Blockchain & Cryptocurrency technology a radically opportune way of sharing information is a valuable and transformative new age technology. This fact begs the question why this? why now?
For that, we need to get to the basics of cryptocurrency.
Phase 1: Base Knowledge
Cryptocurrency is a base demographic on which the transactions are carried for the disciples of public blockchain protocols being the fundamental base of the technology. The blockchain is, therefore, the father of the entire ecosystem, paving the way to carry information interchange with no bounds and boundaries. Mostly none of the many function anything like currencies, Digitally transferable assets instead of holding the value of any blockchain protocol used. Evidently, cryptocurrency development is the by-product of blockchain development, Enabling currency exchange in the form of Initial Coin Offering under blockchain-enabled solution.
Phase 2: Delt In Details
Writing and executing contracts for potential users having cryptocurrency stake in protocols (like Ethereum, NEO Etc.). Networking based contracts designed for execution of specified protocols gain popularity. Popular the network, greater will be the rise in the structural value of the network tokens in question. An eminent question remains, Why is that so? Supply for the demand outburst.
Assets like gold, educate that when supply expands demand for commodities rise similarly digital currency stocks rise with value addition. The number of tokens of a cryptocurrency that can be created or mined is limited. Specialized Supercomputers are required to do the work in quick time. Acquisition of cryptocurrency tokens from someone who already has them could be bought.
Evident demand for protocol tokens expands faster than supply, prices tend to go up. Cryptocurrency exchange value increases inversely, blockchain development and goes on a high. Public blockchain network developed tokens form cryptocurrency playing a more direct role in the success of the network.
Trading stake tokens based out of predicted outcomes in the market, Retrieving rewards on falling of majority sided judgments also risk losses in tokens by predicting false outcomes. Augur’s system works hand-in-hand with REP as crowdsources predictions by aligning incentives by determining correct outcomes.
Phase 3: Decryption
Few questions aiding exploration of particular public blockchain protocols:
Are blockchain and cryptocurrency a well-rounded decryption tool?
How will blockchain protocol deliver upscaling?
Tokens of cryptocurrency participation in decryption make sense? Does economic design play an integral role? Is inflation a key participant in its growth?
There’s no perfect way to determine winners and losers in the case here. But thorough answers to these questions providing concurrent solutions for the current cryptocurrency and blockchain technology markets frenzy are justified.