How Does Monero Work?

Monero is a cryptocurrency that enables private transactions. That means the sender, receiver, and transaction amount are not publicly viewable, unlike Bitcoin's blockchain. Monero's transactions stay private using the technology of ring signatures, ringCT, stealth addresses, and I2P routing. I'll explain how all of this works in this video. I do not condone the use of this technology for illegal transactions. This is powerful stuff, ideally, we start using this as a stepping stone towards a world where we get paid for our transactional data (and all the rest of our data).
You'll find the jupyter notebook for this video and the associated code that I demo in the github link below.
Code for this video:
github.com/llSourcell/how_doe...
More learning resources:
getmonero.org/
github.com/monero-project/monero
www.monero.how/tutorial-how-t...
www.monero.how/tutorial-how-t...
99bitcoins.com/beginners-guid...
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[@AtticusFinch65]

LOL Siraj is paranoid af making this video

[@nands4410]

Kyle Horne Yea and it was so funny

[@SirajRaval]

hahaha you're right Kyle. im aware of the influence my videos can have. its a big responsibility for one dude but i asked for it. i dont want metaphorical blood on my hands. ring signatures are such a cool idea though

[@MrWebvasanth]

I have been struggling from 5 days to understand monero. Was totally surprised to see a notification on my phone that said “Siraj Raval has uploaded a video - how does monero work” ... awesome content ... this has helped me a lot in understanding it... thanks Siraj :)

[@Goremachine]

I thought the silk road guy was caught because they found a post discussing the silk road, on the clear web, by him using an email with his real name in it.

[@PatrickEbertBSC]

The only truly anonymous coin. As people notice this in 2018, the price while skyrocket.

[@PatrickEbertBSC]

Nikusuke Doguro But if X would have sent this from a wallet that has this function the transaction would show in his transaction history

[@TheApeMachine]

I need Monero to buy Michael Jackson's patented anti-gravity shoes, so I can be a smooth criminal... Too bad this video is not for me :(

[@tanyadsouza561]

Don't miss the MoneroV earning bus, forking on March the 8th, 2018

[@honotiro]

Siraj, you're awesome. Whenever I get interested in some cool technology, you already have a video covering it. Always on the top of the things. Keep it up buddy!

[@retrogameplus3838]

Siraj you should look closer at the story of Ross before you repeat lies like "he was ordering hits on people" - it was a smear piece used against him during the early days of his arrest to ensure he was viewed as a bad person and the authorities never were able to substantiate any of those claims. How would you feel if you were wrongly accused and called a murderer but nobody had to provide any evidence?

[@Ryan-kf6xu]

Also worth noting the shady things a couple law enforcement agents were doing during the investigation

[@snorttroll4379]

What were those?

[@DecebalDobrica]

wow Siraj, your notes look to be quite an extensive study as well, is that part of the repository (couldn't find it) or part of public monero resources ? thanks for your amazing content and energy that you put into organising your content!!

[@AdamTheBen]

I seriously admire your work. Truly inspiring. Thank you for your quality content.

[@zerosum4234]

Governments are now developing and using software to track Bitcoin's transactions and users for tax evasion and so on. Monero is the ultimate answer to this problem. 2018 will be Monero's year.

[@agourk12]

@@zerosum4234 lol

[@PhreeLyfe]

+Siraj Raval i've tried to access changelly for over a week now. The site has been down, Reddit has very poor comments about them too. Why do you recommend them for monero, and where else can I buy monero?

[@saviotoronto358]

what are your thoughts on Javascript within the cryptosphere application development arena...where could i learn more & do you see a future around it

[@KPweems]

normally don't sub to anyone but you really do a great job with your clear and concise approach to educating/teaching people. Well done Siraj

[@cryptocurrency6976]

Hey Siraj, what about Verge? Is it considered a privacy coin?

[@jeffreyd508]

Is sending XMR from one exchange to another traceable? Does it have to go through a Monero wallet to break the trace-ability? What about Exchange to Trezor to another Exchange? (I'm new to xmr, and trying to learn)

[@yingjiyin7015]

Hi, what about Verge currency, I thought it is better than Monero when Wraith protocol implemented which is a switch on and off the public and private blockchain.

[@dantealexis7835]

I kinda have to admit ive been waiting for siraj all week lol

[@PatrickLuberus]

Hello Siraj, can you do a video on RaiBlocks (XRB)?

[@SirajRaval]

hmm this is getting likes will look into it

[@PatrickLuberus]

Awesome, thanks!

