What Is The Difference Between Ethereum Vs. Bitcoin Vs. NXT?

My friends, Leon Fu (iOS developer), and Ricky James shot this video after arriving in the city of Austin (which is the capital city of the state of Texas) the night before the 2014 Texas Bitcoin Conference.

Ricky wanted to try out some Texas style barbecue so we found a popular barbecue restaurant in the Austin club district on 6th Street to satisfy his craving for some Texas barbecue.

During our “dinner” we had an interesting conversation about the differences between Ethereum versus Bitcoin versus NXT:

Tai Zen:  What’s up guys this is Tai and Leon Fu again with the prison or freedom dot com, it’s a blog that we talk about the tools and techniques and strategies and technology that’s available to help people find freedom in their lives and in this video we want to talk about the three complete script that’s coming out for Ethereum and how that is applied in Ethereum on how that can be applied in Bitcoin and NXT.

So those are the questions that we uncover why Ethereum scripting language is so important in Ethereum, why it’s not in Bitcoin public ledger and I’ll if it’s going to be available for the next cryptic currency or not. And with us behind the camera we have a Ricky James an ambassador from the NXT community and he’s joining us here the night before the first Texas Bitcoin conference and he will be off-camera and I’m going to be with Leon right here but you’ll hear him in  the background.

Okay so…

Ricky James:  I’m also in like this.

Tai Zen:  You’re saying that Ethereum has complete script?

Leon Fu:  That’s the goal.

Tai Zen:  Okay now, Ricky here was asking, would you ask him what the difference, what’s the importance is.

Ricky James:  What’s the point of having it, why do it with the language that the point is originally included in? Bitcoin is written in a language that is true the complete so why do it do it completely leveled on top of that?

Tai Zen:  Okay, so I mean I’m curious about that too, NXT has its own language right? Its own programming language?

Leon Fu:  Well, I don’t know if it does or not. It’s a different language, it is very different from what Ethereum is trying to do. Ethereum is trying to build a platform that anyone can build whatever they want, their goal is not to build features. Next is trying to build features right now try to build we’re going to have an asset exchange, we’re going to have aliases, we’re going to have blah blah blah, right? The Bitcoin’s not having them like that, they’re just going to have this language let other people do whatever they want.

Tai Zen:  Okay so they’re building a computer language then?

Leon Fu:  Building a computer language, building a block chain that has a complete scripting language that can run on top of it, that’s what they’re trying to do.

Okay so from your background as a programmer that’s what Ethereum is trying to do, is that thing easy to do?

Tai Zen:  No it’s not, it’s not easy.

Leon Fu:  It’s not? What are some of the challenges?

Tai Zen:  I mean, it’s the hardcore computer scientists that can do that, they’re all designing a language that’s integrated to their own block chain. I’ll say you can write and all sorts of things you can imagine, it’s like they add a JavaScript to the webpage so that you could start having webpages do all the things that webpages do today. That will not be possible if we don’t have JavaScript to run browsers.

Tai Zen:  So that’s what they’re doing with Ethereum?

Leon Fu:  That’s what they’re doing, that’s the goal, yes.

Tai Zen:  Okay, so if that’s what they’re doing with Ethereum, creating that Ethereum complete script, what prevents Bitcoin and what prevents NXT from having Ethereum complete script on top of their block chain?

Leon Fu:  Nothing prevents them.

Tai Zen:  Okay, so if that’s what they’re doing with Ethereum, creating that Ethereum complete script, what prevents Bitcoin and what prevents NXT from having Ethereum complete script on top of their block chain?

Leon Fu:  I think Bitcoin has to be more conservative with what to do, because they’re at the point that they’re already so big they can mess up what’s already there. It’s very difficult to do this correctly because they have a lot of problems with this. What if somebody decides to write some kind of virus or some kind of loop that clogs the whole block chain, right?

So they don’t have to figure out the how secure the key so that is why a lot of this scripting features were disabled in Bitcoin, it is because of security.

Tai Zen:  So, a new crypto currency such as NXT, what’s to prevent something like NXT from implementing a complete script?

Leon Fu:  This is a very ambitious thing I mean you have to pass the NXT developers.

Ricky James:  For the discussion apparently there was a sham doing they think they actually came up with this time, 10 15 20 of those…

Tai Zen:  When you say that they are coming up with some opt codes for the US elections…

Ricky James: The language has words and instructions so the whole point about Ethereum complete is what’s the minimum numbers of words you need to be able to say anything you need to say.

Leon Fu: In Ethereum complete system, can you not add a new vocabulary later on if you decide you need it?

Tai Zen: Of course you could. But I think one of the biggest issues is the security problem if you do that.

Ricky James:  The real question I got is [00:06:11] doesn’t that make them more reluctant to embark on some big new process like Ethereum which is a totally secure thing. I mean you have nothing but faith to go on that the Ethereum

Leon Fu:  That’s why it has not been release for production yet, this is a project that remains to be seen if they succeed.

