Has Bitcoin Achieved the Characteristics of Money?

Encyclopedia of Information Science and Technology, Fourth Edition ◽

10.4018/978-1-5225-2255-3.ch242 ◽

2018 ◽

pp. 2784-2790

Author(s):

Donovan Peter Chan Wai Loon ◽

Sameer Kumar

Keyword(s):

Financial Institutions ◽

Peer To Peer ◽

Third Party ◽

Pricing Mechanism ◽

Goods And Services ◽

Peer Network ◽

Peer To Peer Network

Bitcoin is a peer-to-peer network that facilitates transactions between parties minus the proof requirement of an appointed third party; i.e. banks or financial institutions. Accurate understanding into the implementation of bitcoin can be acquired from data of the universal record of bitcoin transactions. Although, data from numerous websites show that bitcoin daily transactions count has reached capacities of tens of thousands, it is widely believed that most of these transactions comprise of activities between speculators, and only a few are actually used for trading of goods and services. The paper looks if bitcoin has achieved the characteristics of money. For it to survive, bitcoin must overcome the problems of its unconventional pricing mechanism, shortage of vendors who accept it, and the circuitous way of obtaining it.

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Has Bitcoin Achieved the Characteristics of Money?

Advances in Marketing, Customer Relationship Management, and E-Services - Advanced Methodologies and Technologies in Digital Marketing and Entrepreneurship ◽

10.4018/978-1-5225-7766-9.ch019 ◽

2019 ◽

pp. 246-254

Author(s):

Donovan Peter Chan Wai Loon ◽

Sameer Kumar

Keyword(s):

Financial Institutions ◽

Peer To Peer ◽

Third Party ◽

Pricing Mechanism ◽

Goods And Services ◽

Peer Network ◽

Peer To Peer Network

Bitcoin is a peer-to-peer network that facilitates transactions between parties minus the proof requirement of an appointed third party (i.e., banks or financial institutions). Accurate understanding into the implementation of bitcoin can be acquired from data of the universal record of bitcoin transactions. Although data from numerous websites show that bitcoin daily transactions count has reached capacities of tens of thousands, it is widely believed that most of these transactions comprise activities between speculators and only a few are actually used for trading of goods and services. The chapter explores if bitcoin has achieved the characteristics of money. For it to survive, bitcoin must overcome the problems of its unconventional pricing mechanism, shortage of vendors who accept it, and the circuitous way of obtaining it.

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Unobtrusive monitoring: Statistical dissemination latency estimation in Bitcoin’s peer-to-peer network

PLoS ONE ◽

10.1371/journal.pone.0243475 ◽

2020 ◽

Vol 15 (12) ◽

pp. e0243475

Author(s):

David Mödinger ◽

Jan-Hendrik Lorenz ◽

Rens W. van der Heijden ◽

Franz J. Hauck

Keyword(s):

Bayesian Model ◽

Large Scale ◽

Risk Estimation ◽

Peer To Peer ◽

Third Party ◽

Network Resources ◽

Connection Number ◽

Peer Network ◽

Time Required ◽

Peer To Peer Network

The cryptocurrency system Bitcoin uses a peer-to-peer network to distribute new transactions to all participants. For risk estimation and usability aspects of Bitcoin applications, it is necessary to know the time required to disseminate a transaction within the network. Unfortunately, this time is not immediately obvious and hard to acquire. Measuring the dissemination latency requires many connections into the Bitcoin network, wasting network resources. Some third parties operate that way and publish large scale measurements. Relying on these measurements introduces a dependency and requires additional trust. This work describes how to unobtrusively acquire reliable estimates of the dissemination latencies for transactions without involving a third party. The dissemination latency is modelled with a lognormal distribution, and we estimate their parameters using a Bayesian model that can be updated dynamically. Our approach provides reliable estimates even when using only eight connections, the minimum connection number used by the default Bitcoin client. We provide an implementation of our approach as well as datasets for modelling and evaluation. Our approach, while slightly underestimating the latency distribution, is largely congruent with observed dissemination latencies.

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A Decentralized E-Voting System Based on Blockchain Network

International Journal of Innovative Technology and Exploring Engineering - Special Issue ◽

10.35940/ijitee.l3815.1081219 ◽

2019 ◽

Vol 8 (12) ◽

pp. 3650-3652

Keyword(s):

Peer To Peer ◽

Third Party ◽

Electronic Voting ◽

Smart Contracts ◽

Blockchain Technology ◽

Peer Network ◽

Voting System ◽

Electronic Voting System ◽

Peer To Peer Network

This paper describes a decentralized electronic voting system using blockchain technology with peer-to-peer network rather than the centralized voting system of server-client structure. In the proposed system, an Ethereum-based private blockchain network is configured and decentralized applications are implemented to store and distribute voting data to all nodes participating in the network to create secure and reliable electronic voting system. Smart contracts for electronic voting are implemented using the Solidity language and distributed to a configured network so that all users can view and vote on elections, and voting data are shared and contrasted by all users in the network, which makes it possible to build a safer and more reliable electronic voting system without third party involvement.

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Bitcoin sebagai Alat Pembayaran Online dalam Perdagangan Internasional

Perspektif Hukum ◽

10.30649/ph.v16i1.47 ◽

2016 ◽

pp. 122-138

Author(s):

Dwikky Ananda Rinaldi ◽

Mokhamad Khoirul Huda

Keyword(s):

Open Source ◽

Financial Institutions ◽

National Economy ◽

Financial Sector ◽

Peer To Peer ◽

Raw Material ◽

Peer Network ◽

Economic Need ◽

Electronic Coin ◽

Peer To Peer Network

The growth of national economy encourages a significant change in the financial sector, especially a means of payment. Starting from the barter, the means then changes to be the goods or commodities, and finally the metal and paper as a raw material of money. The form of money as a means of payment continuously changes namely in the form of checks and transfer form that allow payment through transferring funds from the account balances among financial institutions, especially the banks. The economic need continuously grows so that it shifts the ways of trade transactions from conventional to internet based one that is known as e-commerce. One of the International online payment means required in an e-commerce transaction is Bitcoin. Bitcoin is an electronic coin that uses a system of peer-to-peer network that is open source. Bitcoin is not a virtual coin and not the legal means of payment in Indonesia. The legal means in Indonesia is the rupiah. It has been described in Article 1 section (2) of Act No. 7 of 2011 on Currencies that the the coin used for payment transactions in Indonesia is the rupiah.

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