Steemit Crypto Academy Season 3 Week 6 - Homework Task for @awesononso | Satoshi Nakamoto, Wei Dai and Cryptocurrency Units of Measurement.
Image made by me using canva
Hello everyone, I hope you're all doing fine. The same goes for me.
In this post, I'll be posting a homework task for crypto professor @awesononso.
As you can get an idea from the Title, the homework will be on Satoshi Nakamoto, the creator of bitcoin, Wei Dai, a Chinese computer engineer, and some other important names in the crypto world and crypto units of measurements. On necessary steps, I'll show the images and the screenshots from the websites and other platforms.
Who is Satoshi Nakamoto?
Let me first clarify one thing: There is no clear identification for the name Satoshi Nakamoto. It is a pseudonymous Japanese identity of a person or a group of persons behind the Invention of Bitcoin.
Many people claim to be the real Satoshi Nakamoto. But as far as we know about the character, the achievements are countless. Satoshi also created the whitepaper of the bitcoin and deployed its original reference implementation. He also created the Database of the first Blockchain.
Bitcoin is a decentralised digital currency that can be sent from user to user on the peer-to-peer bitcoin network without intermediaries. The Transactions are verified by a network of nodes through cryptography and recorded in a public distributed ledger called a blockchain. The cryptocurrency was invented in 2008 by an unknown person or group of people named Satoshi Nakamoto. The currency was launched in 2009, and its implementation was released as open-source software.
Satoshi stated that the work on the code for bitcoin began in 2007. In August 2008, he or a colleague registered the domain name bitcoin.org and created a website using that address. in October, Satoshi published a white paper on the cryptography mailing list at metzdowd.com describing a new digital cryptocurrency, titled "Bitcoin: A Peer-to-Peer Electronic Cash System".
In January 2009, Satoshi released version 0.1 of the bitcoin software on SourceForge and launched the network by defining the genesis block of bitcoin.
The Whitepaper of the new formed digital currency known as Bitcoin described the currency as a digital asset that will be secured and allow the decentralised transaction without a third party involvement, like government, companies, commercial institutions, or banks. He further explains in the paper that the transaction will be recorded on a blockchain ledger and distributed across the system accordingly.
As the value of Bitcoin has Inflated these days, Therefore, Satoshi Nakamoto could've become the forty-fourth richest person in the world. However, He did not publicise his identity and worked hard to improve bitcoin until the year 2010. Then, satoshi suddenly gave control of the source code repository and network alert key to Gavin Andresen and stopped his involvement in the bitcoin project. He has disappeared since then.
In 2021 a monument was announced in honour of Satoshi Nakamoto in Budapest, Hungary, for his work on Bitcoin and cryptocurrencies.
Write on two claims/theories of Satoshi Nakamoto’s identity.
Satoshi Nakamoto is very crucial to the bitcoin ecosystem beyond his status as a founder. He is a philosophical figure and frequently invoked among cryptocurrency proponents when debating the future of bitcoin's development.
As there is no confirmation of satoshi's identity, there are many claims to it. So many theories and clues have been found and investigated.
Satoshi Nakamoto is a Japanese name, but the person who is behind the development of the bitcoin blockchain used British English with such an excellent mastery, and the precision of the code was soo good that most of the people think that there's a team or a group behind the development of bitcoin and the blockchain.
Despite the efforts made by people to uncover satoshi's identity, he has proven elusive. Even with a massive number of pretenders, none have established clearly to be called Satoshi Nakamoto.
Here are two people who are most likely to be/maybe the satoshi that the world is talking about.
Dorian Nakamoto
A particular organisation claimed that the Dorian Nakamoto is the real Satoshi Nakamoto as they both held liberation learning and had Japanese backgrounds.
Dorian graduated from California polytechnic in physics as a core subject.
He also worked on Japanese - American classified defence projects.
- Dorian Nakamoto was interviewed by an author from Newsweek in which he used words such as I am no longer involved with bitcoin and that I have turned it over to other people.
