BLOCKCHAIN AND CRYPTOCURRENCY

# BLOCKCHAIN-

# Introduction- Blockchain is currently the most trending topic which basically seen a boom during the pandemic period.No one knows about the topicssuch as blockchain,defi,cryptocurrencies etc.Till the day when bitcoin prices started booming,then finally the entry of influential persons such as Elon Musk,Mark Cuban started the whole buzz of this topic. We can't limit crypto to only trading tokensbut they have their utility like NFT’s market(where people trade artistic thingsfor tokens) and a lot more. So,In brief we can say that yet there is a lot to know about but still Crypto defines the future,so indirectly “CRYPTO IS THE FUTURE” . What Is a Blockchain? ● A blockchain is a decentralised database that records every transaction made on apeer-to-peer network. ● Participants can confirm transactions using this technology without the requirement for a central clearingorganisation. Potential applications include fund transfers, settling trades, voting,and other issues.

# HowAre Blockchains Used?

# Pros-

● Increased accuracy due to the absence of human verification. ● Cost savings through the abolition of third-party verification. ● Decentralization makes it more difficult to be hacked. ● The transactions are efficient, confidential, and safe. ● Transparent technology gives residents of nations with unstable or weak governments a banking option and a mechanism to secure personal information.

# Cons-

● Minable tokens has a high technological cost. ● Low transactional speedsand also very efficient. ● Use in illegal operations on the dark web to fund crimes etc. ● Storage restrictions for data. # Blockchain's applications-

# CRYPTOCURRENCY-

# What is Cryptocurrency-

Cryptocurrency is a form of electronic money that is created and kept in the blockchain utilising cryptography to regulate the creation of currency units and confirmthe flow of payments. ● Has no intrinsic value so that it is irredeemable with other currencies such as gold. ● Its only available in the web network, not in physical form. ● Its supply is not determined via the central bank and the network is completely decentralised. # Types of Cryto-Assets-

Why is cryptocurrency the future of finance? ● Cryptocurrencies can be held as part of an investment strategyor used to purchase goodsand services ● Equal opportunity is provided by digital currencies, ● Worldwide economic freedom, ● USD Coin is a choice for crypto-curious investors looking to reduce risk. ● Decentralizationin the financial sector # Defaults of Crytocurrency- ● Highvolatility, large potential losses not all cryptocurrencies are the same. ● Positive correlation with equitiesand gold. ● Notall cryptocurrencies in general.

● Unlimited supply of cryptocurrencies in general

● Poorstore of value due to volatility.

● Unregulated andexposed to unscrupulous behaviour

# Conclusion:

● Long gone are the days when blockchain was only associated with cryptocurrencies. Now the world is recognizing the “power of decentralization”, what started from cryptocurrencies is slowlystretching itself to reach every sector.

●The best thing about blockchain is the power shift, from governments to people. Blockchains are being hailed as the revolution, the driving force behind a major change and what not. The mini blocksof the blockchain hold the key to a world of countless

possibilities.

●Nearly $400 trillionacross various industries is set to be transformed by blockchain.

●Government of several countriesaccepted it as legal tender(like Venezuela) but still

government in most of the countries are not in its supportbecause of decentralisation of monetary power.

Credits-

Gungun Gupta-Post Head

Vasudha Narang- Post Head

Mehul Gupta- Content

Vivan Goswami- Content

Ashish- Content