Four Characteristics of Blockchain Assets
By Space Coast Daily // September 6, 2021
Blockchain assets are virtual currencies based on blockchains, which have the characteristics of global circulation, anonymity, decentralization of accounting, and non-copy ability. Let us take a look at its features and advantages together below.
Feature 1: Global circulation
Blockchain assets are first based on the Internet. Whether the World Wide Web or the local area network, it can complete blockchain assets’ circulation. Therefore, blockchain assets are also circulated globally.
Even if you are on the moon or Mars, I can transfer my blockchain assets to you as long as you have the Internet.
At the same time, its global transfer fees are also meager. For example, the transfer fee of Bitcoin in the early days was 0.0001 BTC, but now it is a bit expensive. On the other hand, the transfer fee of Ethereum is 0.01 ETH, which is only a few yuan equivalent to RMB, which is very cheap. Moreover, compared with traditional transfers, blockchain assets arrive quickly, usually within a few minutes to an hour.
Feature 2: Anonymity
The anonymity of Bitcoin is the most basic. No one else can get how much of your blockchain assets and where the assets flow. There are different degrees of this anonymity. Dash and Monero are more anonymous.You won’t be able to find out all the money that was transferred.
Feature 3: Decentralized accounting
Decentralized accounting makes blockchain assets transparent and impossible to cheat~
Your transfers to others will not be delayed for a few days because the bookkeeping agency is on holiday; you will not have to pay a high handling fee because the bookkeeping agency wants to profit; moreover, you will not suffer from cheating by the bookkeeping agency. Loss.
Because the entire network carries out its accounting, the ledger that you transfer records to others will not be unified because of the loss of your ledger data here or the other party’s because the entire network maintains this ledger, and each full node has a backup. If you transfer 0.5 coins to your friend, you two can look at the recorded data of the entire network together: whether it has arrived, how many have been confirmed, etc. It is very transparent and fair.
Feature 4: Cannot be copied
The way information is transmitted on the Internet is by copying. When I sent a fun picture to my friend, the Internet copied the photo in my hand to him, but it didn’t take it from me. The picture is still stored on my phone.
Copyright on the Internet has always been a big problem. Texts, pictures, and images are easily copied, which causes great trouble to their copyright holders.
The non-replicability of blockchain assets is reflected in the transmission of information through encryption technology rather than copy. For example, I sent a blockchain asset worth 1,000 yuan to my friend, and the 1,000 yuan asset was transferred from my account to the friend’s account. As a result, I no longer own the 1,000 yuan asset.
Take Bitcoin as an example. Bitcoin is rapidly gaining recognition and trust from more and more people. Bitcoin is entirely open-source and decentralized, which means that anyone can view the entire source code at any time. Anyone can verify the working mechanism of the Bitcoin protocol, and anyone can view their transaction information at any time.
The entire transaction process does not rely on any third-party institution and is protected by cryptography, ensuring the security and credibility of the transaction process.
Therefore, with the continuous improvement of blockchain technology, its circulation is becoming more and more extensive, and its advantages are becoming more and more visible.