Bitcoin Transactions Using Block.io and BitPanda

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The Bitcoin industry is becoming more standardised and greater checks are being put in place to protect both the currency and the consumer. At the same time the Bitcoin consumer experience is becoming more accessible with ever more friendly User Interfaces. The author will road test this user experience with current bitcoin Exchange and wallet services, through creating a new wallet using Block.IO and then transferring Bitcoin between a Bitpanda wallet and a Block.io wallet.

Block.io

Block.io is an API and Bitcoin/altcoin wallet that allows increased transaction speed in comparison to other services. It achieves this through using highly secure multi-signature addresses. Every transaction requires the owner’s signature, as well as Block.io’s signature. This creates an exponentially higher layer of security alongside the ability to spend money without waiting for the 10min or 60second confirmation times required by other API and Wallet services. The API allows third-party developers to integrate this functionality directly into their applications.

As with Bitpanda, Block.io makes extensive use of two factor authentication. Email verification and confirmation is used throughout the setup and payment process. The emphasis is on security and easy API access.

Secondary authentication requires the entering of a secret pin. The secret pin can only contain numbers and letters – this is a departure from the current trend of randomly generated or multi character passwords.

The secret pin is then further secured through the use of a private mnemonic.

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Transferring Bitcoin between wallets

Every Bitcoin wallet has an address, this is like an Email address and to send money from one wallet to another is only a matter of entering the right address.

Now I have a Bitpanda and a Block.io wallet. I have 0.0044 bitcoins in my Bitpanda account that I want to transfer to my Block.io account. I do this by entering the amount and sending to my block.io address.

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I received several confirmation Emails from Bitpanda and Block.io. The transaction is very transparent and without issue.

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The amount transferred can now be seen in my new block.io wallet. All that is left now is to wait for the funds to be confirmed in a block. This takes around 22 minutes.

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Try it yourself for free with Testnet

Block.io offers Testnet facilities where developers or users can play around with “sandbox” bitcoins that hold no real value.

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Testnets exist for the sole purpose of testing applications while using coins that do not hold monetary value. They are meant for developers to debug their implementations in a safe, sandbox environment. Testnets exist for every coin, such as Bitcoin, Litecoin, and Dogecoin. They are, however, completely separate from the main networks, where currency holds real monetary value.

Testnets have their own separate addresses, and coins. A Bitcoin Testnet coin, for example, cannot be transferred to a Bitcoin address. Testnet coins have no value, and are not traded for money like Bitcoin, Litecoin, and Dogecoin are. Payments are never made in Testnet coins.

Block.io provides Testnet coins  on three different Testnets, one for each main network (Bitcoin, Litecoin, and Dogecoin) for testing purposes.

Robert Morel is a Software Developer and Freelance WordPress Developer at Amarria and a blogger for B.I.S.S. Research. Contact me at robert.morel@bissresearch.com