Cryptocurrency and Blockchain: The Potential Disruptor For All Industries
Blockchain is a trending technology of present times, creating a whirlwind in industries across many domains. Blockchain brings about decentralization and perpetual growth based on collaboration which can potentially change the way various businesses function in a more transparent and trustable manner.
Blockchain is based on Distributed ledger technology
Distributed ledger technology is used in Blockchain in which two stakeholders maintain a shared ledger that is updated as transactions occur.
Decentralized ledgers or distributed ledgers are records of the financial transactions on a distributed network stored, shared, and recorded on independent computers. The systems are distributed; thus, there is less chance of any cyber-attack as the systems are bind by Blockchain technology through which blocks connected in add-only mode which are used to organize data. Blockchain technology has disrupted financial landscapes due to its agility.
Cryptocurrency – Digital Currencies
Cryptocurrency based on Blockchain technology has created quite a topic in the last 10 years especially with Bitcoin being called Digital Gold by media outlets. Bitcoin has created a benchmark for other cryptocurrencies, and some experts feel it can become a unified global payment medium.
Cryptocurrencies are available virtually or digitally, unlike the state or government-regulated fiat currencies, which are available in notes and coins in the form of physical entities.
Fiat and Crypto
Fiat currencies are run and controlled by governments. Issuing and processing of fiats are done by Centralized banks like Federal banks. Centralized networks are used in fiat currencies, which manage and store information about money.
Decentralized platforms are a backbone of Cryptocurrency or alternate currencies in which no central force oversees assets or money.
Cryptocurrency based on cryptography
Cryptocurrency is used as a unit of currency to do transactions over a Blockchain. It is an asset or a commodity that one can use as a medium to exchange worth from one entity to another and enable payments. The digital assets are called Cryptocurrency, as they are based on cryptography to generate safe and secure entities. The verifiable, immutable, and safe means of exchange of worth, which is independent of any single custodianship, is Blockchain’s focal point.
Crypto Would Go Mainstream Soon
Bitcoin is the most popular cryptocurrency with a value of more than $12,000 at the time of writing. The mainstream tech and financial giants are fast adopting cryptocurrencies and blockchain technology to create a more reliable and stable financial system. With several useful cryptocurrency currencies like Ethereum which has several interesting features such as smart contracts and DeFi being brought about, things are about to get very interesting in the Cryptocurrency space!