Blockchain today is getting more and more mainstream which, to some extent, is a wonderful thing because of the great opportunities it presents to us especially in 3rd world countries like South Africa with a huge population that is unbanked and does not have access to adequate online markets.

But at the very same time, not much is known about this new technology and it’s not the first time we experience a shift in our familiarity with technology. Back in 1994, the first online purchase happened, at that time many people did not think that it would be possible to buy stuff online without a geographic restriction that may prevent you from buying that item, however all that changed when companies like Amamzon.com showed us that new technology comes to simplify our experiences online and making it safe for us to buy and sell online.

With every emerging technology, we have to look at both pros and cons, or expectations and reality. The excitement of cryptocurrency has given people a lot of unclear expectations from this technology and what it can do to improve our lives. We will look at some of the facts surrounding blockchain technology and debunk the myths about the technology.

Contents

1. Blockchain Tech Is Controlled By A Group Of People.
2. Fiat Currency Will Disappear.
3. Blockchain Is Bitcoin.
4. All Blockchain Transactions Are In The Public Ledger.
5. You Need A Computer Science Degree Or Cryptocurrency Degree To Work In Blockchain Tech.
6. Blockchain Tech Is Controlled By A Group Of People

A decentralized system is different compared to a centralized system that is controlled by a single entity and all transactions are verified by the entity. A decentralized system depends on the system to verify each transaction through distributing information to all computers on the network to ensure that no other person can change or temper with the information. Decentralized systems do not depend on a single server to do all the heavy lifting, however they use the power of distribution to other supercomputers to complete a transaction or record a transaction. This where the public ledger is created through a chain of computers that work together to keep these chains connected.

2. Fiat Currency Will Disappear

The adoption of cryptocurrency is still a far-fetched reality. However, in recent years, we have seen many countries like Sweden being the first to introduce a cashless paying system for the whole country, such moves show us that it is possible for us to be living in a cashless society in the next 10 years. So the idea of replacing fiat currency could be a reality in a few years to come.“Cryptocurrencies will replace fiat by 2030, according to a study by Germany’s largest financial conglomerate Deutsche Bank.…” Which means that we could be seeing widespread adoption of cryptocurrency which is simply a digital format of your money. So yes, cryptocurrency will someday be part of our reality.

3. Blockchain Is Bitcoin

This is one common mistake that many people make when they think about blockchain technology. Yes, Bitcoin is the application of blockchain but the truth is blockchain is the technology that enables the existence of cryptocurrency. Bitcoin is the name of the best known cryptocurrency, invented by Satoshi Nakamoto, which is the one blockchain technology invented. The two are totally dependent on each other, without the internet you won’t be able to send an email, without blockchain you will not be able to use cryptocurrency.

4. All Blockchain Transactions Are In The Public Ledger

When this tech was first introduced to us back in 2009, many people only saw it through the public eye and thought that the only way to transaction was through a public ledger. However, over the years we have seen many development and new blockchain systems being built for institutionalized clients who intended to use the tech to operate their businesses. So we need to understand that there are three types of ledgers which are the public ledger, private ledger, and a hybrid ledger. So we need to understand the difference of the ledgers.

5. You Need A Computer Science Degree Or Cryptocurrency Degree To Work In Blockchain Tech

You might think that you need specialized skills to work in blockchain tech, however there are some companies that only require your basic knowledge of how the tech works. And there are many books that you can read and online courses you can start with to help you get the relevant skill to get started in this exciting industry. The most prominent site for all things blockchain courses is Coursera, they don’t have free courses, however you can start learning for free but you have to pay for the certificate.

Conclusion

Blockchain technology is a very important technology for our future, it is the only one that promises a lot of potential applications in our everyday life. I hope to see more research and projects started on the bases to use this technology to solve problems we face in our business environment and our households. The general public is yet to see what are some of the top applications of this tech. LUCKY ENOUGH, we will be publishing more content on this tech, so like and subscribe for more articles on Fintech, Blockchain applications and Financial Literacy.