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At that time, sensors, RFID tags and efficient embedded processors were too expen- sive and required too much electricity. Wireless data transmission was only just beginning. It is different today: the mobile Internet is omni- present, and various transmission processes, such as Bluetooth, Zigbee and T-Wave, can now cover the last few metres between network and thing.
Depending on capacity, the requisite sensor chips cost between 50 cents and a few dollars — even the price of Bluetooth chips has fallen to a dollar since Meanwhile, it has even become possible to house slimmed-down web servers on such chips, the electricity consumption of which has fallen considerably. As a result, toasters and washing ma- chines, factories and underground carriages can now act as web servers.
All with their own website and their own web addresses. Thanks to the new Internet Protocol version 6 IPv6 , in future, there will be enough IP-addresses to allow every blade of grass on Earth to be a part of the Internet. By way of comparison, whereas IPv4 offered barely 4. Whilst the network provider Cisco estimates that by some 37 billion devices will be part of the Internet of Things, IDC market re- searchers reckon it will be billion — with a concomitant market value of 8.
It is already becoming clear that communica- tion between machines is altering how data is transmitted: in inter-machine communica- tion was responsible for 20 per cent of all data transmitted on the Net, excluding videos. Yet, our view that a computer performs tasks using locally installed programs is now long outdated.
In the past few years, computing power has migrated to the Cloud: into whole swarms of computers, which, together, process enormous quantities of data at breathtaking speed. The big IT giants, such as Amazon, offer cloud computing as a service, or, as Apple does with Siri, utilise the Cloud for their voice processing before pushing the results onto the end devices.
So behind every smartphone, there is now a virtual super computer. Parallel to this increase in computing power in the Cloud, algorithms have also made enormous progress. Today, data relating to transactions, measurements and pictures are scanned for patterns that even the best comput- ers of the 90s would have given up on.
This means that researchers can analyse protein networks, businesses consumer behaviour, and security firms photos taken by public security cameras. Their success is due to new efficient algorithms, for example from the field of computer-assisted learning. The Californian start-up Kaggle is driving developments with Big Data competitions that bring research and crowdsourcing together. Even the military are grabbing a piece of the action: Israel has a world-leading Big Data scene. On the other hand, 'brain computing' is an attempt to develop algorithms based on the brain, which may be slower but is a high-ranking parallel biological computer.
Consequently, cloud computing and Big Data are linked to a network intelligence that will soon be replayed over the Internet of Things into our environment — and will be omnipresent, ubiquitous and available. Too faffy, not intuitive enough, was the judgement of interface designers. And, in particular, not suitable for mobile data use. But that is by no means everything that is to come. The 'Internet of Everything', with its ubiquitous intelligence, is difficult to fit into a smartphone display.
Even more intuitive and, at the same time, more comprehensive access is desired — and already foreseeable. Google now combines them with a goggle-type display, which — on a spoken command — can even take pictures: in "OK glass, take a picture" went down in history as one of the catch-phrases of the year.
Goggles such as Google Glass, Meta Glass and Vuzix Smart Glass M are the first devices to prepare the mass market for extended-reality in- terfaces. Heads no longer have to turn and face the screen of a mobile end device in order to obtain information; the information now reaches the eyes of users as a discreet layer of information embedded in their field of vision.
A new reality is coming into being, in which cyberspace and surroundings are connected. And, via the network of interfaces that they are wearing, users themselves become a permanent part of the Net. Moreover, the production of bits is sexy. A whole generati- on is fascinated by apps, web applications and digital content, and it dreams of following in the footsteps of Steve Jobs, Sergey Brin and Larry Page, Mark Zuckerberg and other entrepreneurs of the Internet Age.
In contrast, since the 90s, the traditional production of things has been seen as stemming from yesteryear. Yet, nothing could be further from the truth. It has long been obvious that 'bits and atoms' are not objects. What began with computer-controlled machines has now become digital production: additive manufacturing turns data sets into new products, and information chains optimise the interplay of manufacturing plant and intelligent machinery.
