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Chapter Three: Understanding Your Bitcoin Setup

You're now ready to begin working with the bitcoin-cli command-line interface. But that first requires that you understand your Bitcoin setup and its wallet features, which is what will be explained in this chapter.

For this and future chapters, we presume that you have a VPS with Bitcoin installed, running bitcoind. We also presume that you are connected to testnet, allowing for access to bitcoins without using real funds. You can either do this by hand, per §2.1: Setting up a Bitcoin-Core VPS by Hand or with a Linode StackScript at Linode.com, per §2.2: Setting up a Bitcoin-Core VPS with StackScript.

Objectives for This Chapter

After working through this chapter, a developer will be able to:

  • Demonstrate that Their Bitcoin Node is Installed and Up-to-date
  • Create an Address to Receive Bitcoin Funds
  • Use Basic Wallet Commands

Supporting objectives include the ability to:

  • Understand the Basic Bitcoin File Layout
  • Use Basic Informational Commands
  • Understand What a Bitcoin Address Is
  • Understand What a Wallet Is

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