Blockchain is the underlying technology that powered Bitcoin. In reality, Bitcoin is a renegade in the world of finance. The goal of Bitcoin is to provide a currency that isn’t controlled by any central bank. Using blockchain technology, you have miners that confirm transactions. Miners make use of powerful computers in order to confirm transactions keeping a record of all transactions that occurred since the beginning of Bitcoin.
Over the years, a lot of people were attracted to cryptocurrencies because of its speculative nature. If you invested $1,000 in Bitcoin in early 2017, your $1,000 would’ve skyrocketed to near $20K by the end of the year. Unfortunately, in the last year, Bitcoin and the rest of the crypto market has entered a crypto winter phase. this bearish market caused $400 billion to be wiped out in a matter of 14 months.
Now, why is Bitcoin and other cryptos here to stay? First, you have the fact that technology has a strong potential to be used for different situations. For instance, you have cross border transactions that are costly. With cryptocurrencies, it becomes possible to send money in seconds. Next, it is decentralized in nature. It means that miners can easily operate even in their own basement. For these reasons, many are still interested in the power of blockchain tech.