Blockchain is a type of DLT where transactions are recorded with an immutable cryptographic signature called a hash. The transactions are then grouped in blocks and each new block includes a hash of the previous one, chaining them together, hence why distributed ledgers are often called blockchains.
The consensus of blockchain is that all nodes maintain the same distributed ledger. In traditional software architecture, the consensus is hardly a problem due to the existence of the center server, hence the other nodes only need to be aligned with the server. Most blockchain projects use one of the three currently most common consensus algorithms: Proof of Work (PoW) and Proof of Stake (PoS).
Crypto wallets store your private keys, keeping your crypto safe and accessible. They also allow you to send, receive, and spend cryptocurrencies. As of February 2021, there are 82 cryptocurrency wallets available (Cryptowisser, 2021). They come in various forms and support different cryptocurrencies. The more popular wallets include Coinbase, Metamask, Token Pocket and more.
There are many popular coins/ tokens too. For example Bitcoin, Ethereum, BNB, XRP, Tether, Cardano, Polkadot, Stellar, USD Coin. Many of them have their own unique selling points and utility. A utility token is a crypto token that serves some use case within a specific ecosystem. These tokens allow users to perform some action on a certain network. A utility token is unique to its ecosystem.
The more talked about buzzwords in this industry is Web 3.0, Gamefi, Defi, Metaverse, Memecoin, Play to earn etc. If you don’t know, ETH is the second-largest cryptocurrency by market capitalization and is the preferred choice for DeFi projects. Blockchain game Axie İnfinity was the breakthrough of the year and got ahead of the most popular blockchain platform Ethereum in terms of revenue. SAND and MANA continue to be the taking the leader in the Metaverse market. As for Memecoin, Doge and Shiba are the leaders, while rising stars such as Babydogecoin, Kishu Inu, Dogelon, Xrdoge, Catecoin are still working hard to retain its current positions.
Bitcoin’s USP is either being a store of value, a medium of exchange or it can be dismissed as a fad. Maybe its true value is not just measurable in economic terms. Ethereum generates its value from how useful it is to its users. While BNB is strong and rising fast due to its willingness to incubate groom start-ups to grow and benefit together with them within the Binance ecosystem.
Blockchain has without a doubt created a lot of discussion as the next big thing, especially in the finance sector. It could be used to securely and efficiently transfer user data across platforms and systems. Blockchain-centric business models will present a seismic shift to how business is conducted in the future. Let’s explore and exchange more information on crypto. Sharing through sessions like this helps the general public understand more.
This Blockchain 101 briefing is conducted by Anndy Lian and hosted by Pavilion Capital. This is a session to share basic blockchain technology information. Not used for promotional activities. Non-financial advice.
Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.
An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.