address.

==Listing your business on the Bitcoin Trade page==

Anyone can add and update a listing on the [[Trade|trade]] page. Just register if you haven't and add to the appropriate category. If you'ld like assistance, perhaps someone in the [http://webchat.freenode.net/?channels=#bitcoin-marketing #bitcoin-marketing] IRC channel would be willing to assist.

==See Also==
* [[In-store Transactions]]
* [[:Category:Shopping Cart Interfaces|Shopping Cart Interfaces]]
* [[Securing online services]]
* [[Bitcoin Evolution]] handles sales tracking and order forms; requires Bitcoin client for actual payment
* [[Bitcoin PayFlow]] automates the process for accepting bitcoins
* [[Bitcoin API Services]] an easy solution for securely accepting Bitcoins and updating BTC prices
* [[BitcoinNotify]] merchants solution for accepting Bitcoins and updating BTC prices
* [[Coinbase]] Offers payment buttons, checkout pages, shopping cart integration, and daily cash out to USD.
* [[BitMerch]] Provides HTML buttons to start accepting bitcoins instantly. No server side setup required.
* [[Converter|Bitcoin Javascript Converter]] displays a price in BTCs after converting from USDs.
* [[How to accept Bitcoin, for small businesses]]
* [[:Category:Marketing|Marketing]]
* [[URI Scheme]]
* [[Promotional graphics]], buttons and logos
* [[File:BIPS.gif|20px|link=https://bips.me]] [[BIPS]] Bitcoin Internet Payment System, Merchant solutions and eWallet for Bitcoin
* [[BitPay]] Merchant solutions for Bitcoin
* [http://paysius.com Paysius] Allows merchants to easily and securely accept Bitcoin payments on their website
* [[WalletBit]] Bitcoin gateway and Merchant solutions
* [[Fasterco.in]] Bitcoin payment processing for merchants and day-traders
* [[Lazy API]] The lazy (and possibly easiest?) way to accept bitcoin payments on your website
* [http://snowcron.com Snowcron] Bitcoin Store Engine: Handles payments, sends your customers information they ordered (reg. codes, passwords...) No web programming required.
[[Category:ECommerce]]

Lazy API

2013-07-10T11:07:31Z

Gladoscc: /* Solution for receiving bitcoins */ Removed Instawallet (defunct), added Inputs

For the incredibly lazy and/or incompetent web developer, present is the lazy man's bitcoin API (copied from [https://bitcointalk.org/index.php?topic=4324.msg77187#msg77187 a forum post]):

==Problem==

Lazy web designer wants to use bitcoins without dealing with installing bitcoin on a server, installing a shopping cart interface, or using ugly merchant services with callbacks.

==Solution for sending bitcoins==

Use the [https://mtgox.com/support/tradeAPI MtGox API] or [[File: inputs.png]] [https://inputs.io Inputs.io] API which allows you to use the offchain payment network.

==Solution for receiving bitcoins==
# Input a list of bitcoin receiving addresses to your database
# Give a bitcoin address to a potential customer
# Have the customer tell you when they have sent the coins and have at least 1 confirmation (you can choose a number higher than 1 if you are worried about double-spending)
# Check blockexplorer to see if they sent the right amount (i.e. http://blockexplorer.com/q/getreceivedbyaddress/19hMEAaRMbEhfSkeU4GT8mgSuyR4t4M6TH/1) - the /1 is the number of confirmations you require
# Give them what they paid for
# After a reasonable amount of time has passed, you can re-use the address for another customer

You can also use [[File: inputs.png]] Inputs.io's [https://inputs.io/button frictionless payment buttons] that allows visitors to pay Bitcoins without leaving your webpage. Inputs also supports callbacks which saves you the work of having to check for bitcoins, instead new transactions are pushed to you.

==Risks==

===External Service===

BlockExplorer is a service that is provided by a private party. There is no guarantee that the information provided by BlockExplorer matches the blockchain.

There have not been any reports that BlockExplorer has reported transaction data incorrectly.

===Double Spending===

A merchant is exposed to a [[double-spending]] attack when recognizing a payment before it has been [[confirmation|confirmed]] with a sufficient number of blocks.

For an attacker to be successful with this double spend tactic a significant effort is required and thus the risk of this attack being made against the typical retail merchant is pretty minimal. It would not be advisable for a merchant with little to no recourse against an attacker to accept payment without a sufficient number of confirmations however.

==See Also==

* [[BitAddress]] Generate address and private key pairs for an offline wallet
* [[BitcoinNotify]] Register addresses and receive email or SMS alerts when a payment to that address occurs

[[de:API_für_Faule]]

[[Category:Developer]]

Lazy API

2013-07-10T11:05:39Z

Gladoscc: /* Solution for sending bitcoins */

For the incredibly lazy and/or incompetent web developer, present is the lazy man's bitcoin API (copied from [https://bitcointalk.org/index.php?topic=4324.msg77187#msg77187 a forum post]):

==Problem==

Lazy web designer wants to use bitcoins without dealing with installing bitcoin on a server, installing a shopping cart interface, or using ugly merchant services with callbacks.

==Solution for sending bitcoins==

Use the [https://mtgox.com/support/tradeAPI MtGox API] or [[File: inputs.png]] [https://inputs.io Inputs.io] API which allows you to use the offchain payment network.

==Solution for receiving bitcoins==
# Input a list of bitcoin receiving addresses to your database
# Give a bitcoin address to a potential customer
# Have the customer tell you when they have sent the coins and have at least 1 confirmation (you can choose a number higher than 1 if you are worried about double-spending)
# Check blockexplorer to see if they sent the right amount (i.e. http://blockexplorer.com/q/getreceivedbyaddress/19hMEAaRMbEhfSkeU4GT8mgSuyR4t4M6TH/1) - the /1 is the number of confirmations you require
# Give them what they paid for
# After a reasonable amount of time has passed, you can re-use the address for another customer

You could avoid having a list of addresses and reusing them by getting a new address via API call from one of the wallet services that support this feature (e.g. https://instawallet.org/static/api).

