BlockChain: back to school
The topic of cryptocurrency is rapidly gaining its popularity, but unfortunately, not everyone understands well what is there behind this word. In this article we tried to help beginners in this field and briefly talk about the basics of blockchain, cryptocurrency and their features.
Definitions
Cryptocurrency is digital assets that can be transferred from one part of the world to another with a very small commission that does not depend on any particular country or bank and which is completely anonymous, but allow you to easily verify any transaction. This is a special case of using blockchain technology.
Blockchain is a distributed (decentralized) between a set of nodes (nodes) database that stores a history of changes in some information. Each node has a complete copy of the information of this database. The blockchain remains fully operational until at least one of its nodes exists. If we talk about the cryptocurrency as a particular application of the blockchain, then the history of transactions of cryptocurrency is stored in this database.
Block is a link in a chain of blocks (blockchain), in which a lot of “atomic data” is packed. Each new block is a fixed history of the data change. If we are talking about cryptocurrency, then this is a set of transactions.
“Atomic data” is some information, the history of changes which is tracked within the framework of the blockchain. If we are talking about cryptocurrencies, then this means one transaction.
Cryptographic methods and mechanisms to confirm data changes in the blockchain lead to the fact that the information stored in the blockchain is very reliable. Besides, there is a free access to the data for anyone. Thus, the history of the transaction is always in the public domain and is fraud-proof.
What does bitcoin transaction look like? https://blockchain.info/tx/8088eeadbb0c6cbc6cc87ffacc05045f50195bd3837ec392a894465693578b57
What does bitcoin transaction block look like?
https://blockchain.info/en/block-index/1197679
How is cryptocurrecy different from fiat money?
The main difference between cryptocurrency and fiat money is decentralization. Any central bank can “print” more money to cover the budget deficit, thus creating inflation. This leads to a redistribution of the relative share of money. Thus, it is possible to influence the share of money in circulation (in our and your pockets) centrally. In the case of cryptocurrency, the situation is different. No one can suddenly “print” more. The price of cryptocurrency is regulated only by supply and demand, that is, market relations.
Another distinctive feature of the cryptocurrency is anonymity. Any bank account is attached to an organization or a person. In the world of cryptocurrency, there are only purse addresses, behind which there is no information about the affiliation of this purse to anyone.
Where else can you apply blockchain ?
Blockchain technology can be successfully applied wherever a reliable history of changes in some data is needed. As “atomic data” you can use absolutely everything from which it is possible to calculate a hash. In practice, this is any digital information. These are just a few examples: the register of real estate objects, the voting system, anti-falsification systems, the history of labor activity, etc.
Why do we use blockchain in METTA project?
The team of the METTA project wants to take advantage of the blockchain technology to regulate the relationship between offline (local) services suppliers and their clients. Our goals are safe transactions, reliable reviews and a true history of the transaction objects.
The key difference of METTA from other similar uberization projects is the introduction of tokens into the project ecosystem and the use of smart contracts in the process of transactions. Due to full or partial payment by tokens, fabricating a fake positive review will be very costly. The review will have its own “weight” and you can always see how many tokens the customer pays. If the sum is extremely small, the “weight” of this feedback will be lower than that of others. Also deliberately making a negative review will be dozens of times more difficult, because for this you will have to make a real deal. In addition, service providers pay a commission only in the case of a real customer, and a smart contract provides an additional guarantee to all parties of the deal.
The economic model of the project will develop exactly in this direction as the popularity of METTA increases.
The core of the project’s revenue will shift from the % of the deals made through the platform to the growth of the project’s capitalization by increasing the demand for METTA tokens.
You can see more details on our website https://metta-ico.com
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