Hence, it should be emphasized that Blockchain is a technology while Bitcoin makes it the first successful application since its appearance in 2009.
In this article we will therefore focus on clarifying the distinction between the two terms and touching on their characteristics in the world of cryptocurrencies.
To understand better, we will return a little to the context of both the Blockchain and Bitcoin.
Blockchain: what is it?
The Blockchain is a technology that allows you to make computerized digital payments with a correct and permanent registration of the transactions carried out between the two parties. The Blockchain provides a kind of distributed ledger, allows users to share important data and conduct transactions securely.
Some people may think that Blockchain is a brand new technology. This, however, is not quite the case, the Blockchain dates back to the 1990s, but was only popularized with the arrival of cryptocurrency.
The Blockchain can present difficulties to understand but above all to regulate. It is decentralized and consists of three essential concepts; knots, blocks and miners.
The nodes: The nodes, that is the computers connected to the system, are important to fully understand the decentralization that the Blockchain allows. Through these nodes, no entity can own or even dominate the Blockchain, which is essential to guarantee the integrity of the system and eliminate any risk of privacy violation through the exchange of information.
Blocks – Chains consist of blocks and each block contains information about a specific transaction. With a unique hash and nonce, each block is stored chronologically in a linear fashion at the end of the Blockchain. This makes it difficult to manipulate the chain or disturb it.
Miners: Miners are users who create multiple blocks, make graphic resources available to the network to solve complex equations and ensure the functioning of the Blockchain.
What is Bitcoin?
Bitcoin is one of the first cryptocurrencies to adopt Blockchain technology to enable peer-to-peer transactions. Thanks to the decentralization property of the network, bitcoin offers relatively low transaction fees compared to other Blockchain platforms that provide similar payment services.
Anyone can buy Bitcoin, just create a Bitcoin wallet and get the appropriate software to be able to send, store and receive BTC securely. You can install the software in question on your computer, phone or any other equivalent device. The second step is bitcoin traderextract it or get paid with it to fund your wallet.
If you want to trade, buy or sell BTC or a hundred other cryptocurrencies, we recommend that you take a look KuCoinan easy to use online exchange with several tools that will make it easier for you to better manage your transactions.
Blockchain vs Bitcoin: differences
In addition to the regulation of cryptocurrencies, including Bitcoin, the Blockchain can serve many other uses. It allows you to execute smart contracts, control supply chains, ensure transparent management systems, etc.
Blockchain is a technology and several cryptocurrencies, including Bitcoin, use it to ensure fast and secure transactions.
The Blockchain has several uses while Bitcoin is limited to digital currency exchanges.
Blockchain continues to dominate the applications and the internet space and in most cases remains little or unregulated, partly due to its decentralized and complex structure. Therefore, it is essential that you maintain some caution in your online transactions and only frequent platforms that are reputable and endowed with great authority to make your investments in crypto assets.