{"id":405022,"date":"2022-02-12T17:13:00","date_gmt":"2022-02-12T14:13:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/bitcoins-last-security-challenge-simplicity\/"},"modified":"2022-02-12T17:13:00","modified_gmt":"2022-02-12T14:13:00","slug":"bitcoins-last-security-challenge-simplicity","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/bitcoins-last-security-challenge-simplicity\/","title":{"rendered":"# Bitcoin\u2019s last security challenge: Simplicity"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a283ea456ef5\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a283ea456ef5\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoins-last-security-challenge-simplicity\/#Diversifying_demographics\" >Diversifying demographics<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoins-last-security-challenge-simplicity\/#Changing_threats\" >Changing threats?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoins-last-security-challenge-simplicity\/#Making_security_simple\" >Making security simple<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Bitcoin\u2019s last security challenge: Simplicity <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-128018ef>It\u2019s been just 13 years since Bitcoin\u2019s (BTC) \u201cMayflower moment,\u201d when a tiny handful of intrepid <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/trip-and-travel\/\" data-internallinksmanager029f6b8e52c=\"10\" title=\"Trip &amp; Travel\" target=\"_blank\" rel=\"noopener\">travel<\/a>ers chose to turn their back on the Fiat Empire and strike out to a new land of financial self-sovereignty. But, whereas it took 150 years for the American colonists to grow sufficient in number to throw off the yoke of unrepresentative government, the Republic of Bitcoin has gone from Pilgrims to Revolutionary Army in little over a decade.<\/p>\n<p>What sort of people are these new Bitcoiners? How do their character, demographics and technical knowledge differ from earlier adopters? Is \u201cGeneration Bitcoin\u201d sufficiently prepared to protect their investment against current and future security threats? And, most importantly, what are the challenges that the rapidly growing community must urgently address to secure the success of our revolution? <\/p>\n<h2><span class=\"ez-toc-section\" id=\"Diversifying_demographics\"><\/span>Diversifying demographics<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Who are today\u2019s Bitcoiners? While we don\u2019t know precisely, we can see some high-level trends. <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-02\/901a21c6-1939-4316-a167-fc08d5840e80.png\"><\/figure>\n<p>These changes can be charted in a number of ways. First, there\u2019s unempirical but still valuable anecdotal evidence such as more diversity among attendees at industry events and more women in senior industry roles. <\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>10 women who used crypto to make a difference in 2021<\/em><\/strong><\/p>\n<p>Then, there\u2019s publicly available data, such as the number of corporations holding Bitcoin on their balance sheet. Years ago, pioneers like MicroStrategy would have been mocked. Today, a growing range of public and private businesses (as well as countries) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/bitcointreasuries.net\/\">hold<\/a> part of their treasuries in Bitcoin, and a wave of miners have gone public. <\/p>\n<p>Most importantly, the available data on private individuals shows that the old stereotypes are also changing fast. In the United Kingdom, for example, the proportion of investors over 55 holding crypto <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/archive.md\/JJy67\">jumped<\/a> from just 7 to 22 percent between 2019 and 2020. Similarly, recent consumer research by Gemini <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.gemini.com\/state-of-us-crypto\">found<\/a> that over half of \u201ccrypto-curious\u201d consumers are women and among these, a quarter are over 55.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-02\/978980e0-9e01-4a35-8711-a2b89d3eeff1.png\"><\/figure>\n<p>Sure, Bitcoin adoption has some room to grow before it will match the demographic diversity of the wider population but it\u2019s clear that today\u2019s investors are vastly different from Bitcoin\u2019s \u201cMayflower Generation.\u201d While that\u2019s to be welcomed, it also means that their technical sophistication \u2014 including their security consciousness and skills \u2014 is much more mixed. The big question is: Are they prepared for the threats they face?<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Changing_threats\"><\/span>Changing threats?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The colonial rebels were lucky in their choice of enemy: A divided government headed by a king some 3,000 miles across the ocean. In today\u2019s digital world, we are used to much more diverse, insidious and fast-moving threats than lumbering national parliaments. Yet, in my most recently <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.forbes.com\/sites\/jamesonlopp\/2021\/11\/14\/lopps-threat-index-analyzing-the-top-5-bitcoin-security-threats\/?sh=56ae335261dd\">conducted<\/a> poll of 1,600 Bitcoiners, the second most-cited threat was government seizure.<\/p>\n<p>It\u2019s easy to see why more than a quarter of respondents thought this was the case. For one thing, there are the highly publicized crypto crackdowns in jurisdictions like China. The United States has also <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.forbes.com\/sites\/greatspeculations\/2013\/04\/05\/governments-still-heavy-handed-80-years-after-fdrs-gold-confiscation\/?sh=4a18b64916a6\">confiscated<\/a> citizens\u2019 assets such as gold during the Great Depression. The risk of government seizure is more than simply theoretical.<\/p>\n<p>But, as I often point out \u2014 and as a plurality of respondents agreed \u2014 the most significant threat to users\u2019 Bitcoin is actually accidental loss. Even so, the risk landscape for Bitcoin is significantly more complex than other forms of digital security, Bitcoiners must contend with governments as well as their own forgetfulness.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Lost Bitcoin may be a \u2018donation,\u2019 but is it hindering adoption?