Checkout Physical Bitcoins by Casascius https://www.casascius.com/
Each Casascius Bitcoin is a collectible coin backed by real Bitcoins embedded inside. Each piece has its own Bitcoin address and a redeemable "private key" on the inside, underneath the hologram.
http://bitcoinminer.se/wp-content/uploads/2014/01/bitcard_back.jpg
Topic: Help understand physical coin! (Read 830 times)
hero member
Activity: 560
Merit: 509
I prefer Zakir over Muhammed when mentioning me!
Physical coins are mostly given as a gift but some buy it just to collect some. I don't think it is a good idea as they have your private key. I heard that some physical coins allow us to put the private key but you will have to tell the address when you buy. 
Kindly,
MZ
Kindly,
MZ
Physical coins is one of physical way of storing Bitcoin.There is some company coverting your BTC into physical form.. like Casascius. I'll tell you what I know, So these company they collect Bitcoin. And they make various 1,2,5,10 BTC etc coins as per their wish. What they actually do is, make one unique wallet and in them, transfer particular amount of Bitcoin to that address. After that, they engrave its private key on sticker/hologram/coin and somehow hide it so that whenever, buy has need to transfer them, they remove those sticker/hologram and can send the transaction. Right?
So, I've following questions?
1. Each coin have their own unique address whether it is for 0.001 physical coin or 1000 BTC physical coin?
2. If they only engrave private key in coin then, how do they tell public address to its customer? Do they send letter, certificate or anything like that with Public address?
3. If they're one who knows public address and private address then how can we trust them?
So, I've following questions?
1. Each coin have their own unique address whether it is for 0.001 physical coin or 1000 BTC physical coin?
2. If they only engrave private key in coin then, how do they tell public address to its customer? Do they send letter, certificate or anything like that with Public address?
3. If they're one who knows public address and private address then how can we trust them?
Your understanding is correct. Private keys are hidden some how in coin and public key is very visible.
1. Yes
2. You may get public address on coin visibly, or given you with a accompanying documentation/email or you can go to their web site and get it.
3. You should not trust them.
Regards
Physical coins is one of physical way of storing Bitcoin.There is some company coverting your BTC into physical form.. like Casascius. I'll tell you what I know, So these company they collect Bitcoin. And they make various 1,2,5,10 BTC etc coins as per their wish. What they actually do is, make one unique wallet and in them, transfer particular amount of Bitcoin to that address. After that, they engrave its private key on sticker/hologram/coin and somehow hide it so that whenever, buy has need to transfer them, they remove those sticker/hologram and can send the transaction. Right?
So, I've following questions?
1. Each coin have their own unique address whether it is for 0.001 physical coin or 1000 BTC physical coin?
2. If they only engrave private key in coin then, how do they tell public address to its customer? Do they send letter, certificate or anything like that with Public address?
3. If they're one who knows public address and private address then how can we trust them?
Yes each coin have unique address. They engrave some characters of public key and people can visit manufacturers website to get full address.So, I've following questions?
1. Each coin have their own unique address whether it is for 0.001 physical coin or 1000 BTC physical coin?
2. If they only engrave private key in coin then, how do they tell public address to its customer? Do they send letter, certificate or anything like that with Public address?
3. If they're one who knows public address and private address then how can we trust them?
Private key in compressed format is engraved below silver shield which once broken cannot be attached back easily
You just trust. That's it. They usually claim they destroy their copy of private keys after engraving
Physical coins is one of physical way of storing Bitcoin.There is some company coverting your BTC into physical form.. like Casascius. I'll tell you what I know, So these company they collect Bitcoin. And they make various 1,2,5,10 BTC etc coins as per their wish. What they actually do is, make one unique wallet and in them, transfer particular amount of Bitcoin to that address. After that, they engrave its private key on sticker/hologram/coin and somehow hide it so that whenever, buy has need to transfer them, they remove those sticker/hologram and can send the transaction. Right?
So, I've following questions?
1. Each coin have their own unique address whether it is for 0.001 physical coin or 1000 BTC physical coin?
2. If they only engrave private key in coin then, how do they tell public address to its customer? Do they send letter, certificate or anything like that with Public address?
3. If they're one who knows public address and private address then how can we trust them?
So, I've following questions?
1. Each coin have their own unique address whether it is for 0.001 physical coin or 1000 BTC physical coin?
2. If they only engrave private key in coin then, how do they tell public address to its customer? Do they send letter, certificate or anything like that with Public address?
3. If they're one who knows public address and private address then how can we trust them?
Jump to: