My fundamental knowledge about Bitcoin is above average I think. But I want to learn more and more about Bitcoin and its technology.
As already mentioned in the title I am interested in BIP 44. I found a lot of different and very interesting stuff on the internet (e.g. https://en.bitcoin.it/wiki/BIP_0044 ). The path looks like this:
"m / purpose' / coin_type' / account' / change / address_index ".
My first question #1:
Unfortunately in this article is not explained what the "m-letter" at the beginning means and why it is necessary. Could explain it to me?
My second question is #2:
the purpose is a constant, which is set to 44 (or 0x8000002C) following the BIP 43 recommendation. If I would change that number, what would happen?
My third question #3:
The "change" -level is used to differentiate between internal (change-address) and external chain (receiving-address). Why does this distinction exists? Because I could receive money to my change address aswell without a problem I thought? On blockchain I can see this (change) address too.
Thanks to every one who can help me!