Alizul: INFOGRAPHIC: THE MOST EXCITING THING ABOUT BITCOIN ISN’T BITCOIN

Tuesday, 27 October 2015

INFOGRAPHIC: THE MOST EXCITING THING ABOUT BITCOIN ISN’T BITCOIN

The Most Exciting Thing About Bitcoin Isn’t Bitcoin
By Toni, Who Is Hosting This, 26 October 2015.

Have you tried Bitcoin? Whether you’ve embraced peer-to-peer currency or you still fear any kind of money you can’t fold into your wallet, it might be time to give Bitcoin a try. Or, at least, the blockchain protocol that makes it possible.

What is blockchain? It’s a decentralized record-keeping system in which the users of the technology actually participate in managing those records. For instance, if you decide to pay someone using Bitcoin, that transaction will be verified not by a central bank, but instead by several computers participating in the protocol. Every computer participating in the blockchain has a complete history of transactions, so it’s easy to spot any inconsistencies.

Since transactions happen between individuals, there are no big banks to pay massive fees, payments can quickly be made to anyone in the world, and there is no credit card number attached the transaction which can be misused. In fact, participants can even earn credit for validating transactions. So instead of paying your bank all those processing fees, you could be earning money processing someone else’s transaction.

And banking is far from the only arena where this technology can be applied. Blockchain protocol can work for just about any task where transactions or records need to be securely executed, verified, and stored.

Despite what the fear mongers in the media would lead you to believe, a company called BitCongress is proving that online voting can be far more secure than traditional voting booths. Using blockchain encryption, BitCongress can assign each eligible voter exactly one vote token so no one can vote twice, verify their vote on several participating computers, and keep a record of every single vote cast on every participating machine. Try getting a real congress to maintain those kind of records!

Other companies are using blockchain protocol for decentralized cloud storage, ride share services, contract management, and even running a decentralized nation. So the real question is, do we even need massive, centralized institutions anymore?