Bit Currency: Transactional Trust Tools

Abstract

Systems and methods are provided for utilizing a digital coin. A bit string is received. The number of bits in the bit string represents a coin value of the digital coin. The individual bit values of the bits of the bit string are used to determine an identity of the digital coin. The identity of the digital coin is validated by a node of an authentication hierarchy. The validation includes comparing bit values of at least a portion of the bits of the bit string to bit values of corresponding bits of known bit strings that represent known issued digital coins. The validation also includes checking that a matching known issued digital coin was not previously redeemed. A digital coin can also be split into multiple digital coins that are each a continuous sequence of bits of the bit string of the original digital coin.

1 . A digital coin, comprising:
 a bit string, wherein a number of bits in the bit string is used to represent coin value of the digital coin and bit values of bits of the bit string are used to determine an identity of the digital coin.   
     
     
         2 . A method for transacting a digital coin, comprising:
 receiving a bit string, wherein a number of bits in the bit string is used to represent coin value of the digital coin and bit values of bits of the bit string are used to determine an identity of the digital coin.   
     
     
         3 . A method for splitting a digital coin, comprising:
 receiving a first digital coin, wherein the first digital coin comprises a first bit string that includes two or more bits, wherein a number of bits in the first bit string is used to represent a coin value of the first digital coin, and wherein bit values of bits of the first bit string are used to determine an identity of the first digital coin; and   splitting the first digital coin into at least a second digital coin and a third digital coin, wherein the first digital coin is split by dividing the first bit string into a second bit string and a third bit string without disturbing the bit order of the first bit string.