Topic: Need Beginner Friendly technical knowledge on crypto (Read 236 times)

"WOW" was the first word that came to my mind when i read this and appreciate your efforts of helping guyz like me as it not only increases my knowledge but also increases my thrive to learn more. I have read some parts in BIP-13,BIP-141 and there also BIP62 which was mentioned  and it is a vast topic to complete and understand.The more we dig the more we find interest. Soo thank you and hope to bother you next time again soon .

Thanks for asking the question first. I always like to share what I have learned to others.

Let me just cover the basics of how a bitcoin address is generated first. Initially a private key is generated by a bitcoin wallet and the number of private keys present is unfathomably large (i.e over 2²⁵⁶). G is a point on Elliptic Curve and when any value in the order of 1 to G is multiplied with the private key it yields another point on the elliptic curve. This derived point is called as Public Key. Note that this is a one way multiplication and dividing public key by the generator point would never yield you the private key.

Privkey * G = Pubkey

where,

Privkey = Private Key
G = Any point on curve
Pubkey = Public Key

When you hash the public key with SHA256 and further with RIPEMD160 you would get a string of characters. These characters are certainly large and a Base58 check encoding is done. This would yield you the address starting with 1.

Address starting with 1 = Base58check(RIPEMD160[SHA256[PubKey]])

Now coming to the addresses and transaction types

1. P2PKH [Pay to Public Key Hash] :

This is the general legacy address transaction and this is how most of the general transactions occur in Bitcoin Network. Consider Madhav Singh is paying Heisenberg 0.001BTC Here the transacted bitcoin is locked in a script which isn't spendable without the Heisenberg's signature and Public Key. When it matches the bitcoins are unlocked and can be spent by Heisenberg.

2. P2SH addresses [Pay to Script Hash] :

We do know that, when Base58 check is added to the public key it yields a bitcoin address starting at 1. Here Base58 check encoding is done to the script hash instead of a Public Key. Please read BIP-13 for more info on this type of address starting with 3.

Please note that addresses which start with 3 necessarily doesn't want to be SEGWIT all times. They may or may not be SEGWIT. But addresses which start with bc1 are definitely SEGWIT addresses. Please read the old post of mine to know more about Multi-signatures

A little insight on SEGWIT as well

Older bitcoin transactions were measured based on the size of the transaction such that a bitcoin block can consist of only 1 MB transactions. With the introduction of segwit, the transaction size was never considered rather Weight Units were taken into consideration. A bitcoin block can have 4 million weight units which is equivalent to 1 million virtual bytes.

Must have a read on BIP 141 for better insight on what a SEGWIT actually is.

Hope this post gives you an insight on what different bitcoin addresses are.

There are basically 2 types of addresses Legacy and Segwit (Segregated Witness).
Segwit in turn is divided into two types as Nested Segwit and Native Segwit.
Which is why

Legacy (P2PKH) addresses starts with 1
Nested segwit (P2SH) starts with 3
Native segwit (Bech32) starts with bc1

Basically, Legacy is the original bitcoin address type and Segwit are the lateral versions.
Every bitcoin transaction had a transaction signature which consumed some space in it's block and Segwit was created to remove this transaction signature so that more transactions can fit into that block which eventually reduced the transaction fees and increased the number of transactions in the block.

For more information you can refer to the below link
https://support.exodus.io/article/1178-bitcoin-addresses-legacy-vs-segwit

One more doubt that i have guys is, The other day i was participating in some lottery of heisenberg and was asked to post my bitcoin address.For that i had to generate one bitcoin address in one of the wallet,While doing so i came to know that there are 3 types of wallet address 1) P2PKH 2) P2SH 3) Bech32.
I got curious and i googled it immediately and i got the basic of them like each one starts diffrently.P2PKH is also called legacy format and it starts with"1".
P2Sh starts with 3 and Bech32 starts with bc1.But I want to know why there are three addresses and what is the technical details of them.
Can any one help me with this?

That exactly is my point.

I don't think it's contradicting.Because i didn't find as many thread as i thought and with whatever thread are there i didn't find any quality.There was hardly any discussion or brainstorming going on.Moreover technicality was missing i personally felt so.And for what i personally visualize when i first seen this forum was people will only talk technical.And as far as market is concern i think india has nothing to with dip in VCs market.Here the liquidity in stock market has been affected and that we can understand due to global trade. But to think that liquidity in bitcoin market is not there from our side is panicking way to early,people here still are looking to invest and not to pull out.Here the situation what i can read is that people have earned money even on dip in fiat market and they have money but right now the volatility in either of the market is high.Prediction are impossible and that is preventing people to invest.India as compared to global still has liquidity.

According to me the only reason why bitcoin has decreased so much in price is due to the COVID-19 situation across the globe.
People are in a state of panic which has lead a huge crash in the stock market and this has create an impact on the crypto market too.
People are willing to pay more for toilet papers, hand sanitizers and masks and are stocking up their homes with more groceries since the sores are being closed one by one. People are pulling out money from all their sources and this is the reason why investments including stocks and crypto are going down.

