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Bitcoin’s Niche And Futuristic Alternative Internet

If you are into Bitcoin, you might have heard “Nostr,” a strange, nearly unpronounceable word that stands for “Notes and other stuff transmitted by relay”. This acronym that’s captured the imagination of Bitcoin technologists for years has a big idea. That you don’t need to be locked into a social media giant to talk to your friends. 

Invented at the start of COVID19 by Fiatjaff in March of 2020, today the Nostr protocol has a seemingly infinite amount of websites custom-built around this niche, with world-class influencers like Edward Snowden and Jack Dorsey prominently on the platform. 

Unlike the internet and social media ecosystem of today, Nostr lets users take their followers and content with them from website to website, from app to app, as they see fit. The algorithms are fundamentally in the hands of users, supporting maximum control, variety and censorship resistance, qualities largely lost from the modern big tech clear web. 

A Tool of Bitcoin Evangelism

Built on Bitcoin native technology, Nostr has supported bitcoin micro payments called zaps from almost day one. Its login system resembles a Bitcoin wallet more than it does any other login credential, resulting in a fresh and novel experience of the web. 

Artists have started to find their way to this strange corner of the internet, as they do, growing their brands into international communities that tip in Bitcoin, not just in appreciation for great art, but to make a point. To demonstrate that, regardless of where you are in the world, Bitcoin can be delivered to your door. 

Take Pubpay, for example, a Nostr-powered music site built to elevate the musicians not just online, but in live performances. I got to see this app in action at a Bitcoin party in Las Vegas just a few weeks ago. The site seen on that massive screen showed off the artist on stage, with a massive QR code and a leaderboard of Zaps, tiny bitcoin donations made to the artist over the lightning network. Those who donated most rose to the top, claiming the bragging rights, while the artist claimed the sats. 

Have a listen to the trending tab of Wavlake, for example, another music dedicated Nostr site with a smooth design and instant access to surprisingly good music. 

Stories of onboarding new people to Bitcoin via Nostr social media apps like Primal are common at Bitcoin meetups and conferences. Primal is a Twitter clone of sorts built from the ground up around Nostr, it is without a doubt the fastest way to get into this social media niche, start growing your followers and start stacking sats by posting great content. 

Unlike the boring payments-only Bitcoin wallet whose design principles are now more than 15 years old, the Nostr app is fresh and has a direct pipeline of content that can be delivered to newcomers if done right, keeping them tumbling down the Bitcoin rabbit hole.

Easy to Understand Nostr Fundamentals

Built on Bitcoin native cryptography, Nostr uses public addresses and privacy keys to authenticate its users, the same as Bitcoin wallets. Nostr public addresses start with “npub” while private keys start with “nsec”. Users sign posts or messages they want to publish to the Nostr network with their private key. Those signed posts can be found by looking at the same user’s public address. Like normal social media apps, users can follow and mute each other across the Nostr ecosystem. 

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Data about who follows whom, and what they have published, is stored on relays, special servers that users can run themselves, and which sync with other relays to varying degrees, similar to Bitcoin nodes. 

Interfaces and apps can be built on top of Nostr to let users experience their social network in different ways, and many different approaches exist, from Twitter-like clones like Primal and Amathyst, to blogging platforms, music and even micro video sites like Divine. Basically, any website can be Nostr integrated as long as it makes its users’ identities Nostr compliant, and user-generated content becomes available via relays.

If you get tired of one app or don’t like how they are treating you, you can just grab your nsec and move to another. The new app will look up your npub, find all your friends, notes and preferences and let you continue connecting with them without issue. In other words, the network effects built on Nostr apps are owned by you, controlled by you and not by the platform. This is the big idea of Nostr, and it is why so many Bitcoiners are obsessed with it. 

A lot more than Social Media

It’s important to note that Nostr isn’t just a social network protocol; it is actually an open-source and actively growing information protocol that can transfer any kind of data. Devices can talk to each other via the nostr without you having to see them. In fact, a wide range of apps have already been built to transmit data over Nostr; many of those apps can be found in one of the most important places of this ecosystem, the Zapstore.

That’s right, Nostr has its own dedicated app store, and it’s quite impressive. Led by a gentleman known as Franzaps, this open source Nostr-powered app store gives you direct and often early access to over 150 apps in the Nostr ecosystem, published directly to it by its developers, signed cryptographically and publicly with their Nostr keys.

But Zapstore goes beyond just its Nostr niche; it lets you download a wide range of popular apps that publish to GitHub. We are talking over 3000 of the most popular apps, according to Fran, who talked to Bitcoin Magazine in an exclusive interview. Examples like Mullvad VPN and Brave browser can be found on the Zapstore, along with many others; it could very easily replace the Play Store and App Store for a privacy-conscious user, by passing the choke point that Google and Apple have been building inside mobile phones. 

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The Zapstore software goes through significant lengths to verify the authenticity of apps via cryptography. Fran explained that “Android uses the APK format. All APKs have a developer signature, and this is what Android checks during updates.” Google now effectively KYCs its app developers, but Nostr is decentralized, so to know whether an app was actually published by its developer, Nostr social proof is used. “Nostr is a *social* protocol where keys carry social weight, so now that Zeus signed their wallet, you can be certain it’s the real one.” 

This concept of Nostr social proof is historically known as a Web of Trust. If you log into Zapstore with your Nostr keys, you get to see if anyone you follow has engaged with the publishers of the app, an early web of trust solution to the question of security and authenticity in a decentralized world. 

Fran estimates the Zapstore has around 4,000 daily users, with half installing or updating at least one app. These are estimates — he clarified, “because we value privacy, we have zero tracking in the client and must derive them from relay and Blossom server data.”  

Digital Identity on Hard Mode

Since authentication into Nostr is done via Bitcoin-style private-public key pairs, the security practices to protect your identity are similar. Rather than emails, passwords and password resets, in Nostr, you have to take precautions to make sure your nsec (private key) does not get hacked. If it ends up on the dark web somehow, there’s not much you can do to recover it, and your identity and data can not be transferred to a new key pair either; the hacker can take control. For years, I’ve criticized this design, but while a protocol-level solution to password resets in Nostr has not been widely adopted, other solutions have emerged, such as remote signers.

Amber, an app created by Greenart7c3, a popular Nostr developer, can generate and sign Nostr events remotely, giving you full control over the nsec, without exposing it to every website you connect to. This technology works quite well, with wide adoption. It takes advantage of NIP-46 — an open-source Nostr improvement proposal designed for this purpose.

If you have never had a Nostr account, Amber is a great place to start, have it generate your Nostr keys, and use it exclusively to login to Nostr apps. 

Zap Zap Zap!

The most viral and innovative element of Nostr, a feature called by some “the moat” of Nostr apps, is, of course, the Zap. Those small bitcoin tips, which can be as little as 1 satoshi, though can be much higher as well, with a new Nostr site designed specifically around onchain Zaps, making the minimal viable over 1500 sats. Zaps, as a result, can deliver an excess amount of dopamine to its recipients relative to the cost, a reinvention of the Facebook “like”, with the weight of the hardest money in the world behind it. The Zap anchors approval and value to something that can not be faked by sock-puppet accounts on social media. If you want to try to game the popularity of a post, you have to pay up. 

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The potential of Zaps is likely still in its infancy, but may one day serve as a novel kind of advertisement medium, ultimately paying consumers to experience content, or simply as an undeniable sign of gratitude from Nostr users towards a piece of content and its creator. 

Setting up Zaps on your Nostr account however could be easier, there are two sides to getting your Zaps up and running, sending and recieving, and for both you need the right kind of Bitcoin wallet. Not all Bitcoin wallets are made the same, as you might know. Most focus on handling onchain transactions, which, for the most part, are not compatible with Zaps. You need a lightning wallet that supports NIP-57, which gives you an email like nym, such as [email protected], a human-readable address that can receive lightning payments. And you also need to be able to send Zaps from a lightning wallet, which does not have to be the same one you receive them to.

The easiest way to start by far is by using Primal.net, likely the most popular Nostr social media client to date. Primal has a deep range of tools for Nostr users and often serves as the gateway to the ecosystem. It has a wallet built in that manages to stay on the self-custodial side of the regulatory line, while also being a low effort, low cost lightning wallet. It does this by using Spark, a layer 2 protocol similar to lightning. 

Most important of all, Primal’s wallet support Nostr Wallet Connect (NWC) a very powerful and standard in the ecosystem under NIP-47, which lets you connect Nostr enabled websites to a wallet, to enable Zaps, without giving every website custody of your satoshis.

Other options range from running an Alby lightning node, which costs $12 dollars a month on server fees, far too much if you ask me, though a viable option for power users. Or running an Electrum Lightning wallet from a home machine and making sure it is always open and online. From there, there’s a wide range of lightning node software that enthusiasts can set up and make compatible with NWC and Nostr Zaps.

A Glimpse of the Nostr Ecosystem

Including all the tools mentioned above, here are some of the most notable Nostr sites and tools I discovered in my deep dive into the Nostr ecosystem, in no particular order. 

Social media apps:

Web of trust tools:

Bitcoin Wallets + Nostr:

Remote Signing and Key Management:

Other:

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