I'm so happy to be here because this might be One of the most beautiful places on the planet. I keep traveling, visiting all over the world, But to be honest: the 17-mile drive is simply breathtakingly beautiful Sometimes I think we spend too much time in the tent/room instead of going outside to see the sea So I will try to briefly talk to you about the things that changed my life five years ago Five years ago, I heard about Bitcoin for the second time I first heard of Bitcoin sometime in 2012. I am not sure when I read an article about gambling sites they are using this digital currency I am very interested in cryptography and its applications. Since the mid-90s, I have been using digital currency But I gradually moved away from that field [Then] I heard about Bitcoin and thought, "Uh…gambler. Nerd's money. It's not interesting." Almost everyone has such a reaction In fact, Satoshi Nakamoto-the creator of Bitcoin-was very skeptical when he announced Bitcoin For this thing he created, he is not sure how much impact it will have on the world From that moment on, almost everyone would say: "This doesn't work, then it can't work." That's my reaction.
Fortunately, I met Bitcoin again (I remember it clearly) By the end of 2012, someone introduced to me again It also provides a link to the white paper explaining how it works. My major is computer science I have a master's degree in distributed systems just to give me the ability to read and understand completely I started reading this report with the thought,'Oh, let's see what this is about. "When I read the third page, I was shocked. I thought, "This is not what I originally thought." I continued reading. By the end of that white paper, My life has been completely changed. I understand at that moment This is a very important invention In computer science and distributed systems, we study some difficult problems. One of them is called the Byzantine General’s Question It describes this kind of problem: When you try to coordinate a distributed system If the system relies on parties on the network that don’t trust each other; or media they don’t trust If you don’t trust these nodes, you cannot guarantee that this information will be properly disseminated Just like many problems in computer science, it can be described with a story: there is a besieged city There are four generals around it.
These generals (you can call them Byzantine generals if you like) can’t communicate, Because in order to communicate with each other they must send messengers across the valley If they do this in that city, the news may be leaked. So they can’t tell whether their message was received correctly They cannot coordinate. What they want to do is to coordinate a specific thing-when to attack the city. If only one of them attacks, they lose. All four of them must attack at the same time, But they cannot communicate with each other. Obviously, the city in the middle will intercept their news This is not a problem you can solve with encryption, because it is a coordination problem.
In a distributed system, it is about how to achieve state synchronization This problem [impacts] many areas of computer science and distributed systems For example, database replication and concurrency control All types of synchronization [activity] in distributed systems This is a crucial issue, Because in the absence of a solution, the only way to coordinate is through the central authority One of the problems is that I understand by paying attention that the digital currency has a history of nearly 20 years. This is the biggest problem of digitization, private money must have a central coordinator They have all the responsibility of the issuer or the central clearinghouse to ensure that the money is not forged, In addition, it is necessary to ensure that a transaction has occurred [cannot be spent twice] In the digital field, you can freely copy digital information. The fundamental problem is: How do you create scarcity? 'Scarce' means something that is rare and cannot be copied As far as digital currency is concerned, the reason you need scarcity is If I take a $50 bill out of my pocket to spend, I can’t copy it and spend it But if it’s a digital file, you can make a perfect copy, so I can spend it again The only way to solve this problem is to have a central authority.
Many people have tried The servers and systems they build will process all transactions in batches every day This is an interesting application. One of the companies called DigiCash, in the mid-90s They created one of the first digital currencies. Guess what happened? If you suddenly announce to the world, "Hey, you know that it's the privilege of a sovereign entity, Is that the basis for the control and power of every nation-state? I want to do this in my company! free! We want to make a digital currency that runs completely in parallel outside the system. " So, what happened next was that the country appeared and said, "Well… that's cute." If you have a central point they will turn you off It will be squashed, sued, denied service, shut down, etc. This situation has always occurred in digital currencies. Back to 2012: I am reading this paper and I think, "This person has solved the Byzantine fault tolerance problem. They have solved the Byzantine general problem." There are other solutions, but they are not very efficient.
This is actually a practical solution With this solution, we can realize a decentralized digital currency With a decentralized digital currency, there is nothing that can be shut down. If there is nothing to close… Oh my goodness, this might indeed work. [At that moment], my life was completely changed The next four months are a little fuzzy. When I was young, I also encountered this kind of problem I am obsessed with technology. This happened five times before me, At that time, I will be so satisfied with excitement, enthusiasm, passion, and focus on a specific problem I will lose this world.