==Risks==

===External Service===

BlockExplorer is a service that is provided by a private party. There is no guarantee that the information provided by BlockExplorer matches the blockchain.

There have not been any reports that BlockExplorer has reported transaction data incorrectly.

===Double Spending===

A merchant is exposed to a [[double-spending]] attack when recognizing a payment before it has been [[confirmation|confirmed]] with a sufficient number of blocks.

For an attacker to be successful with this double spend tactic a significant effort is required and thus the risk of this attack being made against the typical retail merchant is pretty minimal. It would not be advisable for a merchant with little to no recourse against an attacker to accept payment without a sufficient number of confirmations however.

==See Also==

* [[BitAddress]] Generate address and private key pairs for an offline wallet
* [[BitcoinNotify]] Register addresses and receive email or SMS alerts when a payment to that address occurs

[[de:API_für_Faule]]

[[Category:Developer]]

Lazy API

2013-07-10T11:05:22Z

Gladoscc: /* Solution for sending bitcoins */

For the incredibly lazy and/or incompetent web developer, present is the lazy man's bitcoin API (copied from [https://bitcointalk.org/index.php?topic=4324.msg77187#msg77187 a forum post]):

==Problem==

Lazy web designer wants to use bitcoins without dealing with installing bitcoin on a server, installing a shopping cart interface, or using ugly merchant services with callbacks.

==Solution for sending bitcoins==

Use the [https://mtgox.com/support/tradeAPI MtGox API] or [[File: inputs.io]] [https://inputs.io Inputs.io] API which allows you to use the offchain payment network.

==Solution for receiving bitcoins==
# Input a list of bitcoin receiving addresses to your database
# Give a bitcoin address to a potential customer
# Have the customer tell you when they have sent the coins and have at least 1 confirmation (you can choose a number higher than 1 if you are worried about double-spending)
# Check blockexplorer to see if they sent the right amount (i.e. http://blockexplorer.com/q/getreceivedbyaddress/19hMEAaRMbEhfSkeU4GT8mgSuyR4t4M6TH/1) - the /1 is the number of confirmations you require
# Give them what they paid for
# After a reasonable amount of time has passed, you can re-use the address for another customer

You could avoid having a list of addresses and reusing them by getting a new address via API call from one of the wallet services that support this feature (e.g. https://instawallet.org/static/api).

==Risks==

===External Service===

BlockExplorer is a service that is provided by a private party. There is no guarantee that the information provided by BlockExplorer matches the blockchain.

There have not been any reports that BlockExplorer has reported transaction data incorrectly.

===Double Spending===

A merchant is exposed to a [[double-spending]] attack when recognizing a payment before it has been [[confirmation|confirmed]] with a sufficient number of blocks.

For an attacker to be successful with this double spend tactic a significant effort is required and thus the risk of this attack being made against the typical retail merchant is pretty minimal. It would not be advisable for a merchant with little to no recourse against an attacker to accept payment without a sufficient number of confirmations however.

==See Also==

* [[BitAddress]] Generate address and private key pairs for an offline wallet
* [[BitcoinNotify]] Register addresses and receive email or SMS alerts when a payment to that address occurs

[[de:API_für_Faule]]

[[Category:Developer]]

Merchant Howto

2013-07-10T11:04:14Z

Gladoscc: /* Automated */

{{merge|How to accept Bitcoin, for small businesses}}

Accepting Bitcoins is easy, and there are several ways to do it.

==Manually==
# Download a bitcoin client
# When a customer wants to buy something, send them a Bitcoin address where their payment should be sent.
#* You can do this by clicking "New.." next to your address in the Bitcoin client and sending that address to the customer.
# When payment comes in to that address, send the goods to your customer. Depending on the value of what you're selling, you may wish to wait until the payment shows Confirmed.
# To issue a refund, obtain from the customer the [[Address|bitcoin address]] where the refund payment should be sent. The refund address will likely be different from the address used when the customer sent payment, especially if an [[EWallet]] was used by the customer.

==Automated==
===Pre-generating Bitcoin addresses===
You can accept Bitcoins on your website without needing to use Bitcoin APIs or third party services if you pre-generate a large number of receiving Bitcoin addresses and store them in a database on your web server, and dispense them one-by-one to customers when they are ready to pay. This way, your web server never actually handles the bitcoins - it simply gives out addresses belonging to a wallet you maintain elsewhere. By using a unique address per order, you will always know which payment belongs to which order. [https://www.casascius.com Example of website using this method]

To pre-generate addresses, use a tool such as [[Pywallet]] (which can generate a wallet.dat file) or [[Bitcoin Address Utility]] (which can generate a CSV file). In both cases, you will be generating a list of [[Address|Bitcoin address]]es along with their corresponding [[private key]]s. Only the Bitcoin addresses (not the private keys) should be loaded on the web server.

If you are shipping goods manually, you can use the Bitcoin software to check for incoming payments, or alternately consider using [[Block Explorer]] or [[Abe]] to verify payment when you're about to ship. To make this easy, make your website provide you a full hyperlink that includes the proper receiving address: ht<nowiki>tp://www</nowiki>.blockexplorer.com/address/ADDRESSGOESHERE.

If you are delivering digital goods or services and want to be able to deliver instantly upon payment and/or confirmation, you can use a third-party service such as [[Bitcoin Notify]] to tell your website when a payment has been received. This sort of service requires no significant API implementation - they will simply make a POST to your website or send you an e-mail when a payment has been received on one of your addresses.

If you keep Bitcoins off your web server, this ensures your wallet cannot be stolen if your web server experiences a security intrusion. Your risk becomes limited to the possibility that a successful intruder could add his own addresses to your address pool and steal funds from a few incoming orders until you detect the problem, however, this is a relatively controllable risk.

==Using offchain payment networks===

[[Off-Chain_Transactions|Off chain]] networks provides various benefits to Bitcoin, such as instant confirmations and protection against double spending. [[File: inputs.png]] [https://inputs.io Inputs.io] is an offchain payment network that charges no fees and has a easy API to integrate, as well as providing frictionless buttons that can be added by copying 2 lines of code. Visitors will be able to pay without leaving the page.

