QUESTION: Where actually IS my bitcoin?

00:02 be wondering where actually is my 00:05 Bitcoin. The answer is actually 00:06 different than what you might think. So, 00:08 if you have Bitcoin on Coinbase or River 00:11 or a service like that or in Cash App or 00:15 in Robin Hood or in uh PayPal, you 00:18 probably think that's where your Bitcoin 00:20 is. That's actually not where your 00:21 Bitcoin is. All Bitcoin all the time is 00:25 on the Bitcoin blockchain which is 00:28 replicated across more than 100,000 00:30 Bitcoin nodes over the world including 00:34 running on satellites. So where actually 00:36 is your Bitcoin? No matter where you 00:39 think your Bitcoin is, all Bitcoin all 00:42 the time is only ever on the Bitcoin 00:46 blockchain. Okay. So what is River and 00:49 Coinbase and BitKeep? Why do people say 00:52 that's where my Bitcoin is and how could 00:55 that not be where it is? And the answer 00:57 is because that is where you hold the 00:59 private keys to your Bitcoin. All 01:02 Bitcoin is always on the Bitcoin 01:04 blockchain, but who controls the private 01:07 keys to that Bitcoin determines who gets 01:10 to spend the Bitcoin, who gets to send 01:12 the Bitcoin to someone else, etc. So, if 01:15 your Bitcoin is on Coinbase, what that 01:18 means is Coinbase holds the private keys 01:20 to your Bitcoin and you access those 01:22 private keys with a username and 01:24 password and a two-factor authentication 01:26 code that usually they send to your 01:28 email for example. Okay? If same with 01:30 River, same with Robin Hood, same with 01:32 PayPal, same with any of that, your 01:34 Bitcoin is always on the Bitcoin 01:36 blockchain and you are using the private 01:39 keys that are held by one of those 01:41 companies to access your Bitcoin. So bit 01:43 key is similar with the difference being 01:47 you actually hold your private keys. In 01:49 the case of Bitkey, your private keys 01:51 are actually within your control because 01:54 the way it works, I won't go into all 01:56 the technicalities, but your private key 01:59 to your Bitcoin is on your phone and 02:01 it's on the key device and a backup key 02:04 is encrypted and stored on the block 02:06 servers. So it requires two of those 02:09 keys to move the Bitcoin. So if you lose 02:11 your Bitkey device, your phone can 02:13 restore the key to your device. If you 02:15 lose your phone, the Bit Key device can 02:19 restore the key to your phone. If you 02:21 lose your phone and your BitKey device, 02:24 then there's in an encrypted copy of 02:26 your private key in your iCloud account 02:29 or your Google account. And one of your 02:31 what's called they used to be called 02:33 trusted contacts, now they're called 02:34 recovery contacts. one of your recovery 02:37 contacts can help you decrypt that key 02:40 that is stored in your iCloud account or 02:42 your Google account to move your 02:43 Bitcoin. So, the big difference about 02:45 Bit Key is that you control those 02:48 private keys yourself, which means 02:50 Coinbase or River or PayPal, they can 02:53 never take your Bitcoin away because 02:56 it's you control the keys. Even the 02:58 company behind BitKey, which is called 03:00 Block, which makes the Square payment 03:02 terminals and the the Cash App app and a 03:04 lot of other things. In fact, the 03:06 Square, the company just got added to 03:08 the S&P 500 as one of the 500 most 03:10 prominent largest companies in America. 03:12 So, good for them. That's a big deal. 03:14 And the company is run by Jack Dorsey, 03:16 who uh was one of the co-founders of 03:18 Twitter before he sold it to Elon Musk. 03:21 And uh Jack Dorsey is great and he's a 03:23 huge proponent in favor of Bitcoin. So 03:27 the big powerful thing about BitKey is 03:29 you control the keys yourself, which 03:30 means nobody can lock you out. Nobody 03:32 can take your keys. You know, the 03:34 government can't seize your funds unless 03:36 they physically seize you or they go 03:39 find your BitKey device and your phone 03:41 and unlock it and all of that, which is 03:43 obviously, you know, requires a warrant 03:45 and virtually always your participation 03:47 because otherwise they would not know 03:49 where to find it and where to get it and 03:50 what to do with it and all of that. So 03:52 uh the power of bit key which is bit i t 03:55 ke y bit.world 03:57 w is their website. The power of that is 04:00 you hold the private keys. But again in 04:03 all scenarios everyone's bitcoin from 04:05 the beginning of time until now and 04:07 forever more the bitcoin itself will 04:10 always be on the bitcoin blockchain. So 04:13 when people say I I have it on Coinbase, 04:16 I have it on Robin Hood, what they mean 04:17 is I am trusting those companies to hold 04:20 my private keys for me, the Bitcoin is 04:23 always on the Bitcoin blockchain. And 04:24 when you transfer Bitcoin or you send it 04:26 or you spend it, it is moving ownership 04:30 on the Bitcoin blockchain from you to 04:32 someone else or from somebody else to 04:33 you. But again, all of those companies I 04:36 mentioned are just holding the private 04:37 keys for you. The difference about Bit 04:39 Key, which is why I'm such a big fan of 04:41 it, is that you control the private 04:43 keys, and they built it where it's 04:45 basically impossible to lose the the 04:47 private keys. Like, I've gone into with 04:49 other videos why it's basically 04:51 completely impossible to lose your 04:53 private keys with Bit Key. So, I won't, 04:55 you know, regurgitate all of that here, 04:57 but, uh, Bit Key has basically made it 04:59 impossible to lose the keys to your 05:01 Bitcoin and entrusted you with the power 05:04 of having those keys. And they even have 05:06 an inheritance FA uh uh feature set up 05:08 that if something happens to you, your 05:10 loved ones can unlock your Bitcoin after 05:12 a six-month waiting period. And they've 05:14 got it's just brilliant. It's genius. 05:16 Like everything about it is just like 05:18 one of the most ingenious things humans 05:20 have ever made. So, where's your 05:21 Bitcoin? Always on the Bitcoin 05:23 blockchain. Who controls your keys? 05:26 Maybe it's River, maybe it's Coinbase, 05:28 maybe it's Robin Hood, maybe it's 05:29 PayPal, maybe it's Cash App. Ideally, 05:31 it's you. Ideally, it's you because you 05:34 bought a Bitkeye device and you control 05:36 your own keys so that the ability to 05:40 move and spend and buy and sell Bitcoin 05:42 is 100% in your control and nobody can 05:45 take it away from you and is the beauty 05:47 of Bit Key. So, especially if you have 05:49 more than $5,000 of Bitcoin and you want 05:52 to save it, store it safely outside of 05:55 the hands of hackers and scammers that 05:58 Bit Key is absolutely positively the 06:01 answer to that. But even in that case, 06:03 again, the Bitcoin itself is still on 06:05 the Bitcoin blockchain. You're just 06:06 unlocking it, moving it, and spending it 06:08 with private keys, which is always the 06:10 case. And Bit Key puts those private 06:12 keys in your hands, which is very, very 06:15 powerful and pretty amazing. Have a 06:17 great evening, everyone.