Bitcoin will replace blockchain

1. With the advent of bitcoin, a new technology, blockchain, has come into the public view. What is the relationship between bitcoin and blockchain? The simplest understanding is: blockchain is the underlying technology of bitcoin, and bitcoin is the first generation application of blockchain. Therefore, we often see such a saying that "bitcoin represents the era of blockchain 1.0"

bitcoin is regarded as the first generation application of blockchain technology and the most thorough application of its code testing. However, without bitcoin, there might not be so many people who knew about blockchain now. It can be said that bitcoin has greatly improved the "exposure" of blockchain technology

later, people graally found that the application value of blockchain is far more than bitcoin, but can be applied to many instries to solve the pain points of many instries; The idea of blockchain can also provide a lot of reference for the financial field, which is the real reason for the outbreak of blockchain.

2.

bitcoin:

is an electronic currency proced by open-source P2P software. digital currency is a kind of network virtual currency. Bitcoin is also paraphrased as "bitcoin."

bitcoin does not rely on specific currency institutions to issue, it is generated through a large number of calculations of specific algorithms. Bitcoin economy uses a distributed database composed of many nodes in the whole P2P network to confirm and record all transactions. The decentralized nature and algorithm of P2P can ensure that it is impossible to artificially manipulate the value of bitcoin through mass proction. Since bitcoin was born with an algorithm, it was stipulated from the beginning that all bitcoins in the world would not exceed 21 million bitcoins. Because bitcoin is not regulated by the government, it is not subject to inflation constraints and external control

people use the computing power of CPU and CpG to "mine" to unlock the new bitcoin. To put it figuratively: bitcoin is equivalent to a gold mine created by people using computers. The setting of this gold mine is limited. The upper limit is 21 million bitcoin. People dig out bitcoin one by one just like miners using the principle of CPU computing

the principle of bitcoin, the distributed characteristics of P2P and the design without central management mechanism ensure that no institution can control the value of bitcoin or create inflation. This decentralization makes it a more secure and value preserving "virtual currency"

But in fact, netizens, as well as traders and investors of bitcoin, do not see one of the biggest drawbacks of bitcoin: bitcoin is not unique

What do you mean? We think that bitcoin is the only one with a cap of 21 million, which seems to have the function of preserving value. But the principle of bitcoin algorithm is not only applicable to "bitcoin", a kind of currency from Japan. Every computer engineer can develop the corresponding algorithm, make a man-made gold mine, and control its upper limit. In this way, every country, every region and every person can develop countless algorithms. Then the market will be full of virtual currencies such as "bitcoin a", "bitcoin B", "bitcoin C", "bitcoin D", and so on. By that time, who are you going to invest in? You can create your own currency

this hidden danger is not a dream. In fact, it has already started. You can log on bitcoin's official website in China. You will find that in addition to bitcoin, there is now another kind of thing called "Yuanbao coin". This is an algorithm similar to bitcoin developed by a Chinese development team. It also has the same upper limit. The same people can't control it and dig Yuanbao coin out through "mining"

if they can do this, I believe many computer workers can also write their own "Yuan Bao coin", "gold and silver coin", "China bitcoin" and "Shanghai bitcoin". Bitcoin, as the first code to appear, has no credit support from the Central Bank of any country. It has value only because of the scarcity of 21 million. In fact, this scarcity does not exist, because everyone can develop the virtual currency code, and then people from all over the world can mine it. So what's the price of bitcoin? There are limited kinds of metals on earth, so each metal has different value according to its quantity and scarcity. But the bitcoin like code in the network world is infinite. As long as people are willing, they can create unlimited kinds of bitcoin code. Tell me, is bitcoin still valuable

blockchain Technology:

the main function of blockchain is to store information. Any information that needs to be saved can be written to or read from the blockchain, so it is a database

the essence of blockchain is to achieve the goal of decentralization and disintermediation through a new generation of data technology, so as to transmit value more transparently and efficiently. This kind of point-to-point verification will proce a new network "basic protocol" which is different from TCP / IP in the Internet era

blockchain shows us a world in which all assets will be digitized. In a valuable Internet, the transfer of assets will be as fast, convenient and cheap as the transmission of information today

the significance of blockchain is not the wealth of digital currency, but the value transmission of its technology itself. Therefore, Ma Yun has repeatedly separated blockchain from digital currency, and stressed that the extent to which blockchain technology will change the world is beyond people's imagination

difference:

blockchain is a technology, based on blockchain technology, there can be many applications

bitcoin: is one of the most popular and well-known applications

the content is for reference only, only represents personal views, and does not make any suggestions

3. Bitcoin market can now be seen on professional software, such as the coin card I use now. I think it's very good. Most of the data are available and updated in a timely manner. I recommend you to download and use it

4.