===Using a third-party plugin===
You can use an existing [[:Category:Shopping Cart Interfaces|shopping cart interface]] from a 3rd party to automatically handle all Bitcoin payments on your website. If you want to develop the system yourself, you can utilize the Bitcoin client's [[API tutorial (JSON-RPC)|JSON-RPC API]] to automatically accept payments.

Things to note if you build it yourself:
# When a customer orders something on your website it records:
#* Bitcoin address that payment should be sent to
#* Order details (delivery address etc.)
#* Customer's refund address (optional - if you wish you can ask for this later, only in cases a refund is required)
#* Payment amount
# When payment arrives, checks that they have paid the correct amount or not, and informs you
#* You dispatch the goods to the customer and mark the order as fulfilled
#* If you cannot dispatch the goods you mark the order as denied and ask the customer for a refund address (unless you already have it from earlier) to send a refund.
# Forwards the funds to bitcoin address of your choice

==Common Errors==
It has been observed on occasion that a business funnels all its orders through the same Bitcoin address, and asks people to send some BTC, then send email describing the timing and the amount of the transaction to 'claim' it. This is '''not''' secure, since anyone can see the transaction details using a tool such as [[Block Explorer]], and then try to claim someone else's transaction as theirs.

Do not do this. Give each customer a unique Bitcoin address.

==Listing your business on the Bitcoin Trade page==

Anyone can add and update a listing on the [[Trade|trade]] page. Just register if you haven't and add to the appropriate category. If you'ld like assistance, perhaps someone in the [http://webchat.freenode.net/?channels=#bitcoin-marketing #bitcoin-marketing] IRC channel would be willing to assist.

==See Also==
* [[In-store Transactions]]
* [[:Category:Shopping Cart Interfaces|Shopping Cart Interfaces]]
* [[Securing online services]]
* [[Bitcoin Evolution]] handles sales tracking and order forms; requires Bitcoin client for actual payment
* [[Bitcoin PayFlow]] automates the process for accepting bitcoins
* [[Bitcoin API Services]] an easy solution for securely accepting Bitcoins and updating BTC prices
* [[BitcoinNotify]] merchants solution for accepting Bitcoins and updating BTC prices
* [[Coinbase]] Offers payment buttons, checkout pages, shopping cart integration, and daily cash out to USD.
* [[BitMerch]] Provides HTML buttons to start accepting bitcoins instantly. No server side setup required.
* [[Converter|Bitcoin Javascript Converter]] displays a price in BTCs after converting from USDs.
* [[How to accept Bitcoin, for small businesses]]
* [[:Category:Marketing|Marketing]]
* [[URI Scheme]]
* [[Promotional graphics]], buttons and logos
* [[File:BIPS.gif|20px|link=https://bips.me]] [[BIPS]] Bitcoin Internet Payment System, Merchant solutions and eWallet for Bitcoin
* [[BitPay]] Merchant solutions for Bitcoin
* [http://paysius.com Paysius] Allows merchants to easily and securely accept Bitcoin payments on their website
* [[WalletBit]] Bitcoin gateway and Merchant solutions
* [[Fasterco.in]] Bitcoin payment processing for merchants and day-traders
* [[Lazy API]] The lazy (and possibly easiest?) way to accept bitcoin payments on your website
* [http://snowcron.com Snowcron] Bitcoin Store Engine: Handles payments, sends your customers information they ordered (reg. codes, passwords...) No web programming required.
[[Category:ECommerce]]

IRC channels

2013-07-10T11:00:43Z

Gladoscc:

Most of the following Bitcoin-related IRC channels are available on [http://www.freenode.net Freenode]:

There are also a Bitcoin integrated web chat network, [http://www.coinchat.org/ CoinChat].

==Bitcoin Project==
{| class="wikitable"
! Channel !! Description
|-
| {{Freenode IRC|bitcoin}} || General Bitcoin-related discussion.
|-
| {{Freenode IRC|bitcoin-dev}} || Bitcoin software development. ([http://bitcoinstats.com/irc/bitcoin-dev/logs/ history])
|-
| {{Freenode IRC|bitcoin-politics}} || Discuss politics with other Bitcoin users.
|-
| {{Freenode IRC|bitcoin-gaming}} || Bitcoin gamers hangout.
|-
| {{Freenode IRC|bc-news}} || RSS News related to Bitcoin.
|-
| {{Freenode IRC|bitcoin-marketing}} || Marketing and promotion of bitcoin
|-
| {{Freenode IRC|bitcoin-gentoo}} || Gentoo community.
|-
| {{Freenode IRC|bitcoin-watch|text=[[Bitcoin-Watch|#bitcoin-watch]]}} || Streaming Bitcoin transactions, including market data.
|-
| {{Freenode IRC|bitcoin-bots}} || Bot and bot-related discussion; trading bots, IRC bots, utility bots.
|-
| {{Freenode IRC|bitcoin-police}} || [[Bitcoin Police]] Investigates incidents related to Bitcoin.
|-
| {{Freenode IRC|bitcoin-court}} || [[Bitcoin Court]] Settles disputes between parties.
|-
| {{Freenode IRC|bitcoin-tweets}} || Automated announce of bitcoin-related tweets.
|-
| {{Freenode IRC|bitcoin-church}} || [[Bitcoin Church]] Discussion of our savior Satoshi
|}

===Local communities===

{| class="wikitable"
| {{Freenode IRC|bitcoin-otc-eu}} || European OTC trading marketplace.
|-
| {{Freenode IRC|bitcoin-otc-ru}} || Russian OTC trading marketplace.
|-
| {{Freenode IRC|bitcoin-otc-uk}} ||United kingdom OTC Trading Marketplace.Founder Angus Bates.
|-
| {{Freenode IRC|bitcoin-aus}} || Aussie bitcoin community.
|-
| {{Freenode IRC|bitcoin-br}} || Brazilian bitcoin community.
|-
| {{Freenode IRC|bitcoin-cad}} || Canadian bitcoin community.
|-
| {{Freenode IRC|bitcoin-cn}} || Chinese bitcoin community.
|-
| {{Freenode IRC|bitcoin-dk}} || Danish bitcoin community.
|-
| {{Freenode IRC|bitcoin-de}} || German bitcoin community.
|-
| {{Freenode IRC|bitcoin-il}} || Israeli bitcoin community.
|-
| {{Freenode IRC|bitcoin-romania}} || Romanian bitcoin community.
|-
| {{Freenode IRC|btc.chat}} || Russian bitcoin community.
|}

