{"id":1075,"date":"2018-01-23T17:20:32","date_gmt":"2018-01-23T17:20:32","guid":{"rendered":"https:\/\/atozcrypto.org\/?page_id=1075"},"modified":"2019-10-23T18:24:01","modified_gmt":"2019-10-23T18:24:01","slug":"blockchain-101-only-if-you-know-nothin","status":"publish","type":"page","link":"https:\/\/atozcrypto.org\/blockchain-101-only-if-you-know-nothin\/","title":{"rendered":"Blockchain 101\u200a\u2014\u200aonly if you \u2018know nothing\u2019!"},"content":{"rendered":"
Bitcoin, Cryptocurrency, Ethereum\u200a\u2014\u200ayou must have heard about these buzzwords. And maybe the stories of people making a quick fortune out of it, and why not\u200a\u2014\u200alook at the market capitalization of so-called \u2018Cryptocurrencies\u2019 and how it has grown in the last year. Blockchain is the idea which drives them all.<\/strong><\/p>\n Looking at the chart, you might think that you are late in the game, but a Blockchain-101 now could be like figuring out internet in 2000\u200a\u2014\u200anot too late.<\/p>\n This article is an attempt to provide an easy yet technical details of the Blockchain concept. Hopefully, it will help you understand the core fundamentals of this-new-thing-in-town!<\/p>\n \u201cWhat is money?\u201d<\/em><\/p>\n Money is an entity which can be used in exchange for goods and services. Then there is another system to keep track of its ownership and transactions\u200a\u2014\u200awho owns what, who has what, and who owes how much to whom. That is all that money is.<\/p>\n We need a third-party trusted entity to keep track of money, to keep those transactions and deal with the conflicts, if applicable. But that trusted party i.e. the Government, comes with a cost in terms of efficiencies, potential for corruption, extra fees and so forth.<\/p>\n In simple terms, let\u2019s follow these steps and see the money flow in a specific scenario in USA during 2008 where trust model did not work that well:<\/p>\n This is what happened in the crisis of 2008 Banks giving bad loans was the cause. Printing the money was a mitigation which helped in this specific case<\/em>.<\/p>\n Six weeks after the crisis, on Nov 01, 2008, something happened that is actually going to reshape the financial world much more than the crisis itself\u200a\u2014\u200athis guy (or these guys?) named Satoshi Nakamoto invented a decentralized (crypto)currency known as Bitcoin based off a novel concept known as blockchain. The idea was to create a world where any central authority doesn\u2019t control all the money.<\/p>\n \u201cI\u2019ve been working on a new electronic cash system that\u2019s fully Bitcoin has its problems and it still needs to be tested with a crisis like 2008 but that is just one use-case (blockchain-as-a-payment)<\/strong> and it doesn\u2019t defeat the purpose of blockchain and how it can cut middle-men in different aspects of our lives. With the historical aspects covered, let\u2019s get into the technology behind the blockchain.<\/p>\n Bitcoin, Cryptocurrency, Ethereum\u200a\u2014\u200ayou must have heard about these buzzwords. And maybe the stories of people making a quick fortune out of it, and why not\u200a\u2014\u200alook at the market capitalization of so-called \u2018Cryptocurrencies\u2019 and how it has grown in the last year. Blockchain is the idea which drives them all. Looking at the chart, you might think …<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"pgc_meta":"","_bbp_topic_count":0,"_bbp_reply_count":0,"_bbp_total_topic_count":0,"_bbp_total_reply_count":0,"_bbp_voice_count":0,"_bbp_anonymous_reply_count":0,"_bbp_topic_count_hidden":0,"_bbp_reply_count_hidden":0,"_bbp_forum_subforum_count":0,"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"aioseo_notices":[],"pgc_meta":"","yoast_head":"\nA bit of history never hurts \ud83d\ude09<\/h3>\n
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\npeer-to-peer, with no trusted third party.\u201d<\/em>\u200a<\/em>\u2014<\/em>\u200a<\/em>Satoshi Nakamoto<\/em><\/p>\nSo, what is the blockchain?<\/h3>\n
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