Ever since cryptocurrency's arrival in 2009 in the form of Bitcoin, it has caused nothing short of a storm in the financial scene.
Cryptocurrency’s impact on the world is undeniable. Ever since its arrival in 2009 in the form of Bitcoin, it has caused nothing short of a storm in the financial scene.
Its approach to money handling differs so drastically from the traditional system that many see its solutions as the future of currency.
What Sets Cryptos Apart?
How does crypto differ from the fiat money we use today?
For one, it forgoes any kind of third-party, authoritative interference. The transaction process is peer-to-peer, meaning that only the sender and receiver are involved. It is essentially a decentralized network, i.e., there isn’t one data hub or authority overseeing every transfer, but instead, the power is distributed to all users of the network.
It also allows complete transparency, since every transaction is put on a digital record that anyone can access and peruse at their leisure. Furthermore, it is heavily reliant on encryption, making it nearly impossible to hack.
Speaking of which, every person belonging to the network equally shares the data, which makes hacking even more difficult. The reason for this is that hackers typically rely on cracking into a singular data hub, which doesn’t exist in most cryptocurrencies.
Blockchain: the Backbone of Cryptocurrency
How do cryptocurrencies manage all of these feats? The integral system behind almost every cryptocurrency is blockchain technology. Blockchain was first demonstrated in the form of Bitcoin itself, which is nothing more than a practical application of the technology. This innovation has actually proven to have great potential both as a part of and outside of cryptocurrency.
In fact, it is disrupting industries left and right. Digital marketing is certainly no exception. Widespread application and use of blockchain tech can and will lead to sweeping changes in the way marketing works. Here are some ways in which it promises to alter the marketing scene:
- Seeing that the customer becomes the sole owner of their private information, they might be able to charge advertisers for their personal info.
- Third-party platforms in the vein of eBay could become obsolete because customers and providers would be able to communicate and conduct business directly.
- Since these platforms may go the way of the dodo, marketers will likely have to flock to other advertising venues. For instance, influencers could become even more influential.
- Virtual and augmented reality — which have had many overlaps with both cryptocurrency and blockchain in general — could also turn into a marketer’s haven.
Fintech Feels the Brunt of the Crypto Revolution
These are only a few examples of how blockchain, and by extension cryptocurrency, has managed to disrupt just one of many industries. Supply chains, insurance, medical care, even politics — all of these and more have been caught up in the winds of change. But this upheaval in marketing is not much when compared to what the financial world has experienced.
Stories about people, such as Erik Dunman, who became an overnight millionaire, have made many a person’s imagination run wild, seeing it as the next big thing in finance. Coupled with people’s growing distrust and disillusionment of banks, the time seems to be perfect for cryptocurrencies to come to the rescue. Ripple, Visa, Kik, and many others are jumping at the opportunity to ride the crypto/blockchain wave.
The full extent of the impact that cryptocurrency has had on the financial realm is difficult to put into words. But something like an infographic can do a great job explaining it.
Check out the infographic below by Fortunly. It is chock full of data points and stats that accurately convey the scope of the current financial revolution. It touches on various aspects of cryptocurrency, from legalization to market value and tons of facts in between. And it’s all delivered in a no-nonsense, straight-to-the-facts way.
So go ahead and dive right in.