[@gnireig]

Have to admit I haven't found videos for much of 2017 as good as previous ones, but this is solid. Nice work

[@ijskoude]

Wow finally a youtuber who researches and explains! Most other youtubers just talk but don't say anything usefull. Nice job man

[@tomhgriff1]

Great lecture. Really detailed but easy to follow

[@austinanderson5465]

This technology is amazing, Monero's ability to be transparent through the one time key I think is the key point in its ability to scale and be more viable for everybody, while still honoring individuals privacy. Brilliant.

[@mikemaccana]

Just wanted to say thanks for actually mentioning the technologies involved like ring signatures rather than just saying “monero is private” like the other videos do

[@technocracynow9339]

Imagine you life in a country where Things are illegal you do in your country everyday you start a Political campaign and need Money for that. Which One you will prefer? the One the gov Has the ability to Check that who spend money to you and where you will spend it on or the One that is completely private? Edit: XMR to Nibiru!

[@prakashyadav008]

Mining monero .. What minimum specs( or graphic card) do we require to mine monero profitably.? What's the transaction fee for changelly if I use my master card ..? And is it better than shapeshift ??

[@leonardberton4744]

What an amazing content, we feel the passion you have for the topic you've chosen, you've worked it, and made it understandable for crypto newbies. Thanks a lot

[@Techonsapevole]

Monero is how Bitcoin wanted to be. Bitcoin 2.0

[@No-to4id]

Luigi Tecnologo Bitcoin wasn't meant to be an anonymous form of money, it was made to be a "Peer to peer system of electronic cash", according to the white paper. I don't see " Privacy" or "Anonymous" in there.

[@electronresonator8882]

but bitcoin is both peer to peer and open source since the beginning

[@cutecatcanada]

The key difference here is that Bitcoin is traceable, while Monero is completely untraceable.

[@PerfectorZY]

Monero vs IOTA: two completely different types of currencies. Privacy coin vs internet of things coin

[@Supremax67]

If you really want secured transactions why being fast, you guys really need to be up to speed. Lookup the technology HashGraph; the days of Blockchains and any versions are coming to an end, but not anytime soon. They are no coins yet established with this new tech means you have a heads up. What you do with the information is up to you. :)

[@tpier029]

Did you make a transaction on an Android or apple device, traceable?

[@spegla]

Hey Siray, can you please tell something about BCN bytecoin...where is deferences Monero Vs Bytecoin cheers

[@HeribertoRoman]

Hey Siraj thanks for the deep explanation I am very intrigued by the technology Monero is using especially the RING signature piece. Dope video.

[@brandondossantos8061]

Would love a video comparing the tech behind Monero vs. Zcoin. Both are privacy coins but uses different tech

[@womplestilskin]

How are the Siraj's shadow projected onto the screen?

[@WillKriski]

womplestilskin green screen

[@eddiesanders2719]

Excellent presentation Siraj! Thank you!

[@officialryokobear6696]

Any thoughts about Monero fork - MoneroV?

[@pablovela2053]

I'm loving these videos Siraj, really fantastic work. Could you go and make one on Cardano?

[@JennyLightfoot]

I always learn something new and useful from your videos. Thank you.

[@tannobates7475]

Well great vid, but why didn't you mention more issues? Theres also an upcoming hard fork (and airdrop) with MoneroV you should prob know about.

[@danielsmith1192]

Waiting for this upcoming fork! Can you please let me know any thread about this?

[@jonathanfrias9982]

Can one get a copy of that PDF for study purposes?

[@nightrider9080]

Siraj , my man you are awesome , thumps up to you for make it simpler for me to understand this crazy crazy crypto world.

[@diegoquiroz5166]

dude im so glad I found your channel.. thanks for sharing this knowledge

[@joshtmotorsports2471]

This is a breath of fresh air! Everyone talks about cryptocurrency in terms of prices and how to make money with it. Understanding the tech and how it translates to the real world is exactly what I'm looking for!

[@Alessandro-nq3tm]

Thank you Siraj, very well explained!

[@bgvianyc]

Thanks for the explanation. How about a video explaining how ZK-Snarks work?

[@user-zu1ix3yq2w]

Barry Gitarts That would be nice. I think ZK-snarks is pretty nice.

[@spabbarter]

‘I am here to give you knowledge so that you can do Good in the World’ Saraj, you are nominated top human! Thanks again for providing these wonderful videos. Do you have any books or swag I can purchase?

[@timmyt603]

I've been wanting to understand crypto for a long time but it really confuses me....especially because of the limits on purchasing as far as payment method goes...I don't have a bank account. This video is very easy to understand as a beginner and I just wanted to say thanks.