Tai Zen:  So when you’re saying they’re releasing test codes right? Alpha codes, for you as a coder, right? For you as a coder, what do you want to see in that Alpha release or the Beta release for you to feel confident that these guys are heading in the right direction? It didn’t have to be perfect but in the right, you know.

Leon Fu:  We’ll see how the development goes, we’ll see. I haven’t been following Ethereum, the blogs are very technical, I don’t have a lot of time to read them yet but I want to see how it goes. When it gets to alpha maybe when it gets closer to release, I’ll start looking in more detail. But they definitely have a lot of technical challenges ahead of them.

So if you ask me how long before we see, I think its months away. I’d be shocked if they go early, even Beta, you know what I mean?

Ricky James:  But NXT has the apps that Ethereum does, but if NXT comes up with that first….

Leon Fu:  I think NXT will go out of the market first.

Ricky James:  Not necessarily, Ethereum is good with solution and with words

Leon Fu:  If NXT has the features that people want then perhaps they can get option.  Any, not just NXT, a few are out there, counterparts, there’s definitely lots of competition.

Ricky James:  Do you think during the period of exchange that’s big?

Leon Fu:  I think definitely that’s going to be a key feature

Tai Zen:  Because NXT is already released at test net, what is a test net?

Leon Fu:  It’s exactly what it sounds like, it’s experimental so you can break it. It’s a test net so you can test the features to make sure the code works before it goes into production.

Tai Zen:  Okay so the NXT community developers have released the test net? And they’re inviting people to test it and they have test coins so that people can test?

So what is the next stage after that? I’ve even heard about that in YouTube Ricky they even have a doggie coin, they’re testing that through the test net through the exchange to see that works and so far, what are your thoughts on that Ricky?

Ricky James: The key there is to come up with the gate its one thing to create a coin and turn it to the NXT system and exchange that inside the NXT system, but to get an external bit of coin you have to have a gateway and setting up the gateway is a whole different project itself. So you really have 2 projects, you have the exchange and then you have the gateway to get to the other coins.

Leon Fu:  And that gateway has to be trusted.

Ricky James:  Right and the gateway has to have multiples and they have to coordinate  to verify with each other on the same wavelength but if you can get those together then I guess my question is, do you think it would really adopt the bit?

Leon Fu:  A lot of things have to happen, it’s got to work number one.

Ricky James: It would be an amazing technical achievement.

Leon Fu: But it also the user interface will have to be user friendly, it has to be reliable, I mean there’s a lot of things there.

Tai Zen: This is in regards to peer to peer asset exchange? And the security concerns?

Ricky James: Absolutely, yeah.

Tai Zen: Is that asset exchange, is that connected to the client to it just depends which client you use? Because on some of the clients I see that they have the asset exchange labelled tab on them.

Ricky James: The tab has to support also because you have two clients and you’re trying to negotiate exchange between them. The thing that is processing what each client takes in and puts out and the notes on the NXT network. So the client is there you have to support, so the notes should have codes for support, it’s 2 different blocks of codes.

And in the NXT organization there’s two different groups of people that generate that. I mean you have a group working on note codes and then you have people that are working on client code… the NXT people basically only generated the first client in RES. That’s the general client and I don’t believe the core development is the second client.

Leon Fu:  It’s like the seven different NXT clients that are out there now.

Tai Zen:  If they support asset exchange, they’re having to that kind of independently. The development team that’s kind of asset exchange in the notes code. So there’s a coordination effort between those two groups and you know it’s lumbering forward in making progress which is an amazing thing in itself. It’s not how you develop software at Dell right?

Leon Fu:  No, it’s not. This is an open source of volunteer effort.

Ricky James:  Even more than open sourced it is decentralized it’s like everyone showed up to write some codes today.

Tai Zen:  And hope it matches up.

Leon Fu:  That’s right.

Tai Zen:  Does it work?

Leon Fu:  It’s been done, that’s how most of the internet run right? Its how most software that runs the internet was developed?

Tai Zen:  Yeah?

Leon Fu:  Apache, Linux, Mozilla, Chrome.

Tai Zen:  The fact that its open sourced and the fact that they’re multiple…

Ricky James:  From the security stand, open source is a good thing because you don’t want to run something like this that’s not open sourced because somebody, open source gives you the ability to audit the code to make sure that it’s doing what it’s supposed to do.

Tai Zen:  Now back to what you were saying about Ethereum complete script, what do you guys think is more important, do you think that if NXT has the Ethereum complete script or the peer to peer asset exchange? Which one would be more important? From my perspective, I think the peer to peer exchange is way more important at this moment in the market.

Ricky James:  First to get there wins the game

Tai Zen:  But right now of all the crypto currencies, the only one that has even a test net or an alpha or beta version is only NXT.

