This is My Bitcoin NODE

00:00 Hey everyone, this is my Bitcoin node. 00:04 Uh there are many like it, but this one 00:06 is mine. You do not need a Bitcoin node. 00:09 Uh there is no reason for an average 00:10 person to own one of these. Although 00:12 we're going to talk about what it is, 00:14 why people do own them, and how do they 00:17 differ from a Bitcoin miner like this 00:21 little thing with the uh running and 00:23 making noise and trying to secure and 00:25 audit the Bitcoin network. Okay, so what 00:28 is a Bitcoin node? A Bitcoin node uh 00:31 contains an entire copy. This one right 00:34 here contains an entire copy of the 00:36 entire Bitcoin network. All 16 years of 00:40 it, trillions of dollars of value 00:42 transferred over the years, billions of 00:44 transactions, all of that is in this 00:46 little device right here. A Bitcoin at 00:48 node is the official recordkeeper of the 00:51 Bitcoin network. And there are tens of 00:53 thousands of these around the world, 00:55 including Bitcoin nodes running on 00:57 satellites. So, if you ever have to 00:60 worry about, well, what happens if the 01:01 Bitcoin network goes down? First of all, 01:03 it's not going to. Uh, second, you could 01:05 restart the entire Bitcoin network, the 01:08 entirety of it, with a single node 01:10 anywhere in the world. You could restart 01:12 the entire Bitcoin network even if the 01:14 internet went down. And you need one of 01:16 the tens of thousands of Bitcoin nodes 01:19 that exist in the world. So, what does 01:21 this little guy do? Uh, first of all, 01:22 it's simple. It's got a power button and 01:26 it's got a port to plug in power and 01:29 then you can connect it to your Wi-Fi or 01:30 you can plug it into like your uh you 01:32 know your uh your uh actual physical 01:35 cable for the internet. But this little 01:37 guys uh it keeps a log and a record and 01:40 it audits the entire Bitcoin network. 01:42 Now you may be wondering but wait when I 01:46 talked about a Bitcoin miner which is 01:47 what this little thing is I talk about 01:49 the fact that this secures and audits 01:51 the network. The reason I talk about 01:53 this as securing and auditing the 01:54 Bitcoin network is a minor always goes 01:57 with a Bitcoin node. You cannot mine 02:01 without a Bitcoin node. Now, you can run 02:03 a node all day long without a Bitcoin 02:05 miner. These are standalone. Anyone can 02:07 run these. You do not need to be a 02:09 Bitcoin miner or have Bitcoin mining 02:10 equipment. But if somebody is trying to 02:13 do Bitcoin mining, it always means they 02:15 have a Bitcoin node because otherwise 02:17 this little blue guy would try to be 02:19 would be attempting to secure a network 02:22 that didn't exist or that it didn't 02:24 know. So every Bitcoin miner is 02:26 connected to a Bitcoin node, but every 02:28 Bitcoin node uh is not necessarily 02:31 connected to a Bitcoin miner, but they 02:32 do use the Bitcoin miners because that's 02:34 what's uh securing the network. And as 02:36 always, I am vastly vastly vastly 02:39 oversimplifying all of this. So if 02:41 you're a techie, please don't harass me 02:43 for being, you know, for oversimplifying 02:45 because that's what I'm doing here. 02:46 Okay, so let's talk about how these 02:48 works. First of all, any computer can be 02:50 a Bitcoin node. This just happens to be 02:52 an umbrell, 02:55 which is just the easiest way to run a 02:56 Bitcoin node. It is so simple that 02:58 literally you buy it. This one's cost 03:01 $400. Uh although you can buy you can 03:03 run a Bitcoin node on a computer that 03:05 costs $100, $200. Basically, the 03:08 cheapest of cheap computers uh can run a 03:10 Bitcoin node as long as you have at 03:11 least a one terabyte hard drive. This 03:14 one actually has a two terabyte hard 03:15 drive just so that it will be able to 03:17 run the Bitcoin network for decades into 03:19 the future. Um, but this one costs $400. 03:23 Um, all right. So, let's talk about what 03:25 this thing does. So, when you plug this 03:27 thing in for the very first time, you 03:29 connect it to your Wi-Fi or you plug it 03:31 into that cable in the back and it uh 03:34 downloads the entire Bitcoin network. 03:37 Every single transaction that has ever 03:39 happened on the Bitcoin network can be 03:41 stored inside this tiny little computer. 03:43 In fact, this one right here, because 03:45 it's on, it's plugged into power, it's 03:47 connected by Wi-Fi, this one is running 03:50 the entire Bitcoin network. 