Cryptocurrency is a digital version of a typical flat currency that has been declared to be a legal tender by government, but is not backed by a physical commodity.
Blockchain is a design pattern that bitcoin and other cryptocurrencies run on.
One of the guiding principles of bitcoin is that the currency is not subject to being debased, or having its value manipulated by central banks. Bitcoin is a form of digital currency that is becoming increasingly popular across the world. The cryptocurrency allows users to trade anonymously and avoid the hassles that may come with sharing credit card information. No single entity owns the Bitcoin network and it has a public ledger called “the blockchain”. Transactions typically take 30 minutes to an hour to be confirmed.
The most promising use of Blockchain is for automation of highly complex or manual financial products.
The Blockchain is also Bitcoin protocol that is a public ledger that records the ownership of each bitcoin.
Blockchain enables numerous use cases and could replace centralised banking platforms and systems of authority. It is constantly growing as completed blocks are added to it with a new set of recordings. The blocks are added to the blockchain in a linear, chronological order. It doesn’t use names or bank accounts. Instead, it uses bitcoin addresses, which are long strings of random characters. This gives users the peace of mind knowing that their credit card details won’t be shared.
This technology may improve existing services, systems and products by making the most of its key features such as security, transparency, cost-efficiency and full life-cycle transaction history.
With the development of cryptocurrencies, many businesses may consider using Blockchain for automation needs. The service can retain documents safely, without any possibility of them being tampered with. Highly complex financial products may also be stored using Blockchain technology, which may affect a wide number of industries.