The idea that bits could give rise to atoms be- gan in the 80s as rapid prototyping. Instead of producing expensive prototypes with traditional tools, they were built up in layers from plastic or metal powder in a new type of machine using a data model. The result is what, today, is causing a storm under the name of 3D-printing. The fact that nerds and DIY enthusiasts were also interested was originally thought ridiculous.
Even in traditional industries, there is a move towards digitalisation. The financial crisis has also toppled the idea that mature economies can rely on their service sectors alone. In order to keep ahead of the competition in Asia, manufacturing processes must use sensors, networked machines and new control algorithms to become 'smart factories'.
Products become 'cyberphysical systems', which communicate with assembly lines and surroundings and, thus, make it possible to record their life cycle. With 'Industrie 4. In fact, people initially feared that this artificial worker would make humans superfluous. Today, manufacturing robots are omnipresent — but even they are only one step along the path to autonomous systems on which business, society and not least the military are becoming ever more reliant.
The early manufacturing robots on the conveyor belts of the 70s pale into insignificance when compared with those of today, which already have incredible contextual knowledge and the ability to make decisions. This is all made possible thanks to progress in sensors, motoricity, computer-assisted learning and knowledge representation.
Lawn- mowers and vacuum cleaners are only the simplest examples of robots. Freight robots, such as those developed by Boston Dynamics for the US armed forces, carry several hundredweight of equipment safely over the most impassable terrain. A new generation of industrial robots no longer operates in restricted areas, which were needed to prevent injury to human beings.
Tactile sensors enable them to 'feel' non-living and living obstacles and to stop moving for a moment. Robots learn alongside their human counterparts, and are becoming more and more like colleagues. In view of demographic change and the concomitant ageing population, forecasts predict a huge market for care robots. Starting in Japan, which was drawing up a roadmap for this type of robot as early as the s, the first models are already in use in retirement homes and hospitals.
There, they carry patients who would be too heavy for staff, or even assume the role of a nimble-fingered surgeon. However, not all autonomous systems use hard- ware. The Net is overrun with software agents as pure data sets. There, they are already taking over customer services as voice-activated inter- faces or placing orders to buy and sell as part of electronic trading systems.
Combined with Big Data and the Cloud, they can utilise data sets that are too large for any human to compre- hend and can use algorithms to make decisions at a rate far beyond the ability of any human. If the computer was then a not particularly exciting tool for office and research work, today, as a smartphone, it is both a status symbol and an interface for accessing the mobile network.
It links people with a permanent data stream. This digital lifestyle has already turned whole industries upside down, above all the music and media sector, which has been forced to depart from its old business models. Tourism and transport are also facing an increas- ingly steep uphill battle because the digital lifestyle is widening out to encompass the sharing economy.
Who needs a taxi or a hire car if car-sharing services such as Autonetzer and websites such as Uber. And remember, in principle, anything that can be bought or sold over the Internet can also easily be found using a suit- able app, which may even build a community of like-minded people around the sharing service. However, the digital lifestyle is no longer limited to relationships and services.
In the quantified-self movement, it applies to the body. With apps and wearable sensors, users carefully measure their own health and sensitivity. Providers of health services and insurers are extremely interested in this information. Those who voluntarily pro- vide figures for their blood pressure and fitness levels may soon benefit from lower tariffs and insurance premiums. Health economists expect that, in the next few years, medical care will be provided not by GPs but by smartphones, lead- ing to a huge drop in administrative expenses.
In contrast, users have not yet fully accepted the idea of the smart home. Although there are still gaps in demand, in general, the mar- ket has really taken off. A multitude of apps and devices to control the smart home are already on the market. And the major utility companies and Internet providers are already champing at the bit, impatient to promote the market.
The takeover of the thermostat manufacturer Nest by the Internet giant Google is a clear indication of this trend. Sharers often both offer and want things, thereby promoting innovation. Those who react to requirements can quickly expand their business, as shown by the example of Airbnb. Henry David Thoreau popularised it in his biography, Walden, back in the middle of the 19th century. One hundred years later, it was the conflict with the post-war consumer society that encouraged a new independent spirit, which extended beyond the realm of traditional DIY.
