Home / Cryptocurrency / An Interesting Way to Understand Bitcoin

An Interesting Way to Understand Bitcoin

An Interesting Way to Understand Bitcoin
  • Cryptocurrencies are putting their best foot forward to set a benchmark.
  • Blockchain technology and cryptocurrency gaining mainstream adoption but it is still difficult for people to understand the concept.
  • Here is a interesting story to understand the concept of Blockchain and Bitcoin.

As everyone recognizes that in this realm of the digital age, cryptocurrencies are putting their best foot forward to set a benchmark, but the question stands how these digital currencies will achieve more adoption.

The terms related to this digital world like blockchain isn’t that easy for ordinary people to understand. So a new way is thus required to resolve this problem.

An exciting approach is therefore found that will make it easier for people to know more and understand more about Bitcoin, so thereby here comes a story revealing the counts of bitcoin.

The Story

The story starts as once upon a time, there used to be a village where ancient villagers lived, the village thus had no bank to save the money and keep the accounts, and therefore the records were not to be maintained by a village head or chief.

Therefore an intermediary was thus required in the real sense in this case, and they found an ecstatic way in this direction that can be understood by an example: A person named Zhang wants to give 1000 dollars to Li Si.

Hence, he yells at the ground about this making an announcement the villagers’ work is to make sure that this is Zhang who was yelling and second to confirm that he has enough money to though make a payment to Li Si of 1000 dollars. This recording would be done with the help of a ledger that will further record the day, month, and year.

In addition to this, word-of-mouth would be recorded by other villagers of the nearby village so that everyone would know about the transfer and could jointly prove about the transaction.

The Extract

Now here generally three queries must arouse: Will the account changed later? Why would villagers record the transaction? What is the need to involve so many people?

The first query tells us about the security of blockchains that the person keeping an account can only edit it and thought if it changes, the whole blockchain will break.

The second query depicts the villagers as miners, and they will be motivated to record the transaction a this will provide them rewards, and the need to include more people is to represent question bank that will have the authority to check-in.

In this way, the whole sort of blockchain tendency could be understood by the people, and so more and more buyers would hobble their way to this currency, mandating the ranking of bitcoin.

  • 1
    Share

About Parth Vig

IMG_20190610_132229_280
Parth Vig is a Management student, and a keen observer of Cryptocurrency and blockchain technology, his interest in writing brings him to thecoinrepublic.com, He believes that he has many ideas that he pens down and he feels it would be a great asset for any kind of creative writing.

Check Also

What is BitFoliex? How to Create an Account on BitFoliex Exchange

What is BitFoliex? How to Create an Account on BitFoliex Exchange

BitFoliex is an exchange platform that manages all the assets of the users. Bitfoliex Exchange …

Leave a Reply

Your email address will not be published. Required fields are marked *