Bitcoin is booming, this is the explanation of UMM Informatics Lecturer

Author : Humas | Friday, May 13, 2022 08:46 WIB

Fauzi Dwi Setiawan Sumadi, ST., M.CompSc. Lecturer of UMM Informatics Department (Photo: Haqi PR UMM)

Bitcoin is a digital currency whose market value is increasing day by day. Even the latest data shows the exchange rate of one Bitcoin coin has crossed the 400-million-rupiah mark. Seeing the Bitcoin trend, Fauzi Dwi Setiawan Sumadi, ST., M.CompSc., one of the lecturers of the Informatics Department, University of Muhammadiyah Malang (UMM), explained.

Fauzi, his nickname, explained that Bitcoin was the first cryptocurrency developed by Satoshi Nakamoto from blockchain technology in 2009. Bitcoin is a virtual currency model secured using the SHA-256 one-way cryptography (hashing) technique. So it won't be easy to manipulate with the advancement of computing devices now. One of the benefits of implementing Bitcoin is the distributed transaction recording model, thereby reducing the complexity of financial transactions without a central authority regulating the process.

"You could say Bitcoin is a digital currency that is stored digitally, and there is no physical form, nor is there any authority that controls it," he added.

Fauzi again explained that in getting one Bitcoin coin, we could do the mining process (mining). Everyone can directly carry out the mining process if they have adequate computing tools to solve available mathematical problems. When someone becomes the first party to solve the problem, the results will be recorded in a block. Then Bitcoin will reward the mining winner.

Therefore, we often encounter mining activists with dozens of Graphics Processing Unit (GPU) devices. “Simply put, the mining process is done by solving mathematical problems using CPU/GPU/ASIC computing devices. If successful, then the one who solves the problem will get coins from Bitcoin,” he said.

This man from Bumiayu, Malang City, also briefly said that when there was already a fatwa related to crypto, most of which forbade it. The lack of certainty about the system and its implementation leads to losses. Therefore, according to him, it would be better for the community to follow the fatwas that have been issued, be it by MUI, Muhammadiyah, or NU. He also hopes that this blockchain technology can promote transparency so that it can be used in the government administration system. (Cdr/Haq/Wil)

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