Page 85 - Catalyst 3-#Why | Boosts you Invisibly
P. 85
Q.1 - Bitcoins and block chains are talk of dollars are rising people are preferring to
the town right now. Everyone everywhere buy them.
are talking about it . Second reason is that now many online
What is so exciting about it? forums are accepting this currency so
people are using it instead of actual
Ans - Block chain gives us a way to exchange currency and it is also used as a stock
information and exchange data. It is an commodity.
algorithm where we can share data and
financial transactions. There is no need for a Q.2 - If there is no involvement of third
third party. We create and share party in blockchain, do you think it is
information. So we don’t need any unhackable?
centralised agency which handles
everything. It follows an algorithm and Ans - As of now people called miners are
creates blocks . employed to see the amount of resources
In these blocks we store information and that are needed to maintain this , to
keep them in ledgers for records . generate the next blocks. People who take it
Anyone who wants to join blockchain needs up as a career are mining these bitcoins
to follow these mechanisms and the existing which follow a particular algorithm.
people must agree. A 35 bit code is generated which should fit
This is becoming popular because there is a the next block and if the transactions is
lot of information which we don’t want to go made it must follow the block chain
at a centralised data set. When we go on a e- mechanism so the next block can be added
commerce site, the site knows all our and ledger entry can be added. So all these
transactions . If we don’t want this to be require huge computation resources and it
stored anywhere, we use block chain is becoming difficult to get those resources
mechanism. Anyone who joins block chain to maintain the block chain and ensure
can view the ledgers but more or less there these things are done.
is no centralised agency. It is not that is it is not hack able. Any
If you see Havala transactions which was currency can be counterfeited . As of now it
popular earlier, people used to pay money is not being done because of the huge
in countries like US and Dubai and receive resources that are required and hackers are
money in the south Asian countries like not able to get that.
India. So money would be transferred
without actual currency moving from Q.3 - If block chain technology is growing
country to country. Someone would pay in so fast, what do you think are the hurdles
dollars and would receive in rupees. in its way?
So there was no record or back transactions.
Bitcoins is facilitating this kind of Ans - The major issue is the centralised
transactions and because of crypto currency management. It is peer to peer kind of
block chain is getting so much popularity network. Similarly the storage aspects of
and block chain is actually triggering crypto these ledgers will also become a issue. But
currency. of course as block chain evolves and as
People are also using it for illegal activities. volunteers are working on it , like wiki leaks
One of the reasons of its popularity is that is surviving because volunteers are
the exchange rate is with dollars. Since contributing.
#Why? Across the Globe |