100% of the 03:52 Bitcoin network is running on this 03:55 computer right now. So, that is what uh 03:58 that's what you can do here. It's really 03:60 amazing. Okay, so um and it takes about 04:03 this one took between 21 hours and 23 04:06 hours to download the entire Bitcoin 04:08 network. And we'll look at sort of what 04:10 that looks like. So again to recap, this 04:14 logs, audits, and stores the entire 04:18 Bitcoin network, every transaction in 04:20 the entirety of history. This is a 04:23 Bitcoin miner that secures the Bitcoin 04:26 network. The world has a billion or more 04:29 of these in it. There are I mean 04:32 billions of computations, trillions, 04:34 quadrillions, seextillions, septillions 04:37 of computations per second on the 04:38 Bitcoin network run by things like 04:40 these. The entire Bitcoin network only 04:43 has, you know, tens of thousands of 04:44 these and you only need one. So in some 04:48 ways it's, you know, there's tens of 04:50 thousands of nodes worth of redundancy, 04:53 including Bitcoin nodes running on 04:54 satellites. So even if something took 04:56 out the entire network on Earth, these 04:60 Bitcoin nodes are running on satellites, 05:02 meaning there's copies of the entire 05:04 Bitcoin network on satellites. Okay, so 05:07 with that being said, um what does this 05:09 thing do? So this thing downloads the 05:11 entire Bitcoin network and every single 05:13 block, more than 800,000 blocks, it 05:16 downloads the block of transactions. It 05:18 verifies that it's linked to the block 05:20 before it. It goes through every single 05:23 transaction in the entire block making 05:25 sure that no transaction is using 05:27 Bitcoin that was already spent. 05:29 Basically uh verifying that every single 05:31 user has the legal rights to the Bitcoin 05:33 they are trying to spend in that block. 05:36 It does all of that. It audits every 05:38 single transaction in the entire block 05:40 which is 10 minutes worth of 05:41 transactions. And then it stores it 05:44 away. And then it takes the next block. 05:46 And it does that. And it takes about 05:47 again somewhere between 21 hours and 23 05:50 hours to do that for the entire Bitcoin 05:53 network. You know, billions of 05:55 transactions, trillions of dollars in 05:57 value. It does it all in about 21 to 23 05:60 hours to audit 16 years. And then what 06:03 it does now is it communicates with 06:05 every other well with a sort of a 06:07 critical mass of the other Bitcoin 06:08 nodes. And every time somebody processes 06:10 a transaction on Coinbase or to their 06:13 Bitkey device, uh it shares it with a 06:16 Bitcoin node that looks like this or you 06:18 know a bigger version of this and that 06:20 Bitcoin node immediately shares it with 06:22 a bunch of others which could share it 06:23 with a bunch of others and in less than 06:25 a second all of the Bitcoin nodes in the 06:28 entire world are aware of that 06:29 transaction. So when you transmit 06:31 something on the Bitcoin network, the 06:32 nodes all chatter about it instantly and 06:36 within less than a second all of the 06:38 nodes in the entire world are aware of 06:40 your transaction and they're all in sync 06:43 to make sure that you that you are not 06:45 trying to spend Bitcoin that's already 06:46 been spent and that you've uh you know 06:48 you followed all the Bitcoin rules. And 06:54 additionally, 06:55 every time a Bitcoin miner mines a new 06:58 Bitcoin block, it uh gives that new 07:01 Bitcoin block to a node. The node 07:03 verifies that it's legit, that it 07:05 follows all the rules, and then it 07:07 propagates that to all of the other 07:08 nodes. So, you can run the entire 07:11 Bitcoin network on one node and one 07:14 Bitcoin miner. Literally the entire 07:16 Bitcoin network could run with just this 07:19 at my house. Now, obviously, there's no 07:21 benefit to having just Bitcoin at my 07:23 house. So, uh all of these are 07:25 connected. This is connected with all of 07:27 the the uh the um the Bitcoin miners in 07:31 the entire world are all linked 07:32 together. They're all mining. And that's 07:35 what these are doing. But there's a 07:36 billion of them. And the tens of 07:38 thousands of Bitcoin nodes are all 07:40 talking to each other all of the time as 07:42 well. And that's why you can transact 07:43 Bitcoin anywhere in the world, anytime, 07:45 day or night. And again, if it can't get 07:47 there by landline, it'll use satellites 07:49 to uh to replicate the Bitcoin network 07:52 via satellite to make sure all the nodes 07:54 stay up to date all the time. Okay. So, 07:56 what is the back end of this look like? 07:58 So, I'm going to do a screen share here 08:00 and show you what it looks like. Give me 08:03 one second here to do that. Um, I don't 08:05 usually do screen shares on my laptop, 08:08 so give me a second. I was doing it just 08:11 prior to this. And let me figure out how 08:14 to do that. 08:16 One second. 08:21 It is not immediately showing me how to 08:24 do that. It's acting like it wanted me 08:25 to do that before I started, but let me 08:29 see if I can figure it out. 08:35 Where is the share screen? 08:39 Well, before I started recording, it 08:41 gave me a share my screen option, and 08:44 now it is not giving me that option. So, 08:46 looks like I'm going to have to end this 08:48 video and start another one that uh will 08:52 let me share my screen. So, I will do 08:53 that right now.