bitcoin hd wallet technologies part 1

@BLOCKTRAIL

Wallet TechnologiesPrivate Keys, HD Wallets & MultiSig

Ruben de Vries - CTO, BlockTrail@rubensayshi

2015 – the year of MultiSig and HD wallets

WIF: 5KW3g12hpQttWZxzKNkPmJUf54DaeUxXFsp7geC17ucZWHBnEZM

Private Key:100402822350638730077140100364632380311008641152049340601775951444488515499779

What is a Private Key?

- A really big number - between 1 and 2^256

115792089237316195423570985008687907852837564279074904382605163141518161494400

^---- ~ 11 with 77 0's 1000000000000

1000000000 One million -> 1000000

What is a Private Key?

- Private Key 1 - 1EHNa6Q4Jz2uvNExL497mE43ikXhwF6kZm

- Private Key int(sha256('to be or not to be')) - 1J3m4nneGFppRjx6qv92qyz7EsMVdLfr8R

What is a Private Key?

- Randomly generated

- Considered safe / unique

How do we create a Private Key?

- To iterate over all of them: - at 1 trillion (1000.000.000) keys / sec

- more than the age of the universe needed - cost: ~ 32 years of the sun total energy output

Why is a Private Key safe / unique?

Private Key → Public Key → ScriptHash → Address

How do we get the address?

- “asymmetric cryptography” - “elliptic curve”

- Private Key → Public Key is 'easy' - Public Key → Private Key is 'impossible'

Private Key → Public Key

EC secp256k1

“Easy to compute, hard to reverse”

“Easy to compute, hard to reverse”

Magic Byte: 00ScriptHash:38831f7d12670c137bf2c6ec0956376e5e141683 Checksum: e88e9d67

base58(00 ~ 38831f7d12670c137bf2c6ec0956376e5e141683 ~ e88e9d67)

Address: 169ovL3nmvTbuNQTc2hipHi8wQiq3EvUk6

Public Key → ScriptHash → Address

Ruben de Vries - CTO, BlockTrail@rubensayshi

2015 – the year of MultiSig and HD wallets