Ever since BitCoin appeared, I've been waiting for two security experts to venture detailed opinions on it: Dan Kaminsky and Ben Laurie. Dan has now weighed in, with a long, thoughtful piece on the merits and demerits of BitCoin as a currency and as a phenomenon.
Bitcoin’s fundamental principle of fraud management is one of denial. If we drop our wallet on the street, the U.S. government is not going to compensate us for our lost cash. Bitcoin attempts to make the same deal, to the point where it calls its stores of keys, “wallets.” If we drop our wallet on the street — heck, if someone picks it out of our pockets — the money’s gone.
There have been bitcoin thefts. A few years ago, I tried to break Bitcoin, and failed quite gloriously. The system and framework itself is preternaturally sound. But it too is built on the foundation of buggy technologies we call the internet, and so Bitcoin must experience failures from the code around it. Hackers don’t care whose code they broke on their way to bitcoin, any more than pickpockets care that they’re exploiting the manufacturer of one’s jeans or leather wallet. So they break the server below the money, or the web interface above it. They still win.
At least, that’s the theory. Reality is more complicated. Of all the millions of dollars of purloined bitcoin that’s floating around out there, not one Satoshi of it has been spent. That’s because while most other stolen property becomes relatively indistinguishable from its legitimate brethren, everybody knows the identity of this particular stolen wealth, and can track it until the end of time.
Bitcoin Is Not as Secure, Unregulated, or Lucrative as You Might Think
If you’re a student journalist and want to attend HOPE XI, the Eleventh Hackers on Planet Earth conference (July 22-24, NYC) you can win free admission (and an interview with me!) by submitting an article about any of the topics come up at HOPE conferences! Get writing!
Earlier this month, I gave the afternoon keynote at the Internet Archive’s Decentralized Web Summit, and my talk was about how the people who founded the web with the idea of having an open, decentralized system ended up building a system that is increasingly monopolized by a few companies — and how we can prevent the same things from happening next time.
Since 2013, the World Wide Web Consortium (W3C) has been working with the major browser companies, Netflix, the MPAA, and a few other stakeholders to standardize “Encrypted Media Extensions” (EME), which attempts to control web users’ behavior by adding code to browsers that refuses to obey user instructions where they conflict with the instructions sent […]
Some people say magic tricks are nerdy and best left to your 12-year-old asthmatic cousin. But others see value in perfecting the slight of hand and showmanship associated with a perfectly executed routine. We’re firmly in the latter camp. And now, we’re giving you the ability to put a few parlor tricks up your sleeve with the Penguin […]
Bluetooth speakers may be convenient to use, but many of them just aren’t that powerful. Sure, it may be fine if you’re seated in front of the speaker. But move across the room, and you may strain to hear what’s coming from those tiny drivers.There’s a reason why the G-BOOM Wireless Bluetooth Boombox (now $79.99 in the Boing […]
If you’re working to build your web programming knowledge, you know you have a lot of ground to cover. With literally dozens of languages, platforms and environments available to coders, mastering all those technologies can be a daunting task.Up-and-coming coders can start learning some of the most fundamental programming study areas with this Web Hacker course bundle – and […]