[@footage6402]

This was a really good lecture. Thank you.

[@Ryan-kf6xu]

I think our value is in what we do - period. And I think the blockchain represents the ability to both companies AND us to capitalize on that our use of their products alone.

[@pjcornell4318]

Ok... I see a potential vulnerability here. If you know which users in a given ring are nodes, then you can deduce which one is the actual transaction. Am I right, or am I missing something?

[@Dreamsbecomereality29]

Can I put Monero coins on a ledger

[@phurien]

There is a movie on silk road, I think netflix. It was interesting.

[@slightreturn5082]

Hello Siraj, I have the 2000$ of gift cards, how do I add send them to microsoft customer service?

[@owenflanagan3997]

Thanks for all the videos Siraj, you are a Great educator. Hope Elon can find the time to talk to you. Is there a big difference between Zcash and Monero? I know they are pursuing similar goals

[@stgpepper]

#HASHGRAPH #HASHGRAPH #HASHGRAPH #HASHGRAPH Siraj, biggest fan here... Could you talk about Hashgraph by Swirlds? next generation of blockchain tech. People who want to hear about it, like this comment and perhaps Mr. Raval will do it!!

[@jkhoffman76]

Yes, PLEASE!

[@SirajRaval]

Hashgraph it is

[@Christian-zv2em]

Hi Siraj, a few weeks ago I discovered your channel and I just had the Idea that you (if you like) could make a video regarding the work of Ben Goertzel and his projekt "Singularity Net". In one of your videos you mentioned the idea of an AI existing on a Blockchain. Greetings from Germany

[@GuriSingh]

Can Any Exchange Track Our Monero Transaction or Not?

[@neededathrowaway1818]

No, Monero is completely untraceable.

[@Christian-fb9ib]

1. it's never too late to get into in Monero, the best privacy coin out there. 2. Theres an upcoming hard fork & Airdrop with MoneroV. You get 10 XMV for each 1 XMR. 3. This will probabaly drive Monero up like crazy in 2018. 4. Hold for long, believe in true privacy!

[@footage6402]

I don't understand the third way to anonymize bitcoin? How do you purchase an asset than convert back into bitcoin? Won't just at that time you could be revealed?

[@yourdiscoverelaxchannel9422]

Monero, Zcash, Dash ... these private coins are interesting for many people but especially for finacial institutes. Zcash has the advantage that it has an addressed institution, while Monero is complete decentralised ... states, banks and so on will never accept a private currency that is complete decentral ... this works only if all countries in the world would unite ... and I can`t see this für the next 300 years.

[@andyroider97]

Yo, wazzup my criminal buddies!

[@owenbenjaminshapiro6285]

Sushi Nakamoto lmao Sushi

[@toomuchtruth]

That alias isn't fooling anyone, Satoshi!!

[@sunnybeta_]

Sushi xD

[@Rohan-cr5np]

Lol. What up Sushi Nakamota?

[@EctoMorpheus]

Wassup Sasimi Nagasaki

[@TuxHouseEdu]

Great Lecture. Thanks for sharing!!!!

[@limonortega5611]

This was a master piece.. Thank you.

[@adamnill7854]

could anyone tell Monero mining algorithm is cryptoNight or cryptonightv7?

[@RoulDukeGonzo]

So glad you mentioned scaling... Monero has challenges ahead!

[@footage6402]

Can criminals really launder money using monero though or is there some inside way of viewing their transactions when large enough?

[@edism]

Brilliant work, Hashgraph next please bro.

[@SirajRaval]

considering thx

[@gorkemvids4839]

What happens if 2 seperate people mines same currency without knowing each other?

[@sushiandchocolate24]

Thank you for all your videos!

[@cryblan2733]

Hi. You can do overview IdealCash cryptocurrency ?

[@cutecatcanada]

Awesome video, explained Monero really well!

[@trevorutz]

Do EOS next. Testnet is up and there's only a few people talking about programming in it.

[@topherkety9608]

Great video bro! Thanks! Also thanks for showing that PRIVACY DOES NOT EQUAL things that are illlegal... Have heard that those who are serious about criminal activity prefer diamonds. This is more for a private individual! Question, if a person purchases MONERO on someplace like Binance, would it not be connected that you purchased it from BINANCE. Private after that but a record that you purchased MONERO from Binance?

[@otenyop]

Excellent presentation!

[@akashkandpal1832]

Make videos for such currencies ........nice work Siraj

[@GregFliesVR]

Best Explanation On KZbin! Thanks Sir!

