The Power Combined From An E-Asset And E-Technology
July 17, 2018
With the world inching towards digitalization with every passing day, it is important to stay connected and reap the many benefits of e-technology. Saying so, you must have all invested in some kind of an asset or the other at some of the time. However, have you ever imagined how great it would be if you combine the efforts of e-assets with e-technology? This article is a brief introduction on how e-assets are related to e-technology and how they work in combination.
E-assets include Bitcoins and similar digital currencies such as Ethereum, Litecoin, Altcoins, and other virtual currencies, while the related e-technology used is the powerful Blockchain technology.
This technology may be considered as a boon, more specifically a digital innovation. It was invented with the intention to juggle the overall financial markets in the coming few years. What makes it unique is that it is completely encased in a highly cryptographic ecosystem, which has the immense capability of influencing and altering the computing activities and those of the cyberspace, especially those concerning cybersecurity overall.
This can be viewed as a highly complex networking system that mainly carries out three tasks.
It stores all records in a digital format.
It exchanges stored digital data by converting it into digital assets, which are commonly called as tokens.
It executes smart contracts based on the created digital tokens.
However, these three operations are performed based on certain rules that involve a distributed network to execute the smart contracts, to monitor conformity, and to validate outcomes automatically without the interference from a third party.
Coming Together of Bitcoins and the Blockchain Network
Formation of Bitcoin – Bitcoin was the first ever-digital asset that was created.
Interaction with the Blockchain – All transactions carried out in the form of Bitcoin are kept track of in a huge network of computers called the Blockchain.
Creation of a Ledger – Future payments, transactions, and all the relevant data are added to this ever-growing network to maintain a comprehensive file, which is called the ledger.
Introduction of Mining – Further, the value of each Bitcoin transaction is increased by value addition through the process of mining.
Establishment of P2P Networking – Mining, too, on the other hand, is carried out with the help of a number of distributed and organized processors, which are addressed as the nodes, thus forming a peer-to-peer or the P2P network.