Even though Bitcoin (and the first Blockchain) came into existence nearly 10 years ago, almost every single person I meet on the street still hasn’t heard about it.
I decided to share some information that will help you learn more about how everything works.
Please click on the images below to access the accompanying video, and it’s best to watch them in the order in which I’ve shared them here so the knowledge can build upon itself:
In a nutshell: Bitcoin is the world’s first digital currency which utilizes crytography to secure assets/value in order to allow people to send money from anywhere to anywhere almost instantly, and all without a third party (PayPal, Western Union, all banks) to trust and verify the transaction.
In a nutshell: Because Bitcoin requires “Proof of Work” to verify transactions, Bitcoin Mining became a popular business model (and can be very lucrative, just look at Genesis Mining located in Iceland, who spend $1M USD per month on electricity, and make much more in profit, merely from using a pool of powerful computers that work 24/7 to solve those complicated math problems that allow the network to verify transactions).
Proof of Work style mining is a big problem, which we will discuss in a future article.
In a nutshell: Blockchains are an evolved version of old-style databases used to store information on networks. They are designed to be decentralized in nature, which has many benefits, like making data virtually unhackable, meaning there won’t be customer data leaked and used for nefarious purposes in the future. It is also a way to more neatly organize data in a compact way, prevent anyone from changing the information stored on the database, and allow anyone to prove the data is legitimate.