Crypto-currencies are first and foremost a revolution in our network protocols used on the Internet. With the opportunity to create new foundations for our system as a whole.
Let me explain.
Contracts, transactions, and their registrations are an integral part of the structure of our economic, financial, political and legal system. They protect our assets and demarcate our organizational boundaries. They govern the interactions between nations, organizations, communities and individuals.
And yet the bureaucratic tools for their implementation have not kept pace with the digital transformation of our economy. Indeed the fastest way today to transfer large amounts of money from one end of the world to another is still to take the first plane with a cash briefcase. But in this digitized world of ours, this contractual and transactional organization must change.
And the Blockchain, this technology at the heart of Bitcoin and crypto-monaies offers us a solution to this problem.
To understand this, let's look at the origins of the Internet.
One of the key components of its infrastructure are the network protocols; who are on the Internet what the code of the road is to driving. These protocols all have a distinct role and they bring together the rules that allow us to connect networks globally and to exchange information instantly. (HTTP for access to information, TCP / IP for information routing and SSL for encryption ...) To understand this let us look at the origins of the Internet.
One of the key components of its infrastructure are the network protocols; who are on the Internet what the code of the road is to driving. These protocols all have a distinct role and they bring together the rules that allow us to connect networks globally and to exchange information instantly. (HTTP for access to information, TCP / IP for information routing and SSL for encryption ...)
All these protocols are now old, and the Internet architecture still has flagrant holes. Indeed, some open and shared protocols could meet many needs:
This is because there are few people available to do it. The best developers are where the money is (logical): that is to say in large high-tech companies that work on platforms or proprietary applications (Google, Apple, Facebook, Amazon, ...) .
And these companies ignore the protocols.
Writing and promoting new rules for the Internet does not help them. They prefer to work on their own private version of their code which will only be applied in their exclusive ecosystem. All this in a centralized way to ensure absolute control and a power increasing at the same time as their number of users.
(These crypto-currencies are therefore an attempt to renew innovation in the field of network protocols that are neglected by the giants of the Internet today.)
The key function of a cryptocurrency
It consists in interesting the first users of a new protocol to its large-scale deployment. The more individuals who own cryptocurrencies are bound to a certain protocol, the more they contribute to increasing its scale of operation. And the more a protocol is used, the higher the cryptocurrency value, which rewards early users for the critical role they played during the launch phase.
It is therefore a cognitive bias to assimilate Bitcoin only to a simple digital currency.
Because inevitably in this case one wonders then, but what can I pay with these currencies so revolutionary? Question to which the answer is, not much now ..
But to think that would reduce the scope of this technology much too much. Because it is above all a revolution of our protocols (much needed) which hides behind them. With the opportunity to create new foundations for our system. *
In order to perhaps achieve restore a climate of confidence in the system as a whole. System currently in a period when less and less confidence is attributed to banks, insurance companies, governments and politicians, and where more and more market is becoming more crowded.
Disclaimer: Answer from my own article summarizing blockchain and crypto-currencies as a whole. At least an attempt to do that ahh;)
I think two categories:
Practical use application.
Concept of value.
I had a discussion with someone today regarding crypto. He knew very little about it, and like many people, had a hard time grasping what it is you obtain that holds value, and what ensures it. It's very difficult to explain the concept of what makes your asset so secure, valuable, and conceptually obtainable.
It's also difficult for many to understand the practical use applications of crypto, and how it can change the world in so many ways. This also applies to blockchain tech in general, given the fact that crypto is only one practical use of the blockchains. It adds extra layers to dissect.
Also, many people have a preconceived notion about crypto currency. Like the whole "darknet" association. Some of these people have gathered all their information from fake news, and are extremely difficult to persuade, and have an intelligent debate with. I am actually conducting a research project right now to depict the positive practical use applications of crypto as a whole. After all, black market trades and money laundering existed long before crypto.
Most people think that crypto is a faster and easier route to acquire wealth without doing anything or doing very little. Most people invest in some cryptos without knowing the roadmap or the real world application of such crypto. They think all crypto is a fast route to wealth.
Though someone can get wealthy by investing in the right crypto, someone can also lose his/her investment if they invest in a wrong crypto. Crypto is not an easy or faster route to wealth. It's like any other investment that requires serious accessment.
By the general public? That it's not just a bubble and a tool for criminals. You get that a lot when you talk to normies these days. Cryptocurrency is to value what the Internet was to information.
People used to take cryptocurrency like a pyramidal scheme or MLM kind of thing and that is because of their inability to understand what blockchain is, what cryptography is and I am sure even till now, people are living in that dilemma of understanding a cryptocurrency.
Some people even take this as a second channel money to fund illegal activities across the country, which is not true and there are some agencies which are deliberately working to defame cryptocurrency and blockchain because cryptocurrency is a threat to their centralized financial institution.