<\/em><\/strong><\/p>\n<p>While it\u2019s true that the security landscape is complex, the real threat to users\u2019 coins (and its solution) is actually quite simple and can be described in a single word: usability. <\/p>\n<h2><span class=\"ez-toc-section\" id=\"Making_security_simple\"><\/span>Making security simple<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>This security challenge-solution was perfectly <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.reddit.com\/r\/Bitcoin\/comments\/qpk4hg\/the_complexity_of_selfcustody_is_a_bigger_barrier\/\">encapsulated<\/a> in a recent <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Reddit<\/a> post: <\/p>\n<blockquote><p>\u201cPeople who use the internet are not \u2018internet enthusiasts\u2019 they don\u2019t care about learning about the tech, they just want to use the internet in a seamless and easy way. When crypto goes mainstream it\u2019ll be exactly the same as that for 99.9% of all users.\u201d<\/p><\/blockquote>\n<p>For Bitcoin\u2019s early pilgrims, simplicity was never an issue \u2014 they embraced digital asset security best practices like self-custody and multisignature security from the very beginning. Now, we have a far more diverse array of Bitcoiners, a far smaller proportion of whom know how to keep their coins safe, even if they do understand the threats they face.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Deterring adoption? Balancing security and innovation in crypto<\/em><\/strong><\/p>\n<p>I don\u2019t need to spell out what this means: More people will put their investment at risk by keeping their coins on-exchange or adopting relaxed security practices such as storing passwords and seed phrases online. These threaten individuals\u2019 investment, of course, but even more worrying is what large-scale losses \u2014 whether through theft, confiscation or accident \u2014 would do for confidence and participation in the revolution.<\/p>\n<p>This is in spite of the fact that self-custody combined with multisig is the single most effective way of safeguarding against every conceivable risk from malicious attack to absentmindedness. The <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a> exists and is proven. The only problem is making it easy and intuitive for every Bitcoiner to use. <\/p>\n<p>There is a disconnect between Bitcoin\u2019s central tenets of decentralization, self-sovereignty and user education with how well our industry is helping people achieve them. Users who don\u2019t hold their keys don\u2019t own their Bitcoin, but users are encouraged to cede control over their Bitcoin, resulting in coins being concentrated in a few exchanges and susceptible to attack.<\/p>\n<p>The answer is clearly for the industry to dedicate much more effort to user education, right? Well, yes and no. In terms of <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a> principles \u2014 about the importance of self-custody and why you should secure your Bitcoin like it\u2019s an order of magnitude more than the current market valuation \u2014 there\u2019s certainly much more to be done. <\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Mass adoption of blockchain tech is possible, and education is the key<\/em><\/strong><\/p>\n<p>But, why make the specifics of protecting your Bitcoin something you have to learn? Every digital security expert knows humans are the weakest link in any chain and the more complex security systems are, the more they are ignored. <\/p>\n<p>So, the real question is not whether Bitcoin\u2019s new adopters are sufficiently skilled to protect themselves from the threats they face. Rather, we should ask when our industry will do what it ought to have done right from its early days, and make multisig self-custody so simple, frictionless and intuitive that there\u2019s no learning curve at all. Answer that riddle, and we\u2019ll have safeguarded the revolution for every generation to come. <\/p>\n<p class=\"post-content__disclaimer\"><em>This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.<\/em><\/p>\n<p class=\"post-content__disclaimer\"><em>The views, thoughts and opinions expressed here are the author\u2019s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.<\/em><\/p>\n<div>\n<div style=\"background: rgb(239, 239, 239); border: 1px solid rgb(204, 204, 204); padding: 10px;\"><strong>Jameson Lopp<\/strong> has been actively building in the Bitcoin space since 2015 and has become one of the most respected voices in the Bitcoin developer community. He was previously an engineer at BitGo, developing its high-grade, multisig custody service before joining Casa, a company providing secure wallets and plug-in-play infrastructure solutions for Bitcoin.<\/div>\n<\/div>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/bitcoin-s-last-security-challenge-simplicity\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Bitcoin\u2019s last security challenge: Simplicity &#8221; It\u2019s been just 13 years since Bitcoin\u2019s (BTC) \u201cMayflower moment,\u201d when a tiny handful of intrepid travelers chose to turn their back on the Fiat Empire and strike out to a new land of financial self-sovereignty. But, whereas it took 150 years for the American colonists to grow&#8230;<\/p>\n","protected":false},"author":1,"featured_media":405023,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDIvYmQ2MGE5YzctNTIzYy00NmVmLWJhNjEtMDZlMjc1NTJlZjE4LmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74894,74863,74355,73711,4965,4966,67874,41847],"class_list":["post-405022","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-blockchain","tag-cryptocurrencies","tag-adoption","tag-investments","tag-technology","tag-united-kingdom","tag-united-states","tag-women"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/405022","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=405022"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/405022\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/405023"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=405022"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=405022"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=405022"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}