good little notes before I listen, thanks Jonathan! I'll now be able to just skip 5 second segments when the students talk

B.s. u dont need to understand email to use email dummie!

Those students are pretty ignorant, not for the specific tech knowledge, and not good speakers. The lectures are very good!!!

thank you!

Thanks 👍

😂😂🤣

Not all heroes wear capes.

Shit, I'm reading this 22 minutes in 🤣

I noticed that guy too 😁 I'm not sure how he got into MIT, but there's a good chance it's a massive endowment

Im the new SEC chair

@@popedhop No you’re not

good call. I like the directions for new employees. "you’ll see PRET and Au Bon Pain on the corner. Make a left in between both, passing the Auntie Annie’s and keep straight towards McDonald’s. Once you get to McDonald’s, make a left" (These are all restaurants. Auntie Annie’s is pretzels I think.)

@@SportsIncorporated wtf r u saying

@@quantumuniversetvinc.6117 I just get a kick out of the directions on I guess the SEC's website. They're talking about walking inside Union Station in Washington, D.C.

@@SportsIncorporated oh lol

actually happened in Apr 2021 lol

"We have discussed it in earlier time"

Which Thursday? Gray: "Well...Every week has Thursday"

@@joeljose182 how is this guy this calm when he knew exactly the power of bitcoin. I would be buying like a mofo

@@joeljose182 apart from teaching the younger generations

@@cryptoberto8077 Ever seen poker players?

That's true. He's a nice professor example to be followed

we could 10m coin by then

Sounds a little asymptotic...

What did he get wrong? Not being sarcastic I’m actually curious

For instance? Are you referring to remarks on the hash rate?

I think he does a great job. You can tell he understands finance and is a bright academic. This is unchartered territory and I appreciate these lectures being made public.

Very true.

Also i think this lectures are a couple of years old. It is easy to judge the information now since there s so much more data available involving crypto.

It's easy to criticise. It's fun too.

@@Mondegreen2020 super fun until it's done to you

Yo for real! That accent is brutal!

@@Andre_Villon So happy your Hindi accent is perfect, when you are answering questions ar an Indian University.

Still glad? You are down 95 percent.

Calling them cryptocurrencies does seem to help with the whole self-fulfilling prophecy thing though.

he made that mistake in another lecture too. he keeps saying 2040

u can literally take the whole class here on KZfaq. i'm taking it

What difference would that make? You are in the class already and also have the privilege of having a cup of tea while in the class

That's how lectures work at university. You should attend.

Hey can we

That question is asked and answered. Watch again.

36:50 your answer

Throw in a time stamp when referencing specifics, the internet will infinitely appreciate it!

@@garettcameron1271 1:14:39 Enjoy.

Ripple is a centralized database.

I don't think that does anything really. One mining rig in a satellite is just as insignificant as one mining rig anywhere. Only thing that matters is the number of participants in each fork and also the social consensus surrounding it.

😂😂😂

Thanks brother.

Alene..? Is that you?

As the monetary value of a bitcoin increases. miners will have incentive to 1) invest in more equipment/electricity usage and 2) join pools. 6.25 bitcoins last year is not the same as 6.25 bitcoins right now. That's ~$70,000 vs ~$290,000 per reward. Huge incentives. Likewise, if the value of BTC decreases, miners will use less electricity and even consider selling some of their equipment because the incentive has reduced. When this happens, mining difficulty will reduce, and smaller groups of miners have a better chance of accessing the reward. While this reward will be valued less (because at the time the 6.25 BTC reward would be valued less), to this smaller group with fewer resources, the reward is worth it. That's the "mining equilibrium" as I understand it. I could be completely wrong.

@@bobsondugnutt7526 but what about the time when the last coin was mined? What reward will the miners receive? I understood that, next to the coins, miners also receive some fees from transactions they successfully validate, but it's something very small when compared to the actual reward (e.g. reward is 1 BTC and fee is 0.0001 BTC). If you remove the coin part from the reward, that leaves only transaction validation fee. So, miners will either accept to work for much smaller reward or the fees will increase, which will increase the cost of doing crypto transactions and it will definitely make people lose interest in it.

oh yeah i remember him from economics, him and Morton Fineman.

Basically it's a race - if two miners find a solution at the same time, it will result in two blocks competing for being the new head of the block chain - let's call them A and B. Now all nodes on the network will have a choice of whether to accept A or B as the actual head and whether to append their next mined blocks to the branch with A or B in it. How they decide that isn't really that important - they could randomize or they could pick one that they found out about earlier. The key idea is that over time one of the branches - that containing A or that containing B will form a longer continuation. Nodes on the network will no longer invest their resources into expanding the shorter branch and it'll become stale / dead. So essentially over time either A or B will win and the system will become consistent again.

According to my knowledge, you are talking about SOFT FORK. It's created when both the computer solves problem aka mining at the same time and both the blocks are valid to be added. The problem is solved after another block is added on the nodes, one who solves another block first is the winner and that computer is rewarded. Lossing computer's block is discarded. The blocks now are not divided forming one body chain.

next Thursday

he is not öecutring at MIT anymore i suppose, as he is now busy at the SEC

@@alterverwalter9299 he'll definitely need a whiteboard at the SEC

@@JeremyFisher good one

What he's referring is that if the network is manipulated you can't manipulate what blocks will be added to the blockchain so the other blocks won't be delivered to the network

The simple answer is for mining nodes to use VPNs to networks outside the country. But most countries that ban BTC also have a means to isolate and disrupt VPNs that are routed across terrestrial paths. The answer to this dilemma is satellite access to networks outside the terrestrial gateways. Starlink is one such means. Blockstream is another.

Read "Programming Bitcoin" by O'reilly publications Chapter 2 & 3. Free pdf on the internet

1:10:00 ish in vid

Could you explain the forking part a bit more or link some literature. Thank You.

He has expressed he is 8 months ahead of his students. He also stated MIT asked him to present this class. Lectures are often asked to present topics outside of their experience and expertise, he’s here sharing what knowledge he’s acquired. Common practice in universities. He often asks students to share their knowledge and knows he knows nothing comparatively. See it in his face occasionally.

Its definitely 2140. Probably misspoke.

You have one master private key (wallet) from which you can derive several private keys. Each private key generates one public key (address) that you have control over. So what some wallets do is that when you spend bitcoin, it generates a new address. So then your transaction will say "Send 1 bitcoin to [friends address] and 4 bitcoin to [your new address], from address 1234, signed by private key of 1234". When the signature is verified, your friend will get 1 bitcoin and you will get 3.99999 bitcoin (remember, there is a transaction fee).

he says it wrong, its only the public key, not private key for recieving that should not be used twice. that public key automatically refreshes after you recieve coins to your last public adress (atleast with trezor wallet ui)

@@Blackspidy619 ohhh wow thank you! very clear! I am at class 6 now, I start to understand better.

No. The exchange is probably named after the term. As per Wikipedia: The coinbase is the content of the 'input' of a generation transaction. The coinbase can contain any arbitrary data.

He answers it in the next lecture, here - kzfaq.info/get/bejne/sK10h9dqtpnaqYE.html

@@MajesticDre Thank you. I learned it later in the next chapter.

Where do you think those MIT robo dogs come from?

😂

So mining will stop at the cap but validation as to keep happening to sustain the network. Remember the block-chain has to have "blocks" of data which have to be validated (consensus) to be added to the chain. I hope I somehow answered you! :) #keepresearching

at that time transactions fee will be high so miners will sustain

Being the fastest to find one of many correct answers is important, but not sufficient. What you really want is your block to be part of the longest chain. You could be a close 2nd and still be the winner in the long run.

About the difficulty - it is pretty far fetched, each zero is an order of 16x higher difficulty after all. Adding another 46 zeros is an absolutely mind boggling difference in computational power = 16^46. But given the extremely long time frame I could see that being reached at some point. Presumably the social consensus would change and result in some kind of a hard fork to work around that issue - for instance by altering the protocol to require two distinct solutions or something like that. The goal is to put your block on the longest branch chain - the one that becomes the consensus going forward. And to do that the best way is to find the next subsequent solution earlier than everybody else. The probability of you winning is proportional to the % share of computational resources that you own on the network. If you are a small mining operation you will be the first very infrequently. If you operate a giant mining pool you will win often, but still not always. The way the software operates typically is that it will attempt to append new blocks to the longest currently known branch of the blockchain. And at any given time that information might not be exactly the same for everyone. After all information can't travel faster than the speed of light, and in practice slower than that. So there is a possibility of conflicting competing branches forming. When that happens, over time one of the branches will get appended to more and will win, the other will become stale.

fees

There will be transaction fees to feed the miners, but we don’t need miners at all. We can merely offer unused computer power in our mobile devices to hash and secure the blockchain. Anyone holding coin could opt in to secure the chain with their unused cpu availability. Miners are really the 8-track tape players of crypto. We don’t need them, they are an interim technology play.

Yes hashing is optional. Signing is not optional.

They can mine in a hash pool

😂