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Bitcoin explained

51 points| sktrdie | 12 years ago |lucaa.org | reply

18 comments

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[+] nwh|12 years ago|reply
This post is unfortunately incorrect.

> If, say, there’s 50 computers in the network and you’re only connected to 5 who happen to be attackers, they could tell you that you only have 5 coins instead of 20.

No node ever "tells" any information to another. They only pass blocks, blocks either are valid or invalid. If they are valid and part of the main chain, they are the truth. No node ever communicates the balance of a wallet directly, that's the local nodes responsibility.

There is no trust in Bitcoin, that's the entire point.

[+] sktrdie|12 years ago|reply
> No node ever "tells" any information to another.

Yes it does. Nodes "broadcast" information to other nodes. And by information I mean blocks of course. Wanted to keep it as jargon-free as possible.

> There is no trust in Bitcoin, that's the entire point.

This is unfortunately incorrect. You, as a Bitcoin user, require 50% or more trust that the honest nodes in the network can generate blocks at a faster pace than the attackers.

If for whatever reason an attacker generates blocks at a faster pace than the entire network, they could attack you by invalidating your latest payments (simply not accepting them in the block).

[+] aianus|12 years ago|reply
There's no way to know what the main chain is if you're only connected to attackers who are relaying blocks from a fork.
[+] jayfuerstenberg|12 years ago|reply
This would have been better with the title "Bitcoin Trust and Authentication Explained"
[+] michaelchum|12 years ago|reply
Very good initiative to explain Bitcoin, a lot of people like myself don't understand how this obscure currency works. Perhaps you should should further include P2P and how mining works!