It was expressed in alternative cultures, in particular the hippy and, later, the punk movements. In the 80s, it got a foothold in software development; the idea of freely accessible and usable computer programs gave rise to the open-source software movement.
Meanwhile, machinery is also entering the fray as open hardware. Initial designs, such as DIY 3D printers, which have their origins in the RepRap project, and the Arduino Controller, are about to enter the mainstream. A number of other concepts, such as the DIY phone, are also being developed. It may even make good business sense, but this is not so much a traditional producer—consumer relationship as a business economic system in which the boundaries between producers and consumers become blurred and operators become 'prosumers'.
The new spirit of autarchy also creates its own digital currencies for use in these economic systems. If they want, the new prosumers can pay in Bitcoins, OpenCoins or other virtual currencies. These new forms of payment are also a reaction to the recent financial crisis, which has eroded trust in the banking system.
Instead of being held in reserves by a virtual central bank, the new digital money is created using cryptographic algorithms. In the urban-gardening movement, it has given rise to the collective production of plant foods; unproductive urban spaces are occupied, and inner-city sites are transformed. In the energy sector, the spirit of autarchy got its foot in the door long before the transition to renewable energy.
Municipal windfarms and lucrative feed-in subsidies for solar panels on private houses have made a consider- able contribution to the rapid rise in renewables in Germany during the past 15 years — a develop- ment that has also been noticed in the USA and elsewhere, and is becoming more widespread there too.
The Maker Movement also includes designers, IT experts, electricians and architects. As well as distributing software on platforms such as Github and Sourceforge, they also offer designs for objects and devices on Thingiverse and Fabster. The principle of open innovation applies. Each type of big business is looked at critically by its customers. The former drives customers to competitors, the latter costs money.
Starting in Japan, lean production became es- tablished in the 70s as a solution to this apparent contradiction. What should you do then if, in an extreme case, you only receive one order for a special product? The real-time economy now combines lean production, networked logistics and mass customisation to offer an unprecedented level of flexibility and instantaneous range of goods. Amazon is leading the way in the retail sector.
Thanks to clever warehousing technology and in- ventory management techniques that comply with all the rules of Big Data, overnight delivery is now standard, and same-day delivery is on its way. That drives the competition. At the same time, the real-time economy offers the opportunity to give manufacturers feedback as and when customers use their products.
Instead, manufacturers are increasingly turning into providers of services, helping cus- tomers to fulfil their requirements. For example, fitness apps and sensors based on the ideas of the quantified-self philosophy will only be successful in a highly competitive and dynamic market if they provide more than just measure- ments.
The US motor-insurance company Allstate Insurance is already doing just that. It attracts customers with the promise: Safe drivers save more with Drivewise. This is how the new real-time economy is redefining customer relations. The proximity of universities, venture capital and urban life offers the ideal breeding ground for new ideas, not all of which will succeed.
This risk-taking culture cannot be transplanted just anywhere top-down: it grows from the bottom-up, if the mixture is right. Since then, it has also succeeded in such varied places as Berlin, which experts see as the next start-up-centre in Europe, and Nairobi, where an innovatory scene has grown up around the iHub and from where it is radiating out across the whole of Africa.
The 'blue marble' came to symbolise the burgeoning environmental movement for the spaceship named Earth, which flies through space with limited resources. The oil crises of the 70s and the growing certainty about climate change finally put resource efficiency on the agenda. Digitalisation has the potential to dematerialise numerous processes and, thus, reduce green- house-gas emissions and save on raw materials.
E-mail is used instead of snail-mail. Instead of jetting around the world to meetings, participants use videoconferencing without leaving their offices. By using its own videoconferencing system, Cisco has already reduced CO2 emissions from internal business flights by 45 per cent, and more and more international companies are following its example. Industrial production is slowly but steadily reduc- ing its ecological footprint.
The car industry is one example. Between and , Volkswagen reduced the average amount of energy it used for manufacturing cars by 14 per cent and the con- comitant amount of water used by ten per cent. Yet, it is not only industry that is improving the resource efficiency of its processes; agriculture is also turning to 'precision farming'.