==Mining Related Communities==

{| class="wikitable"
! Channel !! Description
|-
| {{Freenode IRC|bitcoin-mining}} || Discussion and support related to mining.
|-
| {{Freenode IRC|bitcoin-fpga}} || Discussion and support specific to FPGA mining.
|-
| {{Freenode IRC|cgminer}} || Discussion and support specific to [[CGMiner]] mining ASIC/FPGA/GPU.
|-
| {{Freenode IRC|btc.chat.miners}} || Russian discussion of mining specification.
|-
| {{Freenode IRC|eligius}} || [[Eligius]] mining pool community (also support for [[BFGMiner]] and [[Eloipool]])
|-
| {{Freenode IRC|ozcoin}} || [[Ozco.in]] mining pool community
|-
| <small>[irc://irc.foonetic.net/xkcd-bitcoin IRC] [http://irc.lc/foonetic/xkcd-bitcoin/Miner@@@ Web]</small> #xkcd-bitcoin || [https://en.bitcoin.it/wiki/XKCD_Pool XKCD Pool]
|-
| <small>[irc://irc.quakenet.org/bitcoins.lc IRC] [http://irc.lc/quakenet/bitcoins.lc/Miner@@@ Web]</small> #bitcoins.lc @ Quakenet || [http://www.bitcoins.lc Bitcoins.lc Pool]
|-
| {{Freenode IRC|bithasher}} || Bit Pool Mining
|-
| {{Freenode IRC|p2pool}} || [[P2Pool]] decentralized mining pool
|-
| {{Freenode IRC|btcserv}} || [[Btcserv.net]] Mining Pool Community
|-
| {{Freenode IRC|bitminter}} || [[BitMinter]] Mining Pool Community
|}

==Communities for Exchanges and Trading==

{| class="wikitable"
! Channel !! Description
|-
| {{Freenode IRC|bitcoin-assets}} || Discussion of securities and other asset investments, including those listed on [[GLBSE]] or [[MPEx]].
|-
| {{Freenode IRC|bitcoin-auction}} || Live auctions over IRC.
|-
| {{Freenode IRC|GLBSE}} || Talk regarding the [[GLBSE]] trading platform.
|-
| {{Freenode IRC|bitcoin-market}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-aud}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-bgn}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-brl}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-cad}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-chf}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-eur}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-gbp}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-hkd}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-inr}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-jpy}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-nzd}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-pln}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-rub}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-sek}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-sgd}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-sll}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-thb}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-usd}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-markets-zar}} || Streaming market data (only), no chat.
|-
| {{Freenode IRC|bitcoin-otc|text=[[bitcoin-otc|#bitcoin-otc]]}} || Over-the-counter trading marketplace and discussion. ([http://bitcoinstats.com/irc/bitcoin-otc/logs/ history])
|-
| {{Freenode IRC|bitcoin-escrow}} || Third party escrow agents.
|-
| {{Freenode IRC|bitcoin-otc-ticker|bitcoin-otc-ticker}} || Streaming market data form the [[#bitcoin-otc]] order book.
|-
| {{Freenode IRC|bitcoin-pit}} || Only over-the-counter trading.
|-
| {{Freenode IRC|bitcoin-tickers}} || Bitcoin tickers for all bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-aud}} || Bitcoin tickers for AUD bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-bgn}} || Bitcoin tickers for BGN bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-brl}} || Bitcoin tickers for BRL bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-cad}} || Bitcoin tickers for CAD bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-chf}} || Bitcoin tickers for CHF bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-eur}} || Bitcoin tickers for EUR bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-gbp}} || Bitcoin tickers for GBP bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-hkd}} || Bitcoin tickers for HKD bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-inr}} || Bitcoin tickers for INR bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-jpy}} || Bitcoin tickers for JPY bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-nzd}} || Bitcoin tickers for NZD bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-pln}} || Bitcoin tickers for PLN bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-rub}} || Bitcoin tickers for RUB bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-sek}} || Bitcoin tickers for SEK bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-sgd}} || Bitcoin tickers for SGD bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-sll}} || Bitcoin tickers for SLL bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-thb}} || Bitcoin tickers for THB bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-usd}} || Bitcoin tickers for USD bitcoin markets
|-
| {{Freenode IRC|bitcoin-tickers-zar}} || Bitcoin tickers for ZAR bitcoin markets
|-
| {{Freenode IRC|bitcoin-wot|bitcoin-wot}} || Distributed Web of Trust (WoT) system for [[#bitcoin-otc]].
|-
| {{Freenode IRC|btc.chat.traders}} || Russian community discussion about trades/exchanges.
|-
| {{Freenode IRC|bitcoinconsultancy}} || [[Bitcoin Consultancy]] discussion
|-
| {{Freenode IRC|#mtgox-chat}} || [[#MtGox]] chat (Note the pound sign (#) is part of the channel name)
|-
| {{Freenode IRC|mtgox}} || [[MtGox]] support
|-
| {{Freenode IRC|mtgoxlive}} || [[MtGox Live]] real-time view of trading
|-
| {{Freenode IRC|mtgox-news}} || Mt. Gox topics from Twitter.
|-
| {{Freenode IRC|mtgox-rt}} || Mt. Gox real-time tape (executed trades).
|-
| {{Freenode IRC|bitcoin-rt}} || Real-time tape (executed trades).
|-
| {{Freenode IRC|bitcoinica}} || [[Bitcoinica]] trading platform.
|-
| {{Freenode IRC|intersango}} || [[Intersango]] exchange support
|-
| {{Freenode IRC|localbitcoins-chat}} || [[LocalBitcoins.com]] exchange support
|-
| {{Freenode IRC|Coinabul}} || [http://Coinabul.com Coinabul]'s customer support and news channel. Selling gold and silver for Bitcoin.
|}