This statement is contradicting. You will find out if you read it again. Anyways, there are threads on bitcoin discussion board which are discussing on this situation. You can read those to find out different opinions. Nobody can actually tell the exact reason but as per the current situation the highest probability for the fall of the market is the COVID-19 situation.

I appreciate and thank all of you guys,who are willing to respond and resolve and that allows me and newbies like me to break the ice.
And as the conversation has started on resolving a queries,I have one query.
As we all are aware about this global pandemic of covid-19 and all traditional market were down.Does these situation is also responsible for poor performance of bitcoin market too. I personally feel the VCs market must not have any effect of what is going on real world.But if we consider that it has an effect than the only reason which i think can be is the loss of money in traditional market has forced people to pull out money from VCs market, which triggered selling of currencies.I am confuse here about the technicality behind this or i wonder is there any technical reason or not? because i had gone through many threads and topic and nobody has mention any correct reason.Strangly there are very few topics also. and again spare me if i am sounding stupid 

That's right!

If anything, we encourage people to ask questions here. We want more new blood coming into the system. All of us old-timers here want to clear all the myths and misconceptions people in India hold against crypto.

@OP if you need any help, feel free to DM me, or talk to me on Telegram. You can find me on the Vsys Telegram group (My screen name there is Logan).

Nobody will be irritated. The worst that can happen is that you will end up getting some merits if the questions you ask warrant a good discussion and response.. Seeing that Heisenberg is our in-house, sortta active expert on technical aspects too, you can ask questions directly on this thread itself.

For anyone willing to dip into the books and resources he mentioned, the forum offers an awesome journey.

There is no such thing to get irritated or feel offended while explaining about bitcoin to someone who is really willing to gain knowledge on the topic. Once you have read the "Mastering Bitcoin" book to an extent, I am pretty much sure you will have a pretty good knowledge on bitcoin and blockchain in general. The global boards have "Development & Technical Discussion" board where you can read on the newer improvements being suggested to bitcoin by common members like us. Apart from that, there is a Bitcoin Technical Support board where you can ask questions when you are struck with a wallet or have been experiencing similar kind of situation.

Mining section is dedicated for discussion with advanced miners and if you have any kind of newbie friendly questions on Mining and Bitcoin in general, you can create a topic in "Beginners & Help". Speculation board is for traders discussing on future bitcoin prices and Meta is for discussing about Forum Issues.

Before you start posting, kindly have a grasp on general rules which should be followed in this forum : Unofficial list of (official) Bitcointalk.org rules, guidelines, FAQ and read through all the stickies on top of all the global boards. Hope this is more than enough for you to start your journey of gaining knowledge in this forum in a vibrant way. Cheers 

Thank you @heisenberg_hunter for your feedback.
and i surely will follow information that you have provided and i know it'll be of great help going forward.
I will post my intro in topic that you have provided.
thank you once again and please don't be irritated if i ask you my doubts regularly sir.

https://www.lopp.net/ has great resources as well.

OP you can also visit Beginners & Help section to get basic knowledge about crypto currencies and also don't forget to read the guides and pinned threads on different sections of main boards of bitcointalk.

Hello Madhav! Welcome to the most famous Bitcoin Forum which is founded by Satoshi Nakamoto himself.

You should initially distinguish and identify in which group you belong from various users present in Bitcoin as a whole. Introduce yourself here in this topic started by amishmanish New People Joining India Board Once you have given a short intro in the topic, read my pinned topic Bitcoin Resources - Consolidate List (India Specific)

Are you willing to trade bitcoin, altcoins or learn more about the technology and contribute to Bitcoin source code? If you belong to the latter, buy a copy of "Mastering Bitcoin V2" or read it from GitHub. I have provided links for the same in my topic. If you have any queries or doubts while reading Mastering Bitcoin, create a topic here in our local board or reply to this topic. I will try to help you out in understanding the basics of Bitcoin.   Bitcoin and Blockchain technology is a vast area where you have the freedom to use your money as you like without the intervention of third Party Banks!

Note : Please don't fall for PONZI ICO scams and try to gain as much knowledge on wallets before investing in Bitcoin.

P.S Have a look at this as well : 5 Resources to teach Average Joe about Bitcoin

Hope this helps!

Hey guyz,
I am really new to this world of cyptocurrencies.As my friend had a fair bit of knowledge regarding cryto and this forum so he recommended me to join.I am really curioius to update and increase my knowledge on crypto and also on blockchain.When i first heard about such thing i immediately googled it and with whatever details i got,i was fascinated by it and all that has landed me here.It'll be great if i get help from you guys to enhance my knowledge.
Can you guyz recommend me what to start with so that i can better understand about this technology.