David Moskowitz - History of Digital Money, CSWGlobal14

A Brief History of Digital MoneyDavid Moskowitz

What is Money?

• Means of Exchange• Store of Value• Unit of Account• Easy to Divide and Transport• Low Cost to Preserve• Resistant to Counterfeiting

What is Digital Money?

• Electronic version of existing money system

• Purely digital entity, no physical start

Electronic Dollars

• Western Union (EFT) 1860

• Fed Reserve – Magnetic Reels: Late 1940’s

• Diners Club Credit Card 1960

• SABRE Reservation System 1964

• Digicash 1990

• Paypal 1998

Electronic Money - Commodity

• E-gold 1996 - 2007/09

• Liberty Reserve 2006 – 2011/13

Digital Money - Floating

• Air Miles 1980

• Linden Dollars (Second Life) 2005

• Amazon / Facebook

What is Bitcoin?

• Created in 2008, released 2009 ‘Satoshi Nakamoto’

• Public Ledger (The Blockchain)

• Decentralized “Trust”

What is Bitcoin?

• Public Ledger (The Blockchain)• Mining – verifies transactions• Adds last 10 minutes into a block• Adds that block to the ledger

What is Bitcoin?

• Public Key – your account number• Private Key – your key to get access/ownership

• Send to and from the public key• Can generate a near infinite number of public keys

What is Bitcoin?

• Currency/Payments is the first “App”

• Bitcoin the Protocol

Alternative Coins

Thank You!