The Crypto News Podcast

Episode 006: Why There’s Much More To Crypto Than Bitcoin!

Welcome to the Crypto News Podcast Bootcamp Episode number 6!

Coming up in today’s show:

  • Why Bitcoin is just the tip of the crypto iceberg
  • We look at the technology that powers Bitcoin and all of then other cryptocurrencies
  • Why inderstanding how Blockchain works is a bit like getting to grips with the offside rule in Swahili

Watch on YouTube

Listen on Libsyn

1) Definitions:

Blockchain is a Distributed Ledger Technology (DLT) that was invented to support the Bitcoin cryptocurrency. … Blockchain monitors and verifies Bitcoin transactions by calling upon a decentralized network of volunteer-run nodes to, in effect, vote on the order in which transactions occur. [Source ZD.Net]

You (a “node”) have a file of transactions on your computer (a “ledger”). Two government accountants (let's call them “miners”) have the same file on theirs (so it’s “distributed”). As you make a transaction, your computer sends an e-mail to each accountant to inform them.

Each accountant rushes to be the first to check whether you can afford it (and be paid their salary “Bitcoins”). The first to check and validate hits “REPLY ALL”, attaching their logic for verifying the transaction (“Proof of Work”). If the other accountant agrees, everyone updates their file…

This concept is enabled by “Blockchain” technology. [Source deloitte.com]

More descriptions: https://bitcointalk.org/index.php?topic=1016289.70

Also see http://www.wired.co.uk/article/simple-guide-to-the-blockchain

Conclusion: You don’t need to understand the internet to use it, or a cash till, but you do need to know HOW to use it and sensible procedures for security ie use a firewall, use a PIN number, don’t let people see your passwords.

The Blockchain is an abstract concept BUT if you learn about it and use it correctly, you don’t HAVE to understand.

Education yourself is a key component here!

2) Easy-to-understand infographics 🙂

 

 

Comments are closed.