==Related Communities==

{| class="wikitable"
! Channel !! Description
|-
| {{Freenode IRC|opentransactions}} || [[Open Transactions]] project.
|-
| {{Freenode IRC|namecoin}} || [[Namecoin]] and the [[Dot-bit]] project.
|-
| {{Freenode IRC|bitcoin-stackexchange}} || Discussion complementing [http://bitcoin.stackexchange.com Bitcoin StackExchange].

|}

[[pl:Kanały IRC]]
[[ro:Canale]]

Off-chain transactions

2013-07-10T10:59:46Z

Gladoscc: /* Cost/Scalability */

An off-chain transaction is the movement of value outside of the [[block chain]]. While an [[Transactions|on-chain transaction]] - usually referred to as simply 'a transaction' - modifies the blockchain and depends on the blockchain to determine its validity an off-chain transaction relies on other methods to record and validate the transaction. Like on-chain transactions all parties must agree to accept the particular method by which the transaction occurs, the question then being, how can those parties be convinced that the movement of value has actually happened, will not be reversed, and can be exchanged in the future for something of value?

With an on-chain transaction those questions are answered by the parties faith in the Bitcoin system as a whole. For instance a transaction (after some number of [[Confirmation|confirmations]]) can only be reversed if a majority of hashing power agrees to reverse the transaction. The parties to the transaction are trusting that the majority of hashing power in existence is controlled by "honest" parties who will not attempt to reverse the transaction.

== Rational ==

On-chain transactions have disadvantages that make them unsuitable for some applications:

=== Speed ===

On-chain transactions take some time to accumulate enough [[Confirmation|confirmations]] to ensure that they can-not be reversed; accepting a transaction [[Zero-Conf Transactions|without any confirmations]] is potentially risky. Confirmations take time and the time they take to accumulate is random. Off-chain transaction systems can record that a transaction has happened immediately, and, subject to the guarantees of the system itself, immediately guarantee it won't be reversed.

=== Privacy/Anonymity ===

All on-chain transactions are recorded publicly on the block chain; Bitcoin transactions are not inherently [[Anonymity|anonymous]]. It may be possible for a third-party to use the block chain transaction data to determine the source and/or destination of a transaction if they can gather enough information linking addresses to identities. Because off-chain transactions do not happen on the block chain they need not be public. Using cryptographic techniques such as [http://en.wikipedia.org/wiki/Blind_signature chaum tokens] it can be made impossible for even the operators of the system itself to determine who participated in a transaction.

=== Cost/Scalability ===

Miners usually charge [[Transaction fees|fees]] to confirm a transaction. While currently the demand for transactions is sufficiently low that fees are relatively small, and transactions can often be confirmed for free, for many applications even paying a few cents per transaction is unaffordable.<ref>[https://bitcointalk.org/index.php?topic=156334.0 How to send BitCoins with LOW TX FEE (Not No TX Fee)]</ref> In addition Bitcoin currently has a limit of 7 transactions per second, the [[blocksize limit]]. This limit is related to the [[Scalability|scalability]] of the system as a whole, and one option to achieve higher transaction volumes is to keep the blocksize limit as is and use off-chain transactions for lower-value transactions; with higher volumes fees for transactions done on-chain will rise due to supply and demand.

Currently, [[File:inputs.png|link=https://inputs.io]] [https://inputs.io Inputs.io] is the only offchain payment network that provides all three benefits.

== Methods ==

The most simple example of an off-chain transaction is perhaps two friends who agree on a debt between them. The "transaction" happens by the act of agreeing that the debt exists, and the validity of it is based solely on the trust that one friend has in the other. Further transactions can be agreed upon, possibly in exchange for something of value such one friend buying the other a meal. Multiple mutually trusting parties can participate, creating a network of value owed from one to the other. As an example the [http://en.wikipedia.org/wiki/Ripple_monetary_system Ripple monetary system] takes this concept, and adds to it an automated ledger to record all the mutual debts between participating parties. However actually acting upon those debts is still a matter of trust between the parties; the system only records debts and can-not by itself cause Bitcoins or some other object of value to change hands.

=== Trusted Third Parties ===

If the sender and recipient do not trust each other, or would simply prefer someone else record and guarantee the transaction, they can use a [http://en.wikipedia.org/wiki/Trusted_third_party trusted third party] to record and guarantee the transaction. The vast majority of conventional banking and electronic payment systems work this way. For instance in the PayPal system, PayPal is trusted to keep an accurate record of all transactions, including within the PayPal system, as well as transactions that move funds to and from PayPal. Within Bitcoin [[Redeemable_code|redeemable code]] systems exist where a third party, such as Mt. Gox, records codes issued and promise to redeem them for either new codes, balances within the system, or Bitcoins via on-chain transactions. In addition [[E-Wallet]] services such as [[Easywallet.org]] often allow users to transfer funds between addresses within the system without creating an on-chain transaction.

The difficulty with third-parties is achieving that trust. Outside of Bitcoin PayPal has been criticized<ref>[http://en.wikipedia.org/wiki/PayPal#Criticism PayPal - Criticism]</ref> for arbitrarily freezing accounts. Within Bitcoin multiple E-Wallet services such as [[MyBitcoin]] and [[Instawallet]] have failed due to hacks as well as technical mistakes resulting in the loss of some or all funds held on behalf of their customers.

=== Auditing ===

In addition to hacks, currently no trusted third party payment systems in Bitcoin provide any way for users to determine if the services actually hold the Bitcoins they claim to hold. Conventionally banks and payment processors are [http://en.wikipedia.org/wiki/Financial_audit audited] regularly by third-parties - because Bitcoin is based on cryptography auditing can be done in a cryptographically provable way.

