decade ago the Bitcoin was thought of as just some nerdy computer
science project. But since it has come centerstage, saying it has
gained substantial attention would be an understatement. Institutions
were in panic at figuring out how a potentially market altering
phenom could affect their status. This is because of the massive
disrupting potential of cryptocurrencies that could shake the
structural integrity of the industry at its very core.
as much as Bitcoin, the technology behind it, the blockchain, would
command the same attention. As it was becoming evident that
cryptocurrencies will not be going away soon, companies put their
respective technical teams to the task. How would they make
blockchain work for them? This inspired firms to put their sensitive
resources into the blockchain. The intent was to take advantage of
the almost impenetrable nature of a decentralized ledger that
blockchain provides. And soon enough, the creation of blockchain
was in full order.
blockchain is basically a public ledger. It records transactions as
per a normal ledger and replicates this data across multiple
locations or nodes. And the nodes continuously verify each other in a
synchronized manner. This makes it virtually impossible to hack.
Changing a single bit of data in the blockchain requires changing
that same bit across all the nodes. And that is still not mentioning
the top of the line encryption that the hacker would have to go
in each pitch in a Shark Tank episode, investment of any kind would
come with deep scrutiny. And an extremely complex product would take
a very convincing presentation for any shark to bite. But how is this
for a pitch – the blockchain investment fund, is the key to an eye
watering $85 trillion fund market. They can choose to pass and miss
on the opportunity, of learn about the technology so they can
understand for themselves the potentially massive value that the fund
is a part of investments regardless of where or whom you invest in.
But one thing is for sure, any personal attachment to a project is
detrimental. An emotionally charged buying and selling spree would
spell the end of any business. Thus the need for a service to take
charge of their investments for them. Cryptocurrency is a booming
business. One pops up all the time throughout a business cycle in an
almost regular interval. This adds menace to an already convoluted
market. Thus making it impossible for an individual to make an
intelligent choice in the scenario. It is especially if they are
inexperienced and that cryptocurrency is the only reason that drove
them to investing in the first place. This risk is eliminated when
investing in a blockchain investment fund.
preliminary observations with regards to token generation events have
largely been positive. In a matter of weeks, the investments have
jumped ten to a hundred times in value. These events are the most
accessible straightforward way to take advantage of the blockchain
technology. However, despite the huge returns, it is also considered
the most risky.
few years later though, as the market began to stabilize with bigger
chunks of the crypto technology being revealed, the value of the
rogue assets has finally dropped. Meaning the ridiculous returns are
gone. Some investors have lost everything in their possession. On a
brighter note however, the Bitcoin has a history of rising up in
value after being declared worthless, almost like a zombie asset that
refuses to die.
for a blockchain based project requires the investor to research on
the potential investment. A main part of this is knowing what the
company does and this should be that most obvious one. Unravelling
more unknowns as an investor scratches deeper than the surface should
be a red flag. Another is that the company should know what they
want. This means that the company has a vision and won’t be swayed
away from that direction for at least as long as until investments
are returned. This are all necessary in knowing how a blockchain
implementation will work for them. WIll it add to their value, or
will it be a self imposed limitation. Due diligence is required to
ensure that one’s investment is in safe hands.
may also decide to invest in an alternative fashion that still
ultimately takes advantage of the blockchain. One pet peeve of
potential cryptocurrency investors is knowing that cryptocurrency do
not have a solid asset to fall back on. This is the reason why it is
a zombie asset as mentioned earlier. But if the crypto tokens were
backed by tangible assets that anyone can appreciate like real state,
art, gold, or any other actual state backed currency, the confidence
in investing in the blockchain would heighten. These funds are often
led by enthusiastic seasoned managers who have deep devotion to the
cryptocurrency industry. This is an insurance that the ones holding
your money are level headed and not just bobbing at the insanity
surrounding the crypto industry.
cryptocurrency investment outlets demand that you exchange your money
first into the digital currency you are investing in. This puts off
some investors because they will actively be trading their cash for
an asset whose value and liquidity are huge question marks. But
through investing indirectly at the currency and investing at the
blockchain instead, they wouldn’t have to see their money turn into
ones and zeroes. This is where blockchain investment pops up.
Blockchain has more use than just hosting cryptocurrency. It is a
remarkable technology in itself. The ability to span the world for
securely storing data is an astonishing feat. This is the ability
that makes blockchain a valuable technology equalling or even
surpassing the cryptocurrency.
is the latest offering of the computer savants that continue to shape
the world. It was once Babbage with the inception of the idea to
mechanize numbers. Then came von Neumann who built the foundations of
the modern computer. There have been many that have come since then.
And now joining those ranks is Satoshi Nakamoto, the aptly unknown
individual or group of individuals responsible for the blockchain.
They would be leading the world towards a future that enshrines the
right to privacy.
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