2025 bull market is coming and reinterpretation of the Bitcoin White Paper Satoshi Nakamoto's New Species of Trust buried in the ruins of the financial crisis | Blockchain Technology | Decentralized Payment

Easily interpret the "Bitcoin White Paper" The "new species of trust" buried in the ruins of the financial crisis. Use the milk tea shop account book to explain Bitcoin thoroughly: a point-to-point cash revolution Imagine: You want to transfer 10 yuan to a friend to buy milk tea, but you have to pay a handling fee of 2 yuan and wait for three days to get the account - isn't it ridiculous? When the financial tsunami swept the world in 2008, a mysterious man named Satoshi Nakamoto dropped a bomb in the cryptography email group: "Bitcoin: A peer-to-peer electronic cash system." This white paper has no complicated formulas, but it shakes the entire financial world with 9 pages. Today, we will use the example of a milk tea shop to unveil the mystery of Bitcoin. 1. Pain points: Why are we "stuck" by the bank? Traditional payment is like transferring money through the headquarters of the milk tea shop: You and your friends must open an account in the main store. You notify the main store: "10 yuan is deducted from my account and transferred to a friend." The main store verifies identity, checks balance, modifys the ledger, notifies your friends to pay a 1 yuan handling fee each, and the headquarters has dealt with problems: 1. High cost: banks and payment institutions take commissions layer by layer like to toll stations (cross-border remittance fees can reach 7%) 2. Slow as a snail: International remittances take an average of 3-5 days 3. Privacy leakage: The headquarters controls everyone's transaction privacy 4. Centralized risk: The head office goes bankrupt or tampers with the ledger, and all members suffer from Satoshi Nakamoto hits the key point: "Electronic payment relies on third-party institutions and cannot achieve completely irreversible transactions." 2. Core concept: throw away the headquarters and hold a single account of Bitcoin. The solution is genius: Let every customer hold a complete milk tea shop transaction ledger. When you want to transfer 10 yuan to your friend: 1. You broadcast to all customers: "I transfer 10 yuan to your friend, 14:00 on August 15, 2023" 2. Each customer immediately flips through his or her account book and confirms that you really have a balance of 10 yuan. 3. The first customer (miner) who solves the math problem records the transaction to the new account page 4. Everyone updates the account book, and the transaction completes the four major innovation points: Decentralization: There is no headquarters, and tens of thousands of nodes around the world jointly maintain the account book (in 2023, there are more than 46,000 Bitcoin nodes) Blockchain technology: The account page is bound into a chain in chronological order, and the new account page contains the digital fingerprint (hash value) of the previous page Proof of Work: Solving mathematical problems (mining) consumes electricity, ensuring that no one can tamper with historical account pages at will: directly transmit value like cash, without the need for third-party endorsement, Satoshi Nakamoto emphasized in the white paper: "We propose a way to generate electronic transaction proof through a point-to-point distributed timestamp server to solve the double spending problem." 3. Key technology: How to prevent "a cup of milk tea sold twice"? The most critical problem is: How to prevent someone from transferring the same amount of money to two people? (Double-spending Attack) Bitcoin’s defense system: 1. Timestamp + chain structure: Each transaction is marked with the exact time and is linked in order. Want to modify the transaction 3 days ago? All the books must be redone afterwards. 2. The longest chain principle: When two versions of the ledger appear, everyone defaults to accept longer chains (represents more workload) 3. 51% attack defense: Unless the attacker controls 51% of the computing power of the entire network, it cannot tamper with the confirmed transactions (the cost is extremely high, and it costs 700,000 US dollars to attack Bitcoin in 2023) Just like in a milk tea shop: Do you want to give the same 10 yuan bill to A and B at the same time. Customers will only accept the one who was broadcast first and want to forcibly change the account? It is necessary to bribe 51% of customers in the store to rewrite all the books - almost impossible 4. The birth of Bitcoin: Who will maintain this system by miners and reward mechanisms? The answer is miners. Their work: 1. Collect transaction broadcasts and package them into "blocks" 2. Calculate math problems (find a specific hash value) 3. The first miner to solve the problem broadcasts to the entire network 4. After verification by other miners, connect the block to the blockchain incentive mechanism: For every successful block package, you will get a Bitcoin reward (initial 50 BTC, halved every four years, 3.125 BTC in 2024) Get the handling fee for in-block transactions. This is like a milk tea shop recruiting bookkeepers: For each page of the account (block), you will be rewarded with 50 cups of milk tea (initial Bitcoin reward) and half of the reward every 4 years (currently halved three times). Customers can voluntarily attach tips to accelerate transaction processing. 5. Bitcoin vs. traditional currency: What is the subversiveness? | Dimensions | Traditional Currency | Bitcoin | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ It's like putting cash into emails and sending it to the world, and it can't be forged. 6. Realistic significance and challenges: Not just "digital gold". Bitcoin has taken root in the real world: El Salvador's fiat currency: becomes the first country to adopt Bitcoin as fiat currency in 2021: Argentina's annual inflation rate exceeds 140%, and people flock to Bitcoin's cross-border remittance revolution: Philippine overseas workers use Bitcoin to remit money, and the handling fee has dropped from 10% to 2%. Anti-censorship payment: In the Russian-Ukrainian war, Bitcoin has become the lifeline of breaking through the financial blockade, but the challenges still exist: ⚠️ Price fluctuation: From US$69,000 to US$30,000 in 2021 (volatility exceeds stocks) ⚠️ Energy consumption controversy: Bitcoin consumes about 121 terawatt hours of electricity per year (exceeding the national electricity consumption of the Netherlands) ⚠️ Regulatory Game: The US SEC rejects Bitcoin ETFs many times, China strictly prohibits cryptocurrency trading 7. Satoshi Nakamoto’s legacy: Paradigm of trust mechanism The ultimate revelation of the white paper is: humans can rebuild trust with mathematics and code. When banks triggered the subprime mortgage crisis due to greed, Satoshi Nakamoto used cryptography to prove: True trust does not lie in the seal of authoritative institutions, but in the mathematical truth that everyone can verify. Today, the Bitcoin network has been running continuously for more than 5,800 days, processing transactions worth over one trillion US dollars. It is no longer just a "digital currency", but shows the world that when technology gives individuals the right to verify, the centralized monopoly of power will be collapsed - this is the most shocking echo of the white paper. Just as Satoshi Nakamoto engraved the Times title in the Genesis block: "On January 3, 2009, the Chancellor of the Exchequer was on the verge of the second round of bank bailouts" - this is the sharpest ironic inscription on the old financial system.