Satellite pictures and sensors provide valuable data for optimising the use of irrigation and fertilizers. This helps to prevent wasting water and applying too much fertilizer. However, the speed at which digitalisa- tion increases resource efficiency also depends on the lifecycles of products. The shorter they are, the sooner they eat up gains in efficiency, since too many new products are coming onto the market too swiftly.
The effect of the reduction in the size of the ecological footprints of individual products is cancelled out by the growing ecolo- gical footprint of total production. To what extent digital networking can contribute to the development of sustainable consumption and lifestyles is currently the subject of intensive discussion.
If, instead of a one-size-fits-all use-by date on packaging, integrated sensors were to ascertain the actual condition of food, it would be an important stage in the fight against food waste in industrialised counties. Another approach could be the intelligent networking of transport companies to optimise individual travel, making it more environmentally friendly at the same time.
What still sounded like a bold thesis then, is, today, be- coming reality, with critical consumers using the Net to exchange views on the advantages and disadvantages of products in next to no time. The innovation that they generate in this way extends far beyond technical novelty. It affects corporate culture and the way companies communicate.
September 11, , was one such an event, though. The attacks on the World Trade Center in New York radically altered the way we thought about security in the new millennium. The security industry helped to turn the subsequent 'war on terror' into a boom: the scale of the monitoring of communications and also of public spaces is unprecedented.
The West is using Big Data, face-recognition and semantic analysis in an attempt to understand the level of the threat from outside. Authoritarian regimes, such as China and Iran, are also using these methods to ascer- tain the internal threat to their powerbases. As states employ increasingly high-tech methods against their perceived enemies, they are actually creating a paradox: the use of ever more elaborate IT systems increases the scope for cyberattacks by criminals or secret services.
The same applies to infrastructure and companies; in order to become more efficient and faster, they must increase the level of networking — in doing so, though, they provide the first lines of attack, which previously did not exist. The Stuxnet worm, which made headlines in , was designed for equipment that was physically separated from the network.
However, on the 'Industrial Internet', every convey- or belt and every water pump is online. The search engine Shodan is already helping to find devices of all kinds that are hidden from one another but which can be accessed via an Internet connection. The need for security and the feeling of being under threat are increasing in society at large too. Parents use tracking systems to ensure that their little ones really are in the playground. Monitor- ing systems reassure the elderly that, if they have a heart attack, the emergency doctor will auto- matically be notified.
Networked cars prevent drivers whose attention is diverted from making mistakes, thereby preventing accidents. And it is, again, true that the more the use of network- ing increases, the greater the danger of misuse whenever data are manipulated. As part of ongoing feedback processes, grow- ing levels of technicalisation conjure up fears that were once vividly depicted in many science- fiction novels: life in a Big Brother state, the powerlessness of man against the machine.
Technology threatens to become independent because, on the one hand, it provides security, but, at the same time, it generates new feel- ings of uncertainty. Keeping these contradic- tions in check is one of the major challenges facing the hyperlinked world of tomorrow. They are seen as too circumspect and risk- averse. That is simply not fair. Whether wind turbines, telematics systems, microprocessors or household devices, numerous innovations that alter our daily lives come out of the engineering laboratories of indus- try and research year after year.
Calmly, expertly and resolutely, traditional engineering culture is working on the future. Unlike makers and founders it continues to rely on patents to protect its innovations, yet even it has accepted open innovation. Data services are entering spheres that, up to now, have not been or have hardly been touched by digitalisation — particularly in the areas of the smart home, smart assistance, urban networking and smart farming.
Data services also combine online and offline worlds to provide new experiences such as hybrid shopping and cloud working. They also make greater use of existing information technology as part of an augmented lifestyle, integrated transport or within the smart factory. These process are demonstrated by various trends in the nine application fields, as shown by the Reality Check.
They go to shops for advice but then buy things more cheaply online. However, there has been a reverse in this trend in British retailing thanks to 'RoBo' — Research online, Buy offline. Customers search for vegeta- bles, milk, meat or ready meals on the website of the Tesco chain of supermarkets — keeping a careful lookout for special offers, and then send their orders to the company, telling it what time they will call at their nearest branch.
