Cryptocurrency has regain some of its losses after US FED Jerome Powell confirms that the Federal Reserve will not be banning Cryptocurrency. This comes following China's clampdown and bans on crypto. In this article I will provide some idea and insight on what crypto currencies and blockchain technologies are.
Crypto currencies is an application of blockchain technology. Blockchain technology is the technology of creating and storing of information on the network that makes it difficult and impossible to change, manipulate or hack the system. By storing multiple copies of data across many numerous computer systems on the network, it prevents any singular party from falsely altering the information to benefit themselves. At any time, the addition of data must corroborate with all other computers with the relevant data in order for it to be successfully added to the system. Unless one is able to own more than 51% of the computers on the network, it is impossible to arbitrarily change the information stored.
With this secure method of storing information and data, it has been used for digital finance which is what we know today as cryptocurrencies. All transactions and "personal assets" of Bitcoin or Ethereum are information that is stored on the blockchain system known as Ledger. Any additional transaction of cryptocurrencies is data added on to the Ledger after the verification process by the system.
Many companies are built around this world of cryptocurrency such as $Riot Blockchain, Inc.(RIOT)$and $Marathon Digital Holdings Inc(MARA)$. What these mining companies do is to provide computer systems to complete the verification process of each crypto transaction. Each time a bulk of transactions is approved, a small fee is taken from those doing the transactions, to be paid to those providing the verification process. Due to the recent blow up in prices of BTC and ETH, more companies are looking to enter this space making the business environment very competitive while making the verification process for crypto transactions much faster and feasible.
However Blockchain technology will not end solely at crypto currency. The applications of Blockchain remains widespread and very relevant. As the world becomes heavily data centric, Blockchain technology will be one of the pillars of technology revolution in the this century.
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