I decided to dedicate this space to the preparation of my book “Everything I Know About Bitcoin.” I have been working on it for quite some time, and I chose to share it online and completely free of charge, so that truly anyone interested in Bitcoin can access it. My goal is to contribute to raising awareness about Bitcoin and its significance – without barriers and without restrictions.

If you have ideas, questions, or feedback, I would be very grateful – it will help me shape the book into something as useful as possible for a wide audience.

If you like the project and would like to support its creation, you can also do so with a voluntary contribution in Bitcoin at this address:

:  bc1qj2x7c6vpsjvyw83fwjx07v0wcx5xf0774sfkvg

Bitcoin vs. Gold

Bitcoin vs. Gold Many people compare Bitcoin to gold. So let’s take a closer look at how they differ. Why is gold still so popular today? Primarily because it is the oldest known form of money – people have used it for centuries. Gold has passed the so-called “test of time”, and its long-lasting presence in the economy and culture is one of the main reasons why so many people still trust it. Unlike modern fiat currencies, gold has a limited supply. We are restricted by the amount of gold that exists on our planet. Even though technological progress has made gold mining more efficient ..

The History of Bitcoin

The History of Bitcoin Even though Bitcoin was created less than 20 years ago, it has already gone through a turbulent history. It has been declared “dead” 477 times (at the time of writing this book – the current number can be found here: https://99bitcoins.com/bitcoin-obituaries/). In a very short period of time, Bitcoin has experienced major turning points, attempts to improve it, and the rise of many alternative cryptocurrencies that claimed to be faster or more scalable. It has come a long way – from the mining of the very first block, through the first-ever transaction, to massive ..

The History of Bitcoin II

Bitcoin War – the Block Size Debate One of the biggest conflicts in Bitcoin’s history was the dispute over block size. This debate split the community into two opposing camps. When Satoshi Nakamoto created Bitcoin, he set the block size limit to 1 MB. At the time, this was simply a reasonable technical limit — Bitcoin was in its infancy and had almost no users. There were very few transactions, and blocks were nowhere near full. Nobody expected Bitcoin to grow so much that this limit would one day become a serious problem. However, as interest in Bitcoin increased, the number of transact..

21 Questions About Bitcoin

21 Questions About Bitcoin 1. Is Bitcoin legal? Bitcoin is legal in most of the developed world. Its ownership, purchase, and sale are freely available to ordinary citizens and businesses. Today, bans on cryptocurrencies appear very difficult to enforce and, from a technological standpoint, practically unachievable. How can you ban something that knows no borders and does not exist in one specific location? Bitcoin is decentralized, and there is no way to "turn it off" or block it like a website. Attempts at strict regulation often end in failure or lead to an outflow of investment an..

21 Questions About Bitcoin II

21 Questions About Bitcoin II 5. What are Altcoins and "Shitcoins"? Although I have intentionally avoided the topic of other cryptocurrencies in this book, it would be unfair not to at least briefly mention other alternative coins – known as altcoins (or as Bitcoin fans fondly call them – shitcoins). What exactly are altcoins? They are all cryptocurrencies except for Bitcoin. If I had written this book ten years ago, the list of the most famous altcoins would look completely different than it does today. And if you get your hands on this book ten years from now, many of today’s "top" ..

21 Questions About Bitcoin III

21 Questions About Bitcoin III 9. What does it mean that Bitcoin is pseudonymous and not anonymous? As I mentioned before, Bitcoin transactions are public, permanently recorded on the blockchain, and anyone can view them at any time. However, this does not mean that anyone can easily find out how much BTC a specific person owns. Let’s briefly summarize how a typical transaction works. A transaction is digitally signed with the sender's private key and then stored in the so-called mempool – a waiting room for transactions, from which it is later picked up by a miner and recor..

21 Questions About Bitcoin IV

21 Questions About Bitcoin IV 13. Can a transaction be rejected or canceled? One of the most important properties of Bitcoin is true ownership. When you own it, you own your money. It is not stored with someone in a bank; your account cannot be frozen, and your access cannot be restricted. When you send bitcoin to someone, it is like handing them cash in person – no one can get involved, nothing can be rejected, and no one has the right to tell you what to do. It is freedom in its pure form. Of course, this freedom also means greater responsibility, which is a price many people are ha..

21 Questions About Bitcoin V

21 Questions About Bitcoin V 17. What is a stablecoin? A stablecoin is a type of cryptocurrency aimed at maintaining a stable value, most often pegged to a traditional asset such as the US dollar, euro, or even gold. While the price of Bitcoin or other cryptocurrencies constantly changes, stablecoins are designed to hold a steady value, for example, 1 stablecoin = 1 dollar. To maintain this stability, they use various mechanisms, based on which we can divide them into three main categories: Stablecoins backed by real reserves – As the name suggests, these "coins" are backed by r..

Bitcoin in Practice

Bitcoin in Practice Congratulations to everyone who has made it this far. You have come a long way – we went through perhaps slightly dry but important history, tackled more demanding technical foundations such as blockchain, proof of work, full nodes, and even questions of privacy and security. Some parts may have been more difficult to understand, you may have had to read certain passages more than once, but I believe that today you have a much clearer picture of Bitcoin than at the beginning. If you have made it this far, I believe this book has at least somewhat convinced you, or at ..