They collect their basket of purchases on their way back from work during the designated 'collection slot'. No crowds round the shelves, no queues at the checkout in rush hour. CASE 2 Paypal Beacon — An easy way to pay Whilst retailers are going in for online shopping, traditional online service providers are discover- ing the world of real shops.
The PayPal payment system has done some point-of-sale analysis and developed a system to make paying at a checkout even more efficient. Cashless payments may be convenient, but using PINs or signing slips of paper holds things up. The rest works exactly the same as when buying online using PayPal. With million users in 92 countries, this payment service is likely to be introduced in major cities.
Ever since e-commerce took over our daily lives in the 90s, people have been seeing the writing on the wall for the traditional retailer. Online and offline shopping are increasingly blending into a seamless experience, because data-supported networked processes are standard in both worlds. In this way, the retailer becomes the delivery point, where not even a credit card is needed any longer.
However the data wrist band Fitbit Flex always tells the truth. It counts the steps that the wearer takes in a day and, using a body profile, calculates the number of calories burned. The gadget also records how many minutes the wearer has moved during the day, phases of sleep and the short periods of wakefulness during the night. The Fitbit itself also provides feedback: a row of LEDs indicates whether the user has been sufficiently active during the day or has been taking things too easy.
With news blended into the field of vision and voice-controlled photography, they have only just cracked the potential for this new type of device. By contrast, the start-up Meta is about to redefine how we view our daily lives. Its goggles, modestly named Meta Glass 0. Gesture recognition enables them to work on objects hovering in space with their own hands. In this way, reality and virtual reality blend into a seamless sensory experience.
Technology aficionados are ecstatic. Meta obtained twice as much start-up capital from crowdfunding on Kickstarter than it expected. The first samples will be supplied to the Crowd in November. If the start-up carries on at this rate, Meta Glass 1. The mobile Internet on the smartphone has taken over our daily lives, yet new types of device are now spinning a digital cocoon around the user.
They broaden the digital lifestyle using apps, monitor health, and open up completely new ways of interacting with online content. The universal interface with the cyborg factor is fast approaching. Thermostats with time switches were, initially, the solution to the problem. The US company Nest, which now belongs to the Google Group, is now bringing the thermostat into the Internet of Things, giving it built-in intelligence.
If the occupants are away, Nest ensures the temperature remains at an energy- saving level. The Nest app also enables the user to operate the intelligent thermostat remotely. A green leaf on the screen also shows whether Nest is saving more energy than the manual settings would. This helps the user to learn, too. The intention was honourable: even if a lot of people leave their lights on, not so much electricity is wasted with energy-savings bulbs.
A control unit is located in the bulb holder, which can be controlled using the traditional WLAN-standard In this way, the lighting in homes or offices can be controlled from a single location using a smartphone app. Other companies, including Philips, have developed this solution But the LIFX Bulb is the first that can communicate directly with mobile end devices. Up to now, it has been impossible to sell the idea of the fully networked home.
The vision of manufacturers for the communicating refrigerator propagated at the end the 90s has not yet reached the mass market owing to a lack of interfaces and standards. Since then, mobile Internet and digital entertainment, as well as rising energy prices, have all made the idea attractive, and thanks to control apps and omnipresent sensors it is also easy to market to consumers.
In the age of fastfood and readymeals — eaten whilst watching TV or standing in a sandwich bar during a short break from work — this advice falls on deaf ears. A Frenchman no surprise there! If you still try to gobble down your food, the fork vibrates. An ARM microcontroller, a USB interface and a battery also make the eating implement a diagnostic tool, which collects information about eating habits.
The information can be evaluated if required or also transmitted to medical equipment. CASE 2 Zookal — Flying textbooks The general public considers drones, that is to say autonomous flying devices, to be a particularly objectionable type of new military technology.
However, they can also have civilian uses as a form of transport in the logistics sector. Whilst the pizza-copter in London and the cake drones in the Chinese city of Dongguan are still just a publicity stunt, the Australian company Zookal has an intelligent application. From Sydney, their flying devices deliver textbooks to borrowers within the shortest possible time.
