ECDSA is 50% of the magic of Bitcoin

ECDSA is 50% of the magic of bitcoin

People understand the private key, but don’t understand the signature.

EDCSA is the tech that allows both of these ideas to work in conjunction.

But what is a signature?

The sig is a very important element to understand.

A signature is the instruction.

It is constructed from

Keys

Send address

Send amount

It’s an algorithmic process. The signature does not require the net. So you can “sign” on an airgapped machine, produce a hash code representing the sig, transfer to a hot machine by photographing a hash of the sig, and initiate from a hot machine.

The company ngrave is building what I think to be the strongest consumer wallet made so far because they implement these security strategies.

This level of security (ecdsa with solid signing processes and practices) opens doors for a “pull” economy. Instead of having registrations for hundreds of sites and services, you can have digital ID representations that grow like cryptos, and as they gain network effect, companies start accepting them. Then when they ask for your ID, you just have to send them a signature from that crypto. This can be done with all sorts of data. Registration for a job or a service is instant under this paradigm. What we then see is, what I like to call, a “bounty hunter” economy. The uber driver can run thousands of apps at once and run them in a super app. You could legally work for a company who never knows your name.

Decentralized computation is the other 50% of the magic, and social media will eventually take place on decentralized structures. The global decentralized effect means non-censorship and pseudonymity.

So I see a future where everyone has a “signing device” and within it the keys to banks IDs insurance home titles intellectual property and more.

submitted by /u/l_Thank_You_l
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from Bitcoin - The Currency of the Internet https://ift.tt/2MDkYXu