Or the world will lose me, if you want to look at it from the perspective of yourself I will disappear in my corner. This happened to me because: [I] got my first computer when I was 11 years old. I started to learn how to program. Programming caught my attention and I was addicted to it for six months A year later I came out, I can use assembly (asm) and BASIC language programming I can do electronic products, things like this. This is the experience I got my first personal computer and indulged for six months. Then I got my first modem and I was addicted for a whole day, a year and a half. I almost dropped out of school, really failed In 1989, I got an internet account; it’s not strictly legal because I’m 15 years old [they] and they don’t give Access permissions, for a 15-year-old child, he knew what ARPANET is This account actually termed a university archaeology professor who didn’t fully use their account, but it’s there.
Fortunately… the statute of limitations has passed I am addicted to it, because for the first time ever, I can communicate with outstanding people from all over the world Things on this network. They taught me UNIX, all kinds of things about computer systems, architecture, TCP/IP. I have been addicted for a year and a half. After this happens every time, I will try to tell everyone around me: "Listen, this is the greatest thing ever. It will change the world!" Imagine a 15-year-old child in Greece, where the telephone system has almost no dial tone, saying: "Listen to me! Everyone will walk into the Internet!" Then the answer is like this: Yes, "Okay. Clean the room. Finish homework… Stop playing that damn computer! " When the same situation happened when I contacted Bitcoin, I had experience, a degree, and confidence at this time. I decided not to listen to anyone's objections, but I did lose myself and indulged in it.
Four months passed. I gave up all my work. I stopped consulting, I stopped eating All I did was read and write code; [every day] 18 hours until I fell. Then I got up the next day, …Recycled again. I lost 26 pounds. My family intervened They brought me these protein shakes. If you don’t want to be a cancer patient, you have to drink something Because they are worried. [But] I got rid of the predicament and got a new career, a new passion, a new mission, Explain to the world what an amazing technology this is and what impact it will have At first glance, you might think this is an investment opportunity.
It's not. This is not what is special about [it]. If you look back at the early Internet, and then [decided]: "We can buy Yahoo and make a lot of money!" You missed the point. We can change history. We can use these technologies to change human life These technologies provide the opportunity to: empower individuals around the world Give them the opportunity to communicate, just like the Internet is used to communicate These new technologies-cryptocurrencies, digital currencies based on open public blockchain currencies- Give us an opportunity to build a fully peer-to-peer global economy, fully interconnected It is completely flat, and many of the useless decorations of the past will be discarded Some of you may have had similar experiences and you may feel a little uncomfortable, Because the banking industry has a history of centuries, there is not much competition in the operation It has never faced competition from the Internet.
[But] Internet currency is coming soon. It is called Bitcoin This is only the first and will be called the storm sweeping [financial world] The Internet has affected all walks of life, but it will disrupt the banking industry in a more thorough way than ever What is this technology? What is this all about? Fundamentally, it builds such a platform You can create transactions and record "facts" without trusting any centralized organization, You don’t even have to trust the other party you’re dealing with [In the system] The status of all people is the same, point-to-point, equal basis You transfer trust from the organization These traditional institutions use [hierarchy], a bureaucratic governance system-and web-based platforms are more trustworthy An emerging attribute Just like the Internet has subverted the way of communication Once you do this, you don't need a hierarchy [or] bureaucracy.
You don't need this institution. These institutions can be replaced by the network You may have heard of what happened before, you may have seen this before We are all going through this huge change because of the existence of the Internet Year after year, year after year, we are going through an amazing change: the past organizations are replaced by flat networks These flat networks are more effective and more equal, Do the same thing, these institutions provide more, in a more open and accessible way We have seen this happen to awesome institutions – news, newspapers, TV stations, Movie company, music company They face this incredible non-intermediary force one by one Where it is no longer profitable and even possible gatekeeper, middleman, agent Because "others" can find each other on their own without your help What happens when it is transformed into finance, and what happens when it is transformed into government governance? What happens when we start to think about rebuilding social institutions and democratic institutions Use this technology —based network-based, market-based governance model to rebuild them; this is really transformative.
If all you see is the price of Bitcoin, investment opportunities, crazy news Media reports from all directions, you will miss the most basic point The basic point is: this is a global, open, and completely borderless new platform of trust This is an equal platform. This platform will not only change finance Currency is just the first application of this Internet currency. It’s not just the currency of the Internet This is a mature trust platform. [But] What did you hear in the media? "Drug dealers/criminals/porn authors are using this technology!" If you have been on the Internet for a while, you may have heard this before.
