Module 2 - Introduction to Cryptocurrencies Presentation by Debasis Bhattacharya

Currencies - Online Transactions
• Physical cash
• Non-traceable (well, mostly!)
• Secure (mostly)
• Low inflation
• Fiat Currency – legal tender whose value is backed by a government
• Note that since 1971, the US$ has no backing with gold!
• Cryptocurrencies are not fiat currencies!
• Physical currencies can’t be used online directly 
Electronic credit or debit transactions
Bank sees all transactions
Merchants can track/profile customers
Cryptocurrencies are not associated with any bank or regulatory agency!

Bitcoin
• A distributed, decentralized digital currency system
• Released by Satoshi Nakamoto 2008 
• Effectively a bank run by an ad hoc network
• Digital checks
• A distributed transaction log

Module 2 - Introduction to Cryptocurrencies Presentation by Debasis Bhattacharya