Image Showing a search result of keyword: Satoshi Nakamoto.
- These words from Dorian Nakamoto triggered his entitlement as Satoshi Nakamoto. To a level that if you search today on google about satoshi Nakamoto, you'll see Dorian's image in the top results.
Dorian Nakamoto denied that he misunderstood the questions and later rejected all about being Satoshi Nakamoto.
In his statement, he said that he got nothing to do with it.
The magazine published Dorian's photographs and his home location.
Many people do not believe that Dorian Nakamoto is Satoshi Nakamoto and the founder of bitcoin.
Image showing Dorian's reply after Newsweek posted his private information.
The crypto community compensated Dorian for violating his privacy, a campaign raised online in which they accumulated 100 bitcoins on his behalf.
- Later, Dorian accepted the fund and thanked the community for their support of him.
Craig Wright
Generally, individuals suspected of being Satoshi have rejected the claim, but Craig Wright is not.
- Craig Wright is an Australian scientist and is among the people who implemented the Bitcoin cash hard fork.
in December 2015, a magazine wrote an interesting article about Craig in which they claimed that they had obtained the strongest evidence about the identity of Satoshi Nakamoto.
They quoted on Craig's appearance via video conferencing on skype at the bitcoin investor's conference in Las Vegas.
when reporters asked about the identity, Craig claimed that he was a bit of everything. He Addressed his Educational degrees.
Craig said that he's been involved with all sorts of things and tried to keep his head down.
- leaked transcripts and emails and via other unofficial sources, tax officials quoted him saying, "I did my best to try and hide the fact that I've been running bitcoin since 2009, I think half the world is going to bloody know".
These claims have soon become doubts. The wired magazine found some inconsistencies in Craig's case, like backdated blog entries and public encryption keys.
Craig was also called a fraud by the co-founder of Etherium.
Craig still doesn't give too much attention to the criticism and led a contentious fork of Bitcoin cash.
Many names are very prominent in the sector and claim or are suspected to be the Satoshi Nakamoto, but still, the identity remains hidden.
some of the names are written below:-
- Nick Szabo
- Harold “Hal” Finney
- Bram Cohen and many more.
Who is Wei Dai?
Wei Dai is a Chinese computer engineer who made a big impact on the world of cryptocurrency.
He is the one who created the Crypto++ library and also the founder of the b-money cryptocurrency system.
He proposed the VMAC algorithm, which helps in the message authentication system.
Ether's smallest unit (Wei) is named after Wei Dai.
he is graduated from Washington University with a computer science degree.
He was a member of Cypherpunks, SL4 and Extropians in the 1990s.
- in 2015, Dai stopped working on the crypto++ project and started working on other blockchain projects related to cryptocurrencies. Nowadays crypto++ is under Crypto++ community.
- it is proposed by Wei Dai and his partner Ted in 2007.
It is a Message Authentication Code(MAC) based on a block cipher algorithm designed for high performance and backed by a formal analysis and uses a universal hash.
Dai was behind the publication of B-money, an anonymous, distributed electronic cash system in the paper in 1998. In which he talked about all modern cryptocurrency systems.
it was the first step towards a scheme for a group of undercover digital members to pay each other from both ends with money and establish contracts without third party involvement.
Dai's b-money platform shows the core concepts that are later implemented to create Bitcoin.
He was approached by Satoshi when Satoshi was creating the bitcoin.
Despite all the similarities between the B-money and the bitcoin, Wei dai was never the Satoshi Nakamoto.
What is the current value of Bitcoin on the day you are performing this task? Calculate the USD value of one satoshi of the current value. (Show full working and to 3 s.f).
As we all know, cryptocurrencies are divisible or, to be put in simple words "They can be divided into smaller parts". For example, one person wants to buy a Bitcoin but doesn't have enough money to buy it. He can invest the amount he's been holding and get a divided part or a bit of the Bitcoin. This feature helps small scale investors to invest in the cryptocurrency market.