Gregory Maxwell has proposed<ref>private communication on IRC (gmaxwell: do you have a writeup somewhere?)</ref> to use [[merkle-sum trees]] of accounts to audit funds held by third parties. Each account with the service is assigned a number, such as a SHA256 digest, and those digests are formed into a merkle tree. Additionally for every node in the tree the sum of the account balances on both leaves is computed, and that sum becomes part of the data hashed by the parent node. The tip of the tree is then the sum of all balances for all accounts.

The service proves they control the Bitcoins they claim to by signing statements with the private keys capable of spending transaction outputs present on the blockchain, and in addition regularly sign statements attesting what is the current tip of the account merkle-sum tree.

Clients check that their account is included in that tree by regularly demanding proof, in the form of a merkle path, that their account leads to the claimed tip. Any discrepancy is evidence of fraud on by the service, or at least poor record-keeping.

=== Proving Fraud ===

If the communication protocol between client and service is designed correctly fraud by the service can be proven to others. For instance if the service cryptographically signs all communications an inconsistency between the claimed merkle-tip of the accounts held by the service and the merkle-path from a particular account to that tip can be proven by providing the signed tip, and the signed merkle-path. This fraud proof can be self-authenticating, and thus anyone who comes in possession of such a proof can broadcast it to their peers. With appropriate software all participating clients of the service can be informed of any fraud immediately taking "advantage of the nature of information being easy to spread but hard to stifle" - a core concept underlying the security of Bitcoin itself.<ref>[http://sourceforge.net/mailarchive/message.php?msg_id=30482839 Satoshi]</ref>

== References ==

<references/>

Off-chain transactions

2013-07-10T10:59:27Z

Gladoscc:

An off-chain transaction is the movement of value outside of the [[block chain]]. While an [[Transactions|on-chain transaction]] - usually referred to as simply 'a transaction' - modifies the blockchain and depends on the blockchain to determine its validity an off-chain transaction relies on other methods to record and validate the transaction. Like on-chain transactions all parties must agree to accept the particular method by which the transaction occurs, the question then being, how can those parties be convinced that the movement of value has actually happened, will not be reversed, and can be exchanged in the future for something of value?

With an on-chain transaction those questions are answered by the parties faith in the Bitcoin system as a whole. For instance a transaction (after some number of [[Confirmation|confirmations]]) can only be reversed if a majority of hashing power agrees to reverse the transaction. The parties to the transaction are trusting that the majority of hashing power in existence is controlled by "honest" parties who will not attempt to reverse the transaction.

== Rational ==

On-chain transactions have disadvantages that make them unsuitable for some applications:

=== Speed ===

On-chain transactions take some time to accumulate enough [[Confirmation|confirmations]] to ensure that they can-not be reversed; accepting a transaction [[Zero-Conf Transactions|without any confirmations]] is potentially risky. Confirmations take time and the time they take to accumulate is random. Off-chain transaction systems can record that a transaction has happened immediately, and, subject to the guarantees of the system itself, immediately guarantee it won't be reversed.

=== Privacy/Anonymity ===

All on-chain transactions are recorded publicly on the block chain; Bitcoin transactions are not inherently [[Anonymity|anonymous]]. It may be possible for a third-party to use the block chain transaction data to determine the source and/or destination of a transaction if they can gather enough information linking addresses to identities. Because off-chain transactions do not happen on the block chain they need not be public. Using cryptographic techniques such as [http://en.wikipedia.org/wiki/Blind_signature chaum tokens] it can be made impossible for even the operators of the system itself to determine who participated in a transaction.

=== Cost/Scalability ===

Miners usually charge [[Transaction fees|fees]] to confirm a transaction. While currently the demand for transactions is sufficiently low that fees are relatively small, and transactions can often be confirmed for free, for many applications even paying a few cents per transaction is unaffordable.<ref>[https://bitcointalk.org/index.php?topic=156334.0 How to send BitCoins with LOW TX FEE (Not No TX Fee)]</ref> In addition Bitcoin currently has a limit of 7 transactions per second, the [[blocksize limit]]. This limit is related to the [[Scalability|scalability]] of the system as a whole, and one option to achieve higher transaction volumes is to keep the blocksize limit as is and use off-chain transactions for lower-value transactions; with higher volumes fees for transactions done on-chain will rise due to supply and demand.

Currently, [File:inputs.png|link=https://inputs.io]] [https://inputs.io Inputs.io] is the only offchain payment network that provides all three benefits.

== Methods ==

The most simple example of an off-chain transaction is perhaps two friends who agree on a debt between them. The "transaction" happens by the act of agreeing that the debt exists, and the validity of it is based solely on the trust that one friend has in the other. Further transactions can be agreed upon, possibly in exchange for something of value such one friend buying the other a meal. Multiple mutually trusting parties can participate, creating a network of value owed from one to the other. As an example the [http://en.wikipedia.org/wiki/Ripple_monetary_system Ripple monetary system] takes this concept, and adds to it an automated ledger to record all the mutual debts between participating parties. However actually acting upon those debts is still a matter of trust between the parties; the system only records debts and can-not by itself cause Bitcoins or some other object of value to change hands.

=== Trusted Third Parties ===

If the sender and recipient do not trust each other, or would simply prefer someone else record and guarantee the transaction, they can use a [http://en.wikipedia.org/wiki/Trusted_third_party trusted third party] to record and guarantee the transaction. The vast majority of conventional banking and electronic payment systems work this way. For instance in the PayPal system, PayPal is trusted to keep an accurate record of all transactions, including within the PayPal system, as well as transactions that move funds to and from PayPal. Within Bitcoin [[Redeemable_code|redeemable code]] systems exist where a third party, such as Mt. Gox, records codes issued and promise to redeem them for either new codes, balances within the system, or Bitcoins via on-chain transactions. In addition [[E-Wallet]] services such as [[Easywallet.org]] often allow users to transfer funds between addresses within the system without creating an on-chain transaction.

The difficulty with third-parties is achieving that trust. Outside of Bitcoin PayPal has been criticized<ref>[http://en.wikipedia.org/wiki/PayPal#Criticism PayPal - Criticism]</ref> for arbitrarily freezing accounts. Within Bitcoin multiple E-Wallet services such as [[MyBitcoin]] and [[Instawallet]] have failed due to hacks as well as technical mistakes resulting in the loss of some or all funds held on behalf of their customers.

