What Exactly is Block Chain ?
Wisdom Patrick
When a lot of persons hear the word block chain, the almost next thought that comes to mind is crypto and bitcoin literarily hops on the boat of the unknown. As much as the two terms seem very a like and familiar, there is quite a difference in the two words. Here in this article, you’ll learn the difference between the two words and how it works.
IT ALL STARTED WITH MONEY.
Money is an essential commodity to humanity beyond the notes and coin; it is how we live. We live by giving what we have for what we want; we exchange value for what kind of value we want (which we live by). As the world evolved, there began to be diversification of the kinds of money we use and that was how currencies were birthed and today we have some many currencies in the world used by different countries: ranging from Pound to Euro, Dollar to Yen and the list goes on; there are even varieties of the Dollar currency too, but that is not the purpose of this article. You can read more about money and how it works here.
The Hierarchy
Well, if you read the recommended article, I guess you must have had a sneak pick into how the money thing works. So I’ll just jump right in, but I’ll leave you a trial so what you just read doesn’t just fall off your head a we journey through what this term block chain actually is. So here goes: First we have MONEY, then we have CURRENCY, and then there is a diversification of currency which we call CRYPTO CURRENCY which in itself gives its meaning away — an encrypted currency. How is this done ? you may ask, by Encrypting which is a method called Cryptography.
What is Cryptography ?
It is a collation of binary data that works as a medium of exchange (money). This does not exist in physical form like the normal currencies we carry about in our purses or go to withdraw in banks, rather it uses a decentralised control system and is a tradable digital asset or digital form of money that is distributed through a ledger community called BLOCK CHAIN.
What is Block Chain ?
Well, as earlier said, it is a ledger technology that records all transactions of Cryptocurrency such that they never get lost, and that means accountability is intact. The implication of this is that no crypto coin can go missing since it is a digital currency that stores all transaction information and also a track record of the cryptocurrency that goes round; you are sure that it is the same cryptocurrency that was minted that is still going round to everyone, unlike the paper and physical coin that can go missing and unaccounted for.
