Blockchain/Crypto revelation from the #EndSARS campain
First, clear the misconceptions
Although many people think of cryptocurrencies when we talk about the blockchain technology. That is not wrong, it is simply incomplete information.
The blockchain technology is a distributed network of participants who form a decentralized community where there is no central authority or third party to regulate data in the community. This means that everyone is equal and important to make decisions in the network.
One thing must be admitted though, Blockchain as we know it today found relevance due to the work of Satoshi. What he did was to build a system and use the system to find solutions to very important challenges we have with physical currency (fiat) in the world today and it appears that the ignorance of this is why we haven’t seen people show more interest and come up with innovative ways of applying the technology to different situations apart from it being an exchange of value like money.
One mother, many children
So, see blockchain as the mother of cryptocurrency. It is the network while cryptocurrency is the ‘money’ spent in that network and just as we have different economies in the world with perculiarities in how they run, we have different blockchains with their perculiar protocols. The popular ones are Bitcoin, Etherum, Ripples e.t.c
We’ll talk much about cryptocurrencies later but for now, know that they are not the blochchain they are only a use case of the blockchain technology. Although they are most times used interchangeably, they really are not the same. The Blockchain is way bigger than cryptocurrencies and has many other use cases.
The #EndSARS campaign took an interesting turn when @jack (Jack Dorsey) tweeted in solidarity, a BTC account for donations which i think was a very smart move by the way.
Bitcoin accounted for up to 44% of the enitre donation of almost NGN 150 Million. This, of course points to something,
Follow the money, gain some insights. . .
Bitcoin is the first cryptocurrency of it’s kind around the block (came around in 2009). It is the brain child of Satoshi and as such serves as the primary model for all other cryptocurrencies. Let’s just say it is the firstborn and of course enjoying the benefits of a first child in terms of popularity and acceptance (in my opinion, one of the reasons Bitcoin is doing so well today).
That said, let’s see what using Bitcoin (and of course cryptocurrencies generally) tend to mean. Better still, the benefits in using them.
1. Decentralized: The system is not in control of any regulatory body which is in tandem with how the protests evolved (protest of the youth by the youth). This means that CBN could not have any control over it or any of the data of the contributors. One can donate without having to worry about the prying eyes of the financial institutions.
2. No single point of failure: To hack a bank or a major data repository, all you have to do is to gain access into the primary source. But because blockchain is decentralized, you’ll have to hack many nodes. This disincentivises and discourages hacking.
3. Secure: The network is tenacious and very resistant to malicious attacks. It makes it more secure than the traditional banking system
4. Cheap. The cost of keeping, maintaining and securing data is relatively cheaper because data is not in a central repository
5. Transparent: For example, in the case of #EndSARS, Money can be traced and accounted for easily. The public (everyone) has eye on it. The cashflow. Who gave what and who got what.
6. Immutable: Data can be changed or adulterated from the source or reversed in a centralised system, but not in the blockchain. This means that #EndSARS money cannot be spent twice. There is no hidden ledger.
Conclusion
The digital space is growing everyday and at an impressive speed and blockchain technology is gradually finding its own place. It has started by challenging and revolutionizing how we think about money. It has opened a whole new world of digital currency. Is bitcoin or other cryptocurrencies like it the perfect substitute for fiat currency? time will tell. But one thing is certain, blockchain technology is here to stay. Getting early on it and finding out how we can apply it to other areas like governance, healthcare, supply chain and so on would shape how the future looks for us.
About me
IfeOluwa E. Chris Onigbinde
Doctor-in-training|Finance enthusiast|Blockchain Innovator & speaker
Please follow me on my new twitter handle: @i_echris