=== Auditing ===

In addition to hacks, currently no trusted third party payment systems in Bitcoin provide any way for users to determine if the services actually hold the Bitcoins they claim to hold. Conventionally banks and payment processors are [http://en.wikipedia.org/wiki/Financial_audit audited] regularly by third-parties - because Bitcoin is based on cryptography auditing can be done in a cryptographically provable way.

Gregory Maxwell has proposed<ref>private communication on IRC (gmaxwell: do you have a writeup somewhere?)</ref> to use [[merkle-sum trees]] of accounts to audit funds held by third parties. Each account with the service is assigned a number, such as a SHA256 digest, and those digests are formed into a merkle tree. Additionally for every node in the tree the sum of the account balances on both leaves is computed, and that sum becomes part of the data hashed by the parent node. The tip of the tree is then the sum of all balances for all accounts.

The service proves they control the Bitcoins they claim to by signing statements with the private keys capable of spending transaction outputs present on the blockchain, and in addition regularly sign statements attesting what is the current tip of the account merkle-sum tree.

Clients check that their account is included in that tree by regularly demanding proof, in the form of a merkle path, that their account leads to the claimed tip. Any discrepancy is evidence of fraud on by the service, or at least poor record-keeping.

=== Proving Fraud ===

If the communication protocol between client and service is designed correctly fraud by the service can be proven to others. For instance if the service cryptographically signs all communications an inconsistency between the claimed merkle-tip of the accounts held by the service and the merkle-path from a particular account to that tip can be proven by providing the signed tip, and the signed merkle-path. This fraud proof can be self-authenticating, and thus anyone who comes in possession of such a proof can broadcast it to their peers. With appropriate software all participating clients of the service can be informed of any fraud immediately taking "advantage of the nature of information being easy to spread but hard to stifle" - a core concept underlying the security of Bitcoin itself.<ref>[http://sourceforge.net/mailarchive/message.php?msg_id=30482839 Satoshi]</ref>

== References ==

<references/>

File:Inputs.png

2013-07-10T10:54:54Z

Gladoscc: Inputs.io Favicon

== Summary ==
Inputs.io Favicon
== Licensing ==
{{self|GFDL|cc-by-sa-all|migration=redundant}}

Inputs.io

2013-07-10T10:50:28Z

Gladoscc:

'''[https://inputs.io Inputs.io]''' is a free Bitcoin eWallet that leverages it's own [[Off-Chain Transactions|off chain]] payment network. Inputs is one of the most secure web wallets on the market, with two factor authentication, location based email confirmation, client sided hashing, and a setup that prevents the hack of Bitcoins even if the web server was compromised.

Users do not need to download the blockchain to '''[https://inputs.io create a wallet]''', which makes Bitcoin easier to use. Transactions are mixed by default with no fee to provide anonymity.

Transactions between Inputs users and merchants carry no fee, no double spending risk, and confirms instantly. The API to integrate with Inputs is also much easier to implement, and there are no fees. [https://inputs.io Payment buttons] allows frictionless payments without the visitor having to leave the merchant's webpage.

Currently, Inputs.io is supported by the following sites:

Just-dice.com
BitsPoker.com
CoinLenders.com
Coinchat.org

Inputs.io is also a [[Bitcoin Foundation]] Silver member.

[[Category:Clients]]
[[Category:Frontends]]

Inputs.io

2013-07-10T10:49:31Z

Gladoscc:

'''[https://inputs.io Inputs.io]''' is a free Bitcoin eWallet that leverages it's own [[Off-Chain Transactions|off chain]] payment network. Inputs is one of the most secure web wallets on the market, with two factor authentication, location based email confirmation, client sided hashing, and a setup that prevents the hack of Bitcoins even if the web server was compromised.

Users do not need to download the blockchain to '''[https://inputs.io create a wallet]''', which makes Bitcoin easier to use. Transactions are mixed by default with no fee to provide anonymity.

Transactions between Inputs users and merchants carry no fee, no double spending risk, and confirms instantly. The API to integrate with Inputs is also much easier to implement, and there are no fees. [https://inputs.io Payment buttons] allows frictionless payments without the visitor having to leave the merchant's webpage.

Currently, Inputs.io is supported by the following sites:

Just-dice.com
BitsPoker.com
CoinLenders.com
Coinchat.org

Inputs.io is also a [[Bitcoin Foundation]] Silver member.

Inputs.io

2013-07-10T10:47:29Z

Gladoscc: Page creation

[https://inputs.io Inputs.io] is a free Bitcoin eWallet that leverages it's own [[off chain]] payment network. Inputs is one of the most secure web wallets on the market, with two factor authentication, location based email confirmation, client sided hashing, and a setup that prevents the hack of Bitcoins even if the web server was compromised.

Transactions between Inputs users and merchants carry no fee, no double spending risk, and confirms instantly. The API to integrate with Inputs is also much easier to implement, and there are no fees. [https://inputs.io Payment buttons] allows frictionless payments without the visitor having to leave the merchant's webpage.

Currently, Inputs.io is supported by the following sites:

Just-dice.com
BitsPoker.com
CoinLenders.com
Coinchat.org

Inputs.io is also a [[Bitcoin Foundation]] Silver member.

Off-chain transactions

2013-07-10T10:41:22Z

Gladoscc:

An off-chain transaction is the movement of value outside of the [[block chain]]. While an [[Transactions|on-chain transaction]] - usually referred to as simply 'a transaction' - modifies the blockchain and depends on the blockchain to determine its validity an off-chain transaction relies on other methods to record and validate the transaction. Like on-chain transactions all parties must agree to accept the particular method by which the transaction occurs, the question then being, how can those parties be convinced that the movement of value has actually happened, will not be reversed, and can be exchanged in the future for something of value?

