What Is Bitcoin?

Diagram of Bitcoin Components
  1. A decentralized peer-to-peer network (the bitcoin protocol)
  2. A public transaction ledger (the blockchain)
  3. A set of rules for independent transaction validation and currency issuance (consensus rules)
  4. A mechanism for reaching global decentralized consensus on the valid blockchain (Proof-of-Work algorithm)

from: Mastering Bitcoin, 2ed, Chapter 1, by Andreas Antonopoulos

It’s always a lot easier for me to “anchor” an idea to make it stick, when I have some pictures to go with it!

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