A Dissection of Bitcoin by Paul Huang PDF

By Paul Huang

Bitcoin is the 1st electronic foreign money in human heritage that doesn't require a important clearing authority. The technological implication of this invention is profound: it opens the opportunity of construction a very disbursed economic system the place no centralized gurus are had to behavior monetary transactions.

This publication is the last word resolution to the usually requested, yet even-more-often unsatisfactorily responded query: HOW DOES BITCOIN WORK?

This is the 1st e-book that dissects the unique Bitcoin resource code written through Satoshi Nakamoto. It opens the Bitcoin black-box, examines all its elements, and indicates you the entire info you ever want to know concerning the Bitcoin system.

The entire booklet has 10 chapters. This model you're approximately to buy includes the 1st four chapters.

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All these 4 functions work on wtxNew. The first function CreateTransaction() is covered in this chapter. The other three will be covered in Chapter Transaction II. 6. cpp Here is the source code of CreateTransaction(). push_back(CTxOut(nValueOut, scriptPubKey)); 28: // Fill vout[1] back to self with any change 29: if (nValueIn > nValue) 30: { 31: /// todo: for privacy, should randomize the order of outputs, 32: // would also have to use a new key for the change. fTimeReceivedIsTxTime = true; 67: break; 68: } 69: } 70: } 71: return true; 72: } When this function is called, its 4 parameters take the follow values: scriptPubKey contains script code OP_DUP OP_HASH160 OP_EQUALVERIFY OP_CHECKSIG.

Add transaction fee nFee to nValue so that now nValue includes the transaction fee (line 18). Call SelectCoins(nValue, setCoins) at line 21 to get a bunch of coins and put them into setCoins. Add up the values of these coins and then put the total amount into nValueIn (line 25). , they are your coins). These transactions will become the source-transactions of wtxNew. push_back(CTxOut(nValueOut, scriptPubKey)) at line 27 to add an output entry to wtxNew. This entry pays to Bitcoin address (contained in scriptPubKey) the amount of nValueOut.

The returned public key from GenerateNewKey() is a vector of unsigned chars of size 65. It has the following format: (0x04 | PubKeyX(32 bits) | PubKeyY(32 bits)). The prefix byte is used to distinguish between several encodings, with 0x04 denoting uncompressed PubKeyX and PubKeyY. This is a standard way of encoding the public key, managed by the openssl library. Bitcoin treats the returned public key as it is. Important Macro CRITICAL_BLOCK at line 3 acquires a lock to access global variables mapKeys and mapPubKeys.

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A Dissection of Bitcoin by Paul Huang

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