Leon Fu:  Well I think Mac has, Master Coin is also a competitor and they’re also very well-funded and I think there’s a new one on the block named Counterpart and they’re also trying to be like Master Coin to.

Ricky James:  Both of those use the Bitcoin?

Leon Fu:  That’s right exactly. Both of them are trying to do these features on top of the block chain, they’re trying to create their own currency within the Bitcoin Block chain. So it’s trying to piggyback right?

I know Peer coin is also doing an effort, they’re trying to do something called peer shares, the ability to do some kind of shares exchange. And they raised a million dollars when they hired the developers and they’re going after this too. So there’s a lot of competition here, we don’t know who’s going to be the winner. The competition is good.

Tai Zen:  Now when it comes to Ethereum complete script, only Ethereum has that right now.

Leon Fu:  Right now, only Ethereum is attempting this and yes they do have an alpha test net and they have been running contracts that’s not ready for general consumption but they have a test net that you can go download software and play with it.

Ricky James:  How big is their team?

Leon Fu:  They have a pretty big team, we’re going to go find out tomorrow.

Tai Zen:  We’ll find out tomorrow at the Texas Bitcoin Conference. We are just meeting up before the conference or the night before. Anything else that people need to know about the Ethereum Complete Script?

Leon Fu:  No that’s it. That’s definitely one of the major projects to follow because it’s very let’s say ambitious.

Tai Zen:  When you say very ambitious, for the non-technical people that’s watching this, can you give a comparison? What is the equivalent? Is it like designing an IPhone?

Leon Fu:  It will be an equivalent of creating the web I would say. It would be the equivalent I think at the time that JavaScript was added to the webpage.

Ricky James:  For the non-technical people that don’t understand Java, what does that mean? How big is big?

Leon Fu:  If we don’t have JavaScript that we can embed on web pages, half the things on the internet would not be possible.

Tai Zen:  Myspace would not be possible.

Leon Fu:  Myspace, Amazon, Facebook. Anytime that you go to web pages and they do all these crazy stuff, a lot of that is JavaScript, it’s not HTML. HTML is just the layout, JavaScript is actually enabling the logic as to how things are happening. Just like when JavaScript was added to web pages, we saw an explosion of web apps right? You have email clients on the web now, right? You have shopping carts, all of these things will not be possible if we didn’t have JavaScript.

Tai Zen:  Now that Ethereum complete script, if it’s made and it’s working would that be as big as the invention of the Bitcoin public ledger itself?

Leon Fu:  I think Bitcoin is comparable to say the web. Web came first with HTML, right? And the web itself was huge when it first came out. The fact that you can hyperlink pages and navigate the internet and search. That has already been and when you added the programming language on top of that, now you could do web apps. You can write applications on the web. And there’s a web app that can do everything, you just Google the app like spreadsheets, word processors, there’s weather apps, there’s stock market tips.

Tai Zen:  Let me ask you this, what keeps somebody from creating that Ethereum complete script on top of the Bitcoin block chain? Is it for security reasons?

Leon Fu:  I think they didn’t do that because of security, that’s definitely one thing.

Tai Zen:  But is it safe to go back and do it now or is it just that Bitcoin is so widespread and you can’t go in?

Leon Fu:  I think the core developers of Bitcoin has to be much more conservative than everyone else because they have…

Ricky James:  They have an existing infrastructure that they can’t afford to destroy.                                Yes exactly. They can’t afford to destroy. You know there’s so much usage on it, there’s so much people that rely on it that they have to be extremely careful that they don’t blow something up.

Tai Zen:  Because if they implement it wrong they can crash the whole system.

Leon Fu:  Yeah they can crash the whole system if they make a mistake, it’s going to affect the whole ecosystem. Because of where they are they have to be very careful and doing something like this is very risky. This is a high risk thing and Ethereum can do it because they’re new. If they blow up…

Tai Zen:  They can fix it from the very beginning.

Leon Fu:  If it blows up they can just start all over again. No one gets hurt. But if Bitcoin blows up then we have a very serious problem.

Ricky James:  At what point does Ethereum start a bit chain that is a block chain?

Leon Fu:  Mass production? We don’t know that, that’s up to their core developers. I think its months away.

Ricky James:  And at that point, will there be Ethereum coins?

Leon Fu:  There will be Ethers yes.

Tai Zen:  Alright well, thanks for watching this video guys. Again this is Tai Zen with Leon Fu from Prison or Freedom dot com and we hoped that you enjoyed this. And if you want to support our efforts, you’re welcome to donate to us and we also have as a guest Ricky James. He’s off camera but he’s the ambassador for the NXT community and he helps organize the committees and you can contact him on Bitcoin Talk by Ricky James or you can find him at NXT coin dot org or My NXT dot com or NXT Crypto dot org. So thanks for watching this video and we’ll see you guys on the next one.


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