What is a Blockchain? 

In the field of technology, people are hearing a lot about it. A Blockchain is a digital ledger that is shared among a group of computers. Blockchain is the technology behind cryptocurrencies. People tend to think that blockchain and cryptocurrencies are the same. But they are not. Blockchain technology is used in many other sectors and industries. It is used for storing information in a secure way. 

The information cannot be amended in any way, it also makes sure that the information is not hacked and used for scamming or spamming people. Many companies are using blockchain for recording transactions and tracking assets that can be tangible or intangible in a business network. 

Blockchain can also be used to facilitate identity management, smart contracts, supply chain analysis, Cryptocurrency, etc. It’s not controlled by any single person or authority but distributed among common people.

A Blockchain is simply a decentralized database that stores data in a secure way. Now let’s understand,

What is Cryptocurrency?

Cryptocurrencies are digital or virtual tokens that use cryptography to secure their transactions and control the creation of new units. Cryptocurrencies are decentralized, meaning they are not subject to government or financial institution control. 

Bitcoin, the first and most well-known cryptocurrency, was created in 2009. Cryptocurrencies are often traded on decentralized exchanges and can also be used to purchase goods and services.

The majority of cryptocurrencies operate without a central banks or government support. Instead of relying on government guarantees, a decentralized technology called blockchain underpins the operation of cryptocurrencies.

Cryptocurrencies do not exist as a pile of bills or coins. Instead, they just live on the internet. Think of them as virtual tokens, whose value is determined by market forces created by those who want to buy or sell them.

Cryptocurrencies are formed by a process known as mining, which involves using the processing power of computers to solve complex mathematical problems in order to earn money. Users can also buy currency from brokers, which they can then store and spend using crypto wallets.

What are NFTs? 

 Non-fungible tokens, or NFTs, are digital assets that are stored on a blockchain and are distinguished from one another by unique identification codes and metadata.

NFTs differ from fungible tokens like cryptocurrencies in that they cannot be traded or exchanged for other assets of the same value. This is because each NFT is unique, unlike cryptocurrencies which are all identical to each other.

NFTs have a variety of applications, from serving as a digital collectible to representing ownership of a real-world asset, like a piece of art or a land deed.