As most of the currencies are named after their founder, Bitcoin was named after Satoshi, and now satoshi is the smallest unit of the bitcoin.
It is represented by the symbol SAT and is equivalent to one hundred millionths (one over a hundred million) of a bitcoin. we can say that "hundred million Satoshis make a bitcoin."
Mathematically,
There are also small and larger units in satoshi like millisatoshi and megasatoshi.
The table below shows all of the units:-
Using the info provided by coinmarketcap. I will calculate the current dollar value of a satoshi. The value of Bitcoin as of the time of making this post is $41,410.92.
Image showing the current value of Bitcoin
Solution :
1 satoshi = 1/100000000 x 1 BTC
1 BTC = $41,410.92
∴ 1 satoshi = 1/100000000 x 41,410.92
1 satoshi = $0.0004141092
1 satoshi = $0.000414 (to 3 s.f)
Image showing practical calculation by me.
What is the current value of Ether on the day you are performing this task? Calculate the USD value of one Gwei of the current value. (Show full working and to 3 s.f).
Wei Dai also has a crypto unit named after him. The wei unit represents the smallest unit of Ether on the blockchain.
Mathematically,
The table below shows the values of small and large units of Ether:
Using the info provided by coinmarketcap. I will calculate the current dollar value of a Gwei. The value of Ether as of the time of making this post is $2,803.18.
Image showing the current value of Etherium
Solution :
1 Gwei = 1/1000000000 x 1 Ether
1 Ether = $2,803.18
∴ 1 Gwei = 1/1000000000 x 2,803.18
1 Gwei = $0.00000280318
1 Gwei = $0.00000280 (to 3 s.f)
Practical calculation of 1 Gwei by me.
Transfer 0.001 Steem to an account. Then send 0.0001 steem. Show what happens and state why. (Screenshots with username tag).
For this task, I am using Steemyy to show all blocks and hashes.And it can be used for multiple transactions to different users. You can also use your wallet or Steemscan, as I want to show multiple transactions. I am using steemyy to make a simple transaction.
The Steps are as follows :
Step:1
Go to Steemyy website and click the tools bar on the top.
Step:2
Select Steem wallet tools.
Step:3
Fill in the Details like your stem Id, Private Active Key and Amount of Steem You want to Send and the Receiver id.
You can also make a memo if you like.
Step:4
Hit the send button, and the steem will be sent to the receiver.
Let us fill the Amount as 0.0001 steem and hit Send.
Here, you can see an error saying that the minimum value that can be sent is 0.001. and, i.e. values up to 3 decimal places.
You can clearly see in my wallet that there are no 4 decimal values, which is why sending 0.0001 steem is not possible.
block showing Transaction from Steemscan
Block ID : 56137681
Transaction ID : 48962297657b5effa20281c5638f34c4121b9c36
Image showing Transaction details from Steemscan
Image showing the amounts 0.001 and 0.0001 STEEM to be sent.
- Let's see the results after hitting the send button.
- As you can see, the amount 1 value is sent, but that's not the case with the 0.0001 steem of amount 2.
It is showing the error that the minimal sendable amount is 0.001 steem.
you can see the transaction details from steemscan
Block ID: 56151257
Transaction ID: dd5f402ff696b61ec07e26d9b4ac7a73e3802f94
I think with these steps, it is clear that the minimum amount that can be sent from one user to another is 0.001 steem.
Satoshi Nakamoto gave the world a great impact by creating the bitcoin, and also many other people Helped him create something that is a leading cryptocurrency in the world.
Wei dai also had a big hand in this revolutionary change in the cryptocurrency that even satoshi Nakamoto took his help.
Still, we do not know who the real Satoshi is. But, I think someday we'll definitely find out the true story behind the creation of bitcoin and the name of its creator. In the modern world, it is a power that is still developing and going higher and higher. The development of such precise codes and ideas are truly remarkable.
Being able to gather such knowledge, I am truly blessed and wanted to thank professor @awesonoso to deliver such an amazing task.
That'll be all from my side.
Thank you for reading
@awesonoso