Until now, overland deliver- ies have taken days. Amazon also wants to get into using drones for deliveries in The US company Matternet is going in another direc- tion, though. It hopes small transport drones can deliver medicines to regions that are difficult to reach. A test flight has already been undertaken in Haiti. Networked devices can also provide vital assistance, whether by supporting a healthier lifestyle that transcends the trendy quantified-self movement or helping in situations where it is just not possible to provide other forms of assistance.
And, what is more, It is not just the older generation that will benefit. But they mean more than just working on the same documents. Projects require joint planning, exchanging experiences, developing ideas and team management. People Cloud from Saba is a system that combines such a platform with active knowledge management and social network functions. With , or more mobile and often freelance colleagues, it is no longer possible for one person to have an overview of the whole input into the workflow.
Intelligent algorithms ensure that all participants in the system, whether on an island, in a city or in a hotel, receive updates from People Cloud tailored to their profiles. As on social networks, colleagues can comment on and like posts. The system calculates a People Quotient pQ for each participant, which provides a ranking according to ability, expertise and creativity.
CASE 2 Double — Omnipresence for all Videoconferencing is becoming more and more important as the size of the mobile workforce increase, but it is also a means of avoiding unnecessary journeys. Double Robotics has developed a different solution to traditional videoconferencing systems: a cross between the Segway two-wheeled personal transporter and an iPad — the 'Double'. It functions as a sort of avatar in the office. Mobile employees use an app to log into a Double at the location where face- to-face communication is required.
Colleagues can then see them on the iPad screen, and they take part in the discussion via the iPad camera. As the Double can be controlled remotely, it can follow colleagues around the office, even during breaks. The device has been on the market since May The office avatar costs 2, US dollars, but luckily several employees can share it. The boom in mobile working continues.
By , 1. It is becoming more and more important for companies to select and coordinate cloud-workers carefully. At the same time, co-working spaces are increasingly extending into the Cloud. Your own car in the city? Stressful and expensive. Trans- port can be really sustainable if various different types are combined, ideally networked through the use of apps. The Berlin start-up MeMobility is providing just that.
Four different people of- fering to share their cars are located, and the nearest car is immediately booked. MeMobility bundles data streams together for the customer in a single interface, and is an efficient interme- diary between market participants and custo- mers. Hired bicycles and local transport are also shortly to be integrated into the system. And autonomous driving systems are also planned for the long term, too.
MeMobility then deals with payment for the method of transport used. CASE 2 Transport robots Ropits Hitachi They were already around in the science-fiction films of the 70s: driverless taxis that took passen- gers to their destination all by themselves. The Japanese electronics group Hitachi is working on making this futuristic vision pay.
The prototype is called 'Ropits' short for 'Robot for Personal Intelligent Transport System' , and is already being tested in the research town of Tsukuba. As with the autonomous vehicles being developed by Google and BMW, the Ropits is also equipped with a GPS, gyroscope, laser distance sensors and cameras, enabling the driving robot to model the surroun- dings live in 3D. The system operates in a similar way to city bikes: when passengers get into the vehicles, which look a bit like squashed Smart cars, they can select a 'specified arbitrary point' on the display.
The Ropits then navigate their way there independently, driving around unknown obstacles. The age of personal transport propelled by fossil fuels is coming to an end, albeit slowly, since the post-war, car-friendly town cannot be dismantled overnight. If cleverly networked, eco-friendly transport will attract more and more customers.
The US company Echelon, which also runs a development centre in Bielefeld, is setting about changing that. Networking street-lighting using power-supply lines by means of a power-line datalink allows mu- nicipal authorities to switch street lights on and off, or to dim them as required, either individually or in groups. It is obvious how useful this is; Oslo has reduced energy consumption for street-lighting by 62 per cent using this technology.
The Echelon system is already in use in towns worldwide. China wants to install half a million intelligent street lights by , and expects to make an energy saving of 55 per cent. A strike by refuse- collectors in a city such a Naples can swiftly turn into a medium-size disaster. So, why not make refuse collection easier by getting rubbish bins to help out?