With an on-chain transaction those questions are answered by the parties faith in the Bitcoin system as a whole. For instance a transaction (after some number of [[Confirmation|confirmations]]) can only be reversed if a majority of hashing power agrees to reverse the transaction. The parties to the transaction are trusting that the majority of hashing power in existence is controlled by "honest" parties who will not attempt to reverse the transaction.

== Rational ==

On-chain transactions have disadvantages that make them unsuitable for some applications:

=== Speed ===

On-chain transactions take some time to accumulate enough [[Confirmation|confirmations]] to ensure that they can-not be reversed; accepting a transaction [[Zero-Conf Transactions|without any confirmations]] is potentially risky. Confirmations take time and the time they take to accumulate is random. Off-chain transaction systems can record that a transaction has happened immediately, and, subject to the guarantees of the system itself, immediately guarantee it won't be reversed.

=== Privacy/Anonymity ===

All on-chain transactions are recorded publicly on the block chain; Bitcoin transactions are not inherently [[Anonymity|anonymous]]. It may be possible for a third-party to use the block chain transaction data to determine the source and/or destination of a transaction if they can gather enough information linking addresses to identities. Because off-chain transactions do not happen on the block chain they need not be public. Using cryptographic techniques such as [http://en.wikipedia.org/wiki/Blind_signature chaum tokens] it can be made impossible for even the operators of the system itself to determine who participated in a transaction.

=== Cost/Scalability ===

Miners usually charge [[Transaction fees|fees]] to confirm a transaction. While currently the demand for transactions is sufficiently low that fees are relatively small, and transactions can often be confirmed for free, for many applications even paying a few cents per transaction is unaffordable.<ref>[https://bitcointalk.org/index.php?topic=156334.0 How to send BitCoins with LOW TX FEE (Not No TX Fee)]</ref> In addition Bitcoin currently has a limit of 7 transactions per second, the [[blocksize limit]]. This limit is related to the [[Scalability|scalability]] of the system as a whole, and one option to achieve higher transaction volumes is to keep the blocksize limit as is and use off-chain transactions for lower-value transactions; with higher volumes fees for transactions done on-chain will rise due to supply and demand.

Currently, [https://inputs.io Inputs.io] is the only offchain payment network that provides all three benefits.

== Methods ==

The most simple example of an off-chain transaction is perhaps two friends who agree on a debt between them. The "transaction" happens by the act of agreeing that the debt exists, and the validity of it is based solely on the trust that one friend has in the other. Further transactions can be agreed upon, possibly in exchange for something of value such one friend buying the other a meal. Multiple mutually trusting parties can participate, creating a network of value owed from one to the other. As an example the [http://en.wikipedia.org/wiki/Ripple_monetary_system Ripple monetary system] takes this concept, and adds to it an automated ledger to record all the mutual debts between participating parties. However actually acting upon those debts is still a matter of trust between the parties; the system only records debts and can-not by itself cause Bitcoins or some other object of value to change hands.

=== Trusted Third Parties ===

If the sender and recipient do not trust each other, or would simply prefer someone else record and guarantee the transaction, they can use a [http://en.wikipedia.org/wiki/Trusted_third_party trusted third party] to record and guarantee the transaction. The vast majority of conventional banking and electronic payment systems work this way. For instance in the PayPal system, PayPal is trusted to keep an accurate record of all transactions, including within the PayPal system, as well as transactions that move funds to and from PayPal. Within Bitcoin [[Redeemable_code|redeemable code]] systems exist where a third party, such as Mt. Gox, records codes issued and promise to redeem them for either new codes, balances within the system, or Bitcoins via on-chain transactions. In addition [[E-Wallet]] services such as [[Easywallet.org]] often allow users to transfer funds between addresses within the system without creating an on-chain transaction.

The difficulty with third-parties is achieving that trust. Outside of Bitcoin PayPal has been criticized<ref>[http://en.wikipedia.org/wiki/PayPal#Criticism PayPal - Criticism]</ref> for arbitrarily freezing accounts. Within Bitcoin multiple E-Wallet services such as [[MyBitcoin]] and [[Instawallet]] have failed due to hacks as well as technical mistakes resulting in the loss of some or all funds held on behalf of their customers.

=== Auditing ===

In addition to hacks, currently no trusted third party payment systems in Bitcoin provide any way for users to determine if the services actually hold the Bitcoins they claim to hold. Conventionally banks and payment processors are [http://en.wikipedia.org/wiki/Financial_audit audited] regularly by third-parties - because Bitcoin is based on cryptography auditing can be done in a cryptographically provable way.

Gregory Maxwell has proposed<ref>private communication on IRC (gmaxwell: do you have a writeup somewhere?)</ref> to use [[merkle-sum trees]] of accounts to audit funds held by third parties. Each account with the service is assigned a number, such as a SHA256 digest, and those digests are formed into a merkle tree. Additionally for every node in the tree the sum of the account balances on both leaves is computed, and that sum becomes part of the data hashed by the parent node. The tip of the tree is then the sum of all balances for all accounts.

The service proves they control the Bitcoins they claim to by signing statements with the private keys capable of spending transaction outputs present on the blockchain, and in addition regularly sign statements attesting what is the current tip of the account merkle-sum tree.

Clients check that their account is included in that tree by regularly demanding proof, in the form of a merkle path, that their account leads to the claimed tip. Any discrepancy is evidence of fraud on by the service, or at least poor record-keeping.

=== Proving Fraud ===

If the communication protocol between client and service is designed correctly fraud by the service can be proven to others. For instance if the service cryptographically signs all communications an inconsistency between the claimed merkle-tip of the accounts held by the service and the merkle-path from a particular account to that tip can be proven by providing the signed tip, and the signed merkle-path. This fraud proof can be self-authenticating, and thus anyone who comes in possession of such a proof can broadcast it to their peers. With appropriate software all participating clients of the service can be informed of any fraud immediately taking "advantage of the nature of information being easy to spread but hard to stifle" - a core concept underlying the security of Bitcoin itself.<ref>[http://sourceforge.net/mailarchive/message.php?msg_id=30482839 Satoshi]</ref>

== References ==

<references/>