Blockchain Use Cases (1) Bitcoin BTC
Actually when talking about #Bitcoin #BTC it often covers every #Cryptocurrency. This is just because Cryptocurrencies in general can offer most of the functionality available when using Bitcoin but with differentiated efficiency levels.
Depending on what we do expect from the Currency (Crypto or FIAT) we can choose the right for us available option. Mainly investors and users are interested in stability but also many of us would appreciate volatile currency in return for possible fast profits. Others would value the speed, privacy… etc.
In 2014 – 2016 Gold, which used to be considered most secure investment and wealth allocation reached $1900 but also $900. Isn’t that volatile? Still we didn’t hear so many people coming from every background to preach about an upcoming “gold bubble” burst. Basically, commentators understood the mechanisms and derivatives for the gold price levels but didn’t (and the majority still don’t) understand those related to Bitcoin; to be more accurate, they don’t understand what is Bitcoin and what Cryptocurrencies are.
Regulatory institutions are struggling to define and categorize Coins/Tokens into Assets, Securities or Utility Tokens in order to provide the right guidelines for cryptocurrency users. investors and ICOs (Initial Coin offering – which is similar to crowd funding but vary depending on token’s function within the actual project). Guidelines for registration and licensing but also to define the right taxation and prevent negative outcomes and missuses of this new business model.
On the other side users and investors, unlike what one can think, they prefer a regulated environment rather then being left in a gray area. Singapore, Estonia, Japan, some States in the USA and few other countries took the lead in this field and gave a good example benefiting from this new technology as also from the stream of investments arriving from overseas. The UK as usual, left the doors wide open for innovation, still without exact regulation but for many investors this was good enough. China decided to slam the doors until regulators find their way around this unusual uncontrolled decentralized financial instrument. Chinese “Crypto-businesses” had to close down. Citizens of China not allowed to participate even overseas (they still do participate).
In this series of short articles I will showcase few ways the Blockchain is already used as a technology. This can help in understanding the differences between different Coins and Tokens.
The first use case is the most popular, which is using the Blockchains’s common main or side products as Digital form of money. “Bitcoin is the main product of the Bitcoin blockchain, while some other coins where created to facilitate transactions within a project but not to replace money.” The obvious use of Digital money is to transact, buy products and services. Many shops accepts now Cryptocurrency payments and many are seriously considering. The one product which I would introduce is tourism. I believe it was one of the first large sector to join the Tech-revolution.
Buy your holiday at Expedia or at eBitSky
London 28 Jan 2018