In 2008, the world experienced a massive fall in the economy. It was here that a white paper appeared that had a brief description of a new peer-to-peer financial system.
This new-age financial system has led the path to the development of a digital cryptocurrency called Bitcoin. The move towards new types of currencies was an indication of how tired people were of old models and procedures used for transacting money.
And the reasons are understandable:
- There are so many unwanted interferences involved in making a regular transaction, and
- There are middlemen, banks and other third-parties that charge a huge amount to process a transaction.
Blockchain solves these problems. It is also shielded with secured cryptography. This cryptography guarantees the safety of the data present in each block. The list of saved records is called a distributed ledger and it is decentralised.
This ledger is an open ledger and is available to everyone present on the network. This helps in identifying any fraudulent activities
if there are any. The blockchain is tamper-evident and unhackable, due to its distributed nature.
AC Market has designed an interesting and informative
infographic: