Bitcoin Technology Market
- Mar 14, 2018
Bitcoin will soon celebrate its tenth anniversary. Bitcoin was first invented in 2009 by an individual or a group, known only as Satoshi Nakamoto. The Bitcoin creation history is ambiguous, but the hype and fascination over the unregulated virtual currency have increased rapidly.
BITCOIN DEFINED
Bitcoin is a virtual currency, created by a slow computer process called «mining». The international currency isn’t regulated by banks and can be used to purchase goods from anywhere in the world. It also trades like stock or material currency.
BLOCKCHAIN: WHAT’S IT AND WHAT ITS PURPOSE
Bitcoin is a cryptocurrency, but the blockchain protocol behind it can be used for a variety of non-currency purposes. People are using the blockchain to develop everything from side-sharing services to voting applications to cloud storage.
Blockchain is the technology of distributed register. The same volume or information block is stored at many computers or servers connected with each other. They belong to different areas of this chain. Thus information safety is ensured at a really high level. And in this, the possibility of change is losing, quietly for the rest of the users.
Blockchain has two extremely key points. The first is that information is stored at all users and the second that you can’t put changes in a cell without awareness of other users.
Blockchain is called almost invulnerable. Is it so true?
Bitcoin is a decentralized currency. During money transition, banks are not involved. At the moment there is no technology that will turn to be effective from the point of the ratio of its price to profit from blockchain breaking. For this reason, we can speak about the highest safety.
The real threat can provide a quantum computer. Its speed of data processing will be enough to make changes discreetly from users. But it’s only the theory. With the emergence of quantum computers principal changes will operate: almost any code can be broken due to elementary matching.
Smart Contracts
To use smart contracts, you don’t need to be aware of every technical detail. Actually, it means that code is stored in a blockchain that guarantees the observance of the agreement between the parties. The basis of the code is the law of logic. For example, such a notion as if this than that.
Eventually, we get an inviolable digital code that includes all possible outcomes. And there is no chance of deception if both parties of agreement fulfill their commitments.
While it’s still unclear where cryptocurrencies and the technologies will be twenty years from now, one thing is clear: volatility will continue in the cryptocurrency markets – and that is a game for speculators rather than investors.
Still have any questions? Please leave your considerations.
Your professional assistant,
Anthony Lancaster
