Jake Mazulewicz, Ph.D.
A 25% error rate... in Bitcoin (in 2017)... and a cool graphic summary
In 2017, I was invited to speak to a group of Bitcoin pioneers from around the world.
I had never heard of Bitcoin before. The concept, technology, the mysterious backstory, and the potential were unlike anything I had ever seen before.
The best analogy I heard was that Bitcoin can do to money what the internet did for communication.
Disruptive technologies like Bitcoin evolve rapidly. Competition is fierce. And the focus is often on solving technical problems... not ensuring highly reliable human interactions.
That creates a perfect storm for unwanted errors. One user lost over $100,000 (in 2017) because of a simple type-0. And they were not alone.
“Almost a fourth of our participants indicated that they had already lost bitcoins or Bitcoin keys at least once. To our surprise, almost half of those who lost bitcoins were due to a self-induced error.” The Other Side of the Coin: User Experiences with Bitcoin Security and Privacy? K. Krombholz, A. Judmayer, M. Gusenbauer, & E. Weippl. SBA Research, Vienna, Austria (p.15).
Click on the image above to download the cool graphic summary of my presentation.