[@zes3813]

wrg

[@ankk98]

Hey Siraj, I am a big fan of your videos. Can you upload a video explaining how to get internships?

[@barneman3213]

siraj thanks for the video brother....ive been watching this currency for a while...it will rule in the future

[@xxnotmuchxx]

If bitcoin is not quantum computer proof or big mining centralization proof those that mean all the crypto currencies that uses blockchain are the same?

[@ppsp3]

The whole banking system is not quantum proof because most cryptography isn't. Bitcoin is really the least of your concerns when it comes to quantum vulnerability. There are quantum resistant algorithms, IOTA uses one, but quantum computers are still quite far in the future.

[@ko-Daegu]

In algo for bitcoin It says SHA-256 I thought BTC used SHA-521

[@Gobi_Ness]

I started mining monero on miners gate. In my opinion, monero is easier for laptops to mine.

[@peaveawwii1]

You are an awesome teacher.

[@ceedob]

At first glance a thought that comes to mind is that there could be DOS vulnerability if someone wanted to slow down the network by posing ringCT transactions with no real inputs/output (all blue inputs with no “real” red one) especially since the transaction fees are fixed a motivated bad actor could create a lot of activity (as a portion of the block / whole blockchain capacity) without any real activity at all

[@dreamchaser7554]

tks for teaching

[@Kometheus]

The best crypto currency by FAR.

[@manikanthdra]

Siraj bro .. its amazing thanks a lot for the good info

[@RodrigueOlignyK]

Thanks Siraj, love the quality content! Please talk about WAX.

[@mrbojangles7504]

Basic income for the rights to your data. What a great idea!

[@dhrumilbarot1431]

Scaling strategy !! I wish you great luck Siraj

[@SirajRaval]

thank you

[@enrichwithherich2043]

truly bro your inspiration to me as looking monero as my 7th crypto token .keep doing vlog

[@prakashyadav008]

U should do a video on ur best crypto currency or like ur top 10

[@user-sp6vt4fn8z]

Your video is so good hope you get better and better!!

[@Unboundedominion]

Your explanations, enthusiasm and passion for A.I. is inspiring. I think Monero has a place for digital signatures, certified authority CA issued certificates, digital security: internet session integrity or Man-In-The-Middle MITM inspection and much more. However, crypto-jacking like crypto-wallet seizure and crypto-wallet break ins, receiver address re-directs and side-mining by malware keep cryptocurrency a side novelty out of the mainstream financial world. Whenever a true secure digital domain becomes available or real world laws can levy some real serious law enforcement of cryptocurrency, it may be some time. Even Monero, is subject to attacks and is not completely infallible. I wouldn't worry about governments not being able to decipher secretive cryptocurrency; they can still drug with truth serum, drug you and torture you till they get the password or target your loved ones till you play ball. There are many ways to anything.

[@jamesT008]

I like it...good way to present...quite prepared.

[@c4p4c1t1v3]

BOSS! Monero is leading the way in private crypto

[@c4p4c1t1v3]

Also, people on the r/Monero subreddit have advised against using changelly...

[@rampage241]

9:57 that is a very interesting idea!

[@johnmarkjames5447]

Ross Ulbricht, the founder of the Silk Road had a vision of creating a marketplace where most everything can be bought and sold with some moral exceptions. He didn't ordered hits on people.

[@DonHaul]

Where was this jupyter notebook stolen from?

[@a.gholiha6884]

Great as usual Siraj

[@StanLTU]

thanks very informative

[@_mvr_]

I'm just waiting for when Siraj is going to make a BTC/XMR prediction bot... (((( please ))))

[@cutecatcanada]

That would be awesome! My thought goes like this: Monero has recorded a 400% increase in price over the last month, and has a long-term bullish setup, as well as a steeper short-term trend line from technical analysis. Targets for Monero if it breaks out of the current resistance zoom of $420 would be $500, $550, and $600. Projection for Monero in Janurary of 2018 would be $600.

[@_mvr_]

Building a classifier (buy if value of next timestamp is higher than current else do not) should get the job done. Siraj can do this in 10 minutes

[@soonfamous]

Marcelo this is not really a classifier. This is a comparison in a loop. In fact if you buy every time the price is higher you will basically buy higher every time. Maybe you meant to describe it differently?

[@light3rn248]

neurobot.trading/xmr_btc

[@Gooddavi]

Great video thanks man!

[@porteal8986]

How do you do my fello non-criminals?

[@spencerkimllido7327]

porteal LSD is hell of a drug...