I remember very clearly, in the 90s, all you could hear was that The Internet is a paradise for fraudsters, thieves, pornographic authors, and criminals. All these are intimidation tactics. However, it doesn’t matter, because in the end, all of us [started to use] it, we didn’t use it to commit crimes We did not use it to make pornographic content. We have used it to transmit and exchange videos of one billion cats Because they are cute and funny because this is what most people do with technology. They plan their own needs, their own desires, and bring their own motives into society Use technology as this empowering tool. What do most of us care about? Support our family.
Safety. education. health care. health. Build the future for our children. When you hear all about how to make money accessible to people, Allow them to pay anyone without censorship or control, leaving them completely free Freed from the shackles of oppressive government and (honestly) banking services This is difficult to distinguish from organized criminal groups in many countries… What happens when people can autonomously control their finances? Can they trade freely with anyone in the world? What are they buying? Are they buying weapons of mass destruction? Or are they just rewarding a cat video? They will buy health care, they will buy food, they will buy education, they will buy security.
They do what everyone does. In this technology, the existence of great hopes will fundamentally change the Internet, of course, not only the Internet But first is the Internet, and then changes some of the basic systems that have failed in the world When I talk about this technology with audiences all over the world-especially in developed countries, Places like this-the average person will be a little confused. Why do I need peer-to-peer digital currency? I have a visa. How is this different from PayPal? What is it for me? Is it easier to buy coffee at Starbucks? This question is a good question, because this is the most basic: the difference between this technology and PayPal The fact is that this technology does not rely on Paypal, does not rely on a central company, and has no central control. If you can't trust a company, it makes sense. PayPal provides services in 19 countries/regions. Finally, I checked and there were 194 of them. About 4 billion people have banking 2.5 billion people in the world do not have access to any financial services That is, the statistics of the World Bank only count the heads of households and the highest earners.
Their children, their spouses are statistically insignificant. If you add up all those who have these, the chances of obtaining financial services are very limited, They are the majority of people in this world. Bitcoin and these new technologies are related to 6 billion other people Do you have a visa? awesome! [You are] a part of 5%-the privileged excess class who enjoys financial security in this world This is not the case in other parts of the world.
Do you have a stable currency? awesome. I can find sixteen such currencies How about the other one hundred and sixty currencies? You have a government that won't drag you down Have you ever been forced to get up from bed at night because you made a mistake or participated in the wrong protest? Lucky for you! awesome. But in all these places in the world, is this a reality of everyday life? We live in a world where financial services are available. The fundamental obstacle to economic development is We built a system, a closed control system If you are in this industry, you probably know all this: Know your customer (KYC), anti-money laundering (AML), control terrorist financing (CTF). Have you heard of those acronyms? What is the role of these acronyms, do they plunge 4 billion people into poverty? To maintain our own bourgeois fantasies in a certain way: if we carefully control, can crime be prevented from happening? Do this by controlling who has access to financial services In this illusion, we are willing to sacrifice billions of people to make them inaccessible in the world economy Bitcoin is a radical proposition: it advocates that anyone, anywhere, should have access to business and financial services.
For many people in the world, this is a terrible proposition. For many governments in the world, this is a terrible proposition. I am here to tell you that it will get better. Because, as I said before, if we give people this ability In order to do these things, they will use them to do good deeds. But i have another message Even if you are afraid, even if you think we should not/must do this, it is already there This technology is a system based on mathematics Now, anyone anywhere in the world can download the first book on the left, [Proficient in Bitcoin], This is free for software engineers. It is open source software on Github A very talented 14-year-old programmer can recreate a global, unforgeable, and completely fungible digital currency This is even better than most of Bitcoin today. It can be done in one weekend and then launched in the world Now this is the world we live in. This has happened, there is no turning back We can't forget this technology we can't put it back So now we must consider how we can live in a world where we can engage in business activities anywhere With anyone anywhere, these transactions cannot be censored, the system cannot be shut down, how to live in such a world? Because it is completely flat, completely decentralized, and can communicate through any medium This technology receives funding from its physical performance or centralized implementation As a digital abstract token, it has turned it into an Internet content type I can use the Bitcoin network to conduct Bitcoin transactions.
When blocked, I can do this to accept the transaction: Translate it into emoji, then use Skype or Facebook to transmit, or put it in Craigslist ads How do you stop it? You can't stop that is the world we live in. I think this is a brave world. I think it might be a wonderful world But what I know is that this will be a different world. The ripple is spreading. Most people haven't noticed You are a small part of them, these people are slowly awakening now If you learn, what will you do? About the Internet in 1991 instead of 2001? How would it change your life, your career, and your company? I have brought you this news. You have received it now. what will you do? Thank you. [applause].