Bitcoin Protocol as a Disruptive Technology

April 2, 2013

Jonathan Nafarrete - 10 Minute Agency PitchINTERNAL

What is Bitcoin?

• First decentralized peer-to-peer payment network and digital currency !• Users send and receive bitcoin using wallet software

!• Bitcoin uses cryptography to control the creation and transfer of

money

NOT about bitcoin = Digital currency !YES about Bitcoin = Peer-to-peer payment system

That’s it! !You now know more than 99% of the world

Maybe

!

Bitcoin has been 300 years in the making… !

• Elliptic curve key algorithms • Hash functions • Digital signatures • Hash cash scheme as proof of work • Peer to peer networking

Bitcoin is one of the greatest technology inventions of the past decade. !

Never before in human history have humans possessed a form of money which could not be confiscated, counterfeited, inflated, and could be sent across the world for practically nothing.

And you can’t uninvent Bitcoin

Just remember

Bitcoin is like cash for the Internet !You transfer it to and from an address !Math protects and secures everything

I’ve heard things…

Hacked Lost Stolen Crashed Dead

These are still the early days for Bitcoin !!Amateur hour is almost over

2010!!2011!!2012!!2013!!2014

We’ve seen this before

Near Term Growth Risk for Bitcoin

• State sponsored cyber attack • Restrictions/capital control

Global Bitcoin computing power 256 times faster than top 500 supercomputers combined

• Regulation/Classification

So why are some people so passionate about Bitcoin?

Real Problems !

• Consumer data protection • Lack of trust in banks • Government monitoring • Cyprus / Venezuela / Brazil / Ukraine • Capital controls (China) • Remittance friction

Real Opportunities !

• Limited bitcoin supply (21 M) • Unbanked internet (2.5 Billion) • Network effect growth (70k) • International / e-commerce

So what do I see in the future?

In the past 3 months we have seen…

2014

• Browser of Bitcoin • Embedded Tipping Links • Multiple Recipient Payments • Shop via Print/Video • Insurance Backed Deposits • Micropayments (<$.99) • POS Support

Lord&Taylor

2015

• Bitcoin ETF • Wearables • Crowdsourced Funding / IPO • Smart Contracts / Notary Service • Paywall / Continuous Payments! • Ala Carte Entertainment - Netflix • Virtual World Payments (VR)

The Way Future

• Machine Payments • Decentralized Autonomous Corporation

Fun Fact !Cryptocurrency dates back to the 13th Century when the Knight’s Templar used coded ciphers to transfer money between cities