Many people have already heard of blockchain technology one way or the other, but only a few truly understand what it’s all about, and why it's the ultimate technology for your financial transactions. For centuries, people have been using third-party entities to process financial transactions. Although the financial system has evolved over the years, people still do their transactions using a third-party institution, such as bank transfers, credit cards, PayPal, etc., because they understand the basics of how they work. It’s not the fact that these institutions exist, but the fact that people actually use them, that makes it possible for them to have the power and the ability to abuse that power. With power always come corruptions.
Therefore, we need to understand what blockchain is and how we can all benefit from it. Too many articles have already been written about it, but most of them are too technical, so we will try to explain it here in the simplest way possible, by using an analogy, so that everyone will understand it. For centuries, there were groups of people who exist that make money from managing money. In the olden times, they were called money changers. Even in 2000 B.C., most large transactions were done by transfer order of funds instead of cash. They were recording the data and verifying the transactions.
Central bankers developed out of money changers, but unlike them who manipulate the money supply to ensure more and more is in their hands, and less and less in the hands of the people, blockchain ensures the opposite. Albeit it serves the exact same purpose. Transactions are performed by accepting deposits and recording the value they’ve agreed upon. The difference of the transactions performed in a blockchain network is that there’s not a need for any centralized third-party institutions like banks or any other forms of modern-day money changers. It’s possible because a blockchain is a network of computers that stores identical information from transactions in each computer, which is called the node.
The information entered is called the distributed ledger and is entered in the blocks, which are then timestamped and verified by the other nodes. This process of storing duplicated data creates a chain of transactions called the blockchain. Here’s a simple analogy to better understand the difference between centralized financial systems and blockchain. Let’s say you’re editing a Microsoft word document. Your co-worker won’t be able to edit the very same document unless you send it to them and ask them to make revisions. And if they will be adding revisions to it, they will have to save their own version and send it to you. In short, only one person can make edits at any given time. This is how centralized financial systems work.
Now, if you want multiple people to edit the same document at the same time, you will use Google docs, right? That’s how blockchain works. It’s like one shared document that holds blocks of identical information that’s stored across its network. There is no single person or entity that can control, making it free of any single point of failure. Though blockchain is relatively technical at its core, it’s really simple. Essentially, it’s a way of digital information to be stored and distributed but not copied, making it the ultimate technology of free markets’ peer-to-peer network.
Now that you understand blockchain better, it’s time you take a look at a unique free market that uses the most advanced blockchain technology, the Virie Market. It’s a unique platform where you can exchange anything for anything of value, including goods, services, and currencies, both fiat and cryptocurrencies, to and from anywhere in the world where there’s an internet connection. Virie has been created by people, for the people. It’s free to download its application as its source code is open to all. Begin your journey to your financial freedom now.