Big Belly Solar, the US company founded in , has developed solar-powered bins for collecting separate types of waste, which measure how full they are and transmit the in- formation to control software. The improvement in efficiency is considerable, as the case of the University of Washington in Seattle shows. The old campus rubbish bins used to be emptied once or twice a day, irrespective of how full they were.
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I personally use Changelly for their competitive exchange rates and viewable transaction history for tracking. If you have altcoins, then you can buy bitcoins in seconds with no verification. Sometimes you can be identified by your IP or through the private wi-fi which you are using. Or you might accidentally disclose your Bitcoin public address online somewhere. In the near future, CoinSutra is preparing to share some more proven ways of dealing anonymously with Bitcoin.
So keep checking back for all the latest tips and tricks! Harsh Agrawal is the Crypto exchanges and bots experts for CoinSutra. He has a background in both finance and technology and holds professional qualifications in Information technology. After discovering about decentralized finance and with his background of Information technology, he made his mission to help others learn and get started with it via CoinSutra. Valuable information and excellent information got here!
I would like to thank you for sharing your thoughts and time into the stuff you post!! Thumbs up. Your email address will not be published. Save my name, email, and website in this browser for the next time I comment. Notify me of new posts by email. A race attack is one -- where at the time of purchase two transactions using the same bitcoin are sent. The first spend transaction is sent to an address the attacker controls, but is announced only to nodes of miners.
At about the same time milliseconds a second spend attempt is sent to the merchant's bitcoin address and is announced to a wide number of nodes. The hope by the attacker is that the second transaction beats the first in getting relayed to the merchant's node. In a way then, the second spend was an attempt to perform a counterfeit bitcoin transaction, and there is some well above zero likelihood of it being technically successful.
You can not copy bitcoins because there is nothing there copy. A bitcoin is not a file nor an object. It is a simple number associated with an address. The blockchain dictates which addresses contain which coins. Note that this doesn't apply to physical objects that represent bitcoins, such as bitbills. You can try to recreate a bitbill just like you can try to recreate a dollar bill.
The security measures employed by the bitbills' manufacturer have nothing to do with Bitcoins. Bitcoins can be "counterfeited" if an impostor coin is misrepresented to be the real thing. In addition to what is listed here:. A local instance of the Bitcoin network can be created, and as long as it doesn't communicate with the rest of the world, the coins will last in isolation in that private bitcoin network. Only Physical Bitcoins can be Counterfeited currently. It would be extremely expensive to counterfeit a Virtual coin.
Sign up to join this community. The best answers are voted up and rise to the top. Can bitcoins be counterfeited? Ask Question. Asked 9 years, 5 months ago. Active 3 years, 5 months ago. Viewed 48k times. Improve this question.
Lohoris No question is too basic for an SE site. We want to be reference material, we don't accomplish that goal by telling people to RTFM. Feb 15 '12 at Lohoris I re-iterate. We want this site to be reference material. When someone has a basic question and searches for it on Google, we want to be the first result. How can we do that if we discourage simpler questions? Upvoted to undo Lohori's unjustified downvote.
This is an interesting question and certainly not too basic. Show 4 more comments. Active Oldest Votes. Improve this answer. Just a slight correction--not every client has a copy of this list. The BitCoin network was designed from the beginning to allow for thin clients who don't download the whole blockchain and just rely on the pieces they need. If the list is secured by mining, which has to occur long after the actual transaction, and if thin clients don't have access to the whole list, then wouldn't a double-spender or times-spender have a lead time to convert their BTC into another currency and get away with massive fraud?
Kevin Laity This type of attack is why people accepting bitcoins typically wait for at least 6 confirmations additional blocks before completing a transaction. Some wait for as many as A double spend will eventually be rejected and the block that includes that spend will be ignored, essentially treated as if it had never happened. So if for example you accept 1btc for your used car, and you give away your car without waiting for any confirmations then yes, it's possible you will lose your car and your btc.
Add a comment. As others have said "copying a bitcoin" is trivial but of no value. Your wallet consists of addresses and each of those addresses has a certain value. Chris Moore Like your answer especially for explaining the abstraction the wallet poses.
Now over 2. David Schwartz David Schwartz
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