We explore the world of blockchain technology and digital coin, uncovering and debunking the most common myths associated with cryptocurrency market.
There’s a lot of controversy surrounding the cryptocurrency market at the moment. With outrageous ideas being thrown around like Bitcoin is a scam or some kind of pyramid scheme developed to swindle you out of your hard-earned dollars, it’s difficult not to get swept away in all the controversy. We explore common misconceptions within the cryptocurrency market and set the record straight once and for all.
Blockchain and Bitcoin are the same thing
If you are dabbling in the cryptocurrency market, then there’s one thing you must understand right off the bat – blockchain technology and Bitcoin (BTC) are two separate entities. All digital currencies are based on the blockchain network, it ’s a vital ledger system that encrypts and records transactions. Bitcoin is a digital currency like any altcoin in the world. BTC makes use of blockchain technology but they are definitely not the same concept.
Blockchain technology is only useful within cryptocurrencies
There are still many people who believe that the only use for blockchain technology is within the cryptocurrency market. Blockchain tech is a powerful advancement in modern technology, which has many advantages for a host of other important fields. The technologies potential is clearly outlined by large conglomerate corporations all over the world, who have invested in cryptocurrency mining rigs/farms. These corporations have spent millions of USD on mining farms, based all around the globe.
Companies have identified the raw potential blockchain technology holds. If the cryptocurrency market tanks, these farms can be used for research in developing fields such as artificial intelligence and the health industry.
Information on the blockchain isn’t publicly available
All information within a blockchain network is transparent as it is completely traceable. Contrary to popular belief, blockchain technology does not allow for criminal activities.
I am anonymous when I transact with cryptocurrency
The cryptocurrency market doesn’t allow for complete anonymity. The real truth is that all cryptocurrencies make use of blockchain technology, which is a public ledger that records all transactions. This public ledger allows anyone viewing it to see where exactly the digital coin was sent from and where it’s going.
Cryptocurrency and blockchain technology can only be understood by specialists in the field
Blockchain technology and cryptocurrencies are available to everyone. Even though the two concepts are entirely different, they both feed off one another and have a great amount of potential for the future. You don’t need to be a genius to trade digital coin or explore blockchain technology. There are countless platforms available online that can help you with all your cryptocurrency trading needs and blockchain app development.
The common misconceptions surrounding digital coin and bad media plague the cryptocurrency market. Stay educated and up to date with all the facts here on CRYPTO101.