On March 19, trump signed an executive order to prohibit U.S. citizens and entities or indivials and entities in the United States from participating in digital currency transactions concted by the Venezuelan government or its agents. The executive order came into effect at noon on March 19

since the second half of 2017, the United States has repeatedly imposed sanctions on Venezuela e to the holding of the constituent assembly election and other reasons, expanded personal economic sanctions on current and former senior officials of Venezuela, and prohibited U.S. financial institutions from participating in New debt and equity transactions between the Venezuelan government and state-owned Venezuelan oil companies, American institutions are prohibited from participating in the trading of some bonds issued by Venezuelan public sector

5. I will just say a few words to solve the relationship between the two, and the wordy answer is too unfriendly to Xiao users:
1. Blockchain is the core technology of bitcoin's original creation. Before bitcoin was invented, there was no blockchain in the world
2. After the invention of bitcoin, many people refer to the blockchain implementation in bitcoin and use similar technologies to realize various applications, which are collectively referred to as blockchain technology. Including the birth of all kinds of high-quality coins on the coin easy platform, it is the same reason
now the building owner will see if his questions are immediately clear.

6. Bitcoin itself has some "attributes" behind gold, but the way of implementation is very different.

7.

Although bitcoin and blockchain are closely related, they cannot be equated

blockchain is the underlying technology of bitcoin

when the bitcoin system was first launched, there was no concept of blockchain, because people couldn't understand bitcoin, let alone blockchain

but in fact, up to now, we are still in a state of only knowing the concept of blockchain, and have not yet thought out the specific application landing scheme and business model. Therefore, at present, most of the blockchain applications are token, integral, pet keeping, etc. (but the application of the actual blockchain will be extremely broad), and most of the components of the actual speculation, So there is also a certain bubble, which is a bit similar to the Internet in 90s. p>

8. Everyone has his own point of view
companies and institutions that want to break away from bitcoin or bitcoin payment applications to build small-scale, private or special-purpose distributed general ledger will detract from the original innovation of blockchain in two important aspects. First, they use other economic means (such as POS) to replace the pow mechanism of bitcoin network, which reces the size of the mine pool and destroys the tamper resistance of the blockchain. Second, if they add some commands and controls (such as permissions) to the original blockchain, the reason for blockchain's existence will become blurred, and the incremental margin of security seems to be larger
projects such as Ethereum, decent and lightcoin are still promising for bitcoin.

9. Different, each cryptocurrency has its own blockchain
block chain is a public record of bitcoin transactions in chronological order. The block chain is shared by all bitcoin users. It is used to verify the permanence of bitcoin transactions and prevent double consumption
a block is a record in the block chain, which contains and confirms the transactions to be processed. On average, a new block containing transactions is added to the block chain by mining every 10 minutes.

10. Hello
first of all, we need to be clear - what is currency? In essence, money is an identification of collective will
no matter what form of money is, it needs human recognition of its value before it can be used for trading (it has three main characteristics: 1. Scarcity; 2. Difficulty to , proce or transport; 3. Economic value). This is true of shells, gold and legal coins
bitcoin relies on blockchain Technology (the so-called blockchain is to explore the potential value of human beings in the form of Computing). Generally speaking, for example, there is gold underground in South Africa, but it has not been mined. Do you admit that the gold can be traded? If you trust to trade, the bitcoin will be valuable, If you don't trust a computer, it's worthless data
in short, transactions divided by barter accidents are all public trust exchanges, so bitcoin (endorsed by human potential value) may also replace legal currency (endorsed by government tax); The biggest problem is that if the issue of bitcoin overdraw the future of mankind, our finance would collapse. Therefore, in the past 20 years, legal currency should still be the mainstream (at the same time, it is linked with taxes and rare metals, and the security is relatively high)
the content of this paper is based on xiaoshuo 2018 ~ introction to the economic system
I hope I can help you a little bit, thank you.