In today’s live crypto news, I am going to share the misinformation of blockchain regarded as bitcoin or cryptocurrency itself. So, let’s break some misinformation today in the live crypto news. Blockchain is a network that decentralizes trade by allowing people who use those platforms to do transactions much more directly where the use of intermediacy such as the companies or banks involvement would be limited at or even doesn’t need to be used because most of the process happens in the platform itself.
So talking about blockchain, there is this misconception of blockchain referred to as the cryptocurrency or as the bitcoin itself. But the truth to be told, blockchain is not a bitcoin or neither a cryptocurrency. So, by now, this might have raised some eyebrows to many of you, so allow me to explain furthermore. The blockchain is built in order to study cryptography or cryptic code of a bitcoin, cryptocurrency or even digital tokens that are non fungibles. The blockchain acts as a ledger where it stores the information of your transaction in it to prevent any fraudulent or hacking action from happening.
How? The blockchain produces about billion of copy of your transaction in one whole list of ledgers in different computer, if so you are someone who wants to change or edit the status of your transaction or anything, it would be impossible since the blockchain have created about dozens of copy of your ledgers in order to prevent any act of hacking from happening. Even if you’re successful in changing the information in your ledgers, the moment when the blockchain detects a change in one of those billion copies that it has, the immediate action will be taken due to the majority ledger copies stating your status otherwise, hence your whole ledger would become invalid.
Cool isn’t it? The blockchain also is quite often used in the bitcoin and cryptocurrency platforms, as their information sharing platform, which the ledgers. The best part of the blockchain is that these ledgers are not owned by one company, but it is owned by many people who use bitcoins, cryptocurrency for trading purposes. The blockchain is also known for its efficiency in helping people to store more information and avoid any forgery from taking place. How? Because, this technology is built as an alternative for people who use physical money such as dollar bills, pounds, ringgit Malaysia and so on. The main purpose of blockchain is to reduce the potential negative side of using physical money such as forgery, getting robbed and so on.
Lastly, with that being elaborated, I hope now you can see the blockchain function more clearly, and how it works. The association of blockchain being a cryptocurrency itself is not basically true, since the blockchain works as an information storing department that secures your transaction history, it doesn’t quite matter if your transactions are done from platforms such as the Dogecoin, Bitcoin, Litecoin, and many more. The blockchain will always keep track of your trading, investment and transaction activities thus, the moment you have done a new trading with someone across the globe using the bitcoin or cryptocurrency platform, the blockchain will add the new information of transaction into the ledger that is already there where you are able to access to those information whenever you want.