It has been my experience that any master of a given subject started with a strong understanding of the fundamentals instead of a flimsy understanding of complicated topics. That is why I will be writing to answer the questions I most commonly get from people just starting out. I am always open to feedback and corrections, feel free to DM me on Twitter @EnlightenedLime

What is Cryptocurrency?

Cryptocurrency is a digital currency that utilizes a blockchain for record keeping.

What is Blockchain?

A Blockchain is a ledger with three distinct features.

1. It’s Decentralized. Records are replicated to multiple validators of the blockchain.

2. They have Peer-to-Peer transactions. No party can prevent you from using the blockchain as it’s decentralized to multiple parties.

3. It uses cryptography to record ownership. Every user of a blockchain has a public key (Like a username) and a private key (Like a password). Using a private key to interact with the blockchain leaves a “signature” of your public key. So your public key can be derived from your private key but not vice versa. Assets are recorded on the ledger according to the blockchains public keys.

It has been my experience that any master of a given subject started with a strong understanding of the fundamentals instead of a flimsy understanding of complicated topics. That is why I will be writing to answer the questions I most commonly get from people just starting out. I am always open to feedback and corrections, feel free to DM me on Twitter @EnlightenedLime

What is Cryptocurrency?

Cryptocurrency is a digital currency that utilizes a blockchain for record keeping.

What is Blockchain?

A Blockchain is a ledger with three distinct features.

1. It’s Decentralized. Records are replicated to multiple validators of the blockchain.

2. They have Peer-to-Peer transactions. No party can prevent you from using the blockchain as it’s decentralized to multiple parties.

3. It uses cryptography to record ownership. Every user of a blockchain has a public key (Like a username) and a private key (Like a password). Using a private key to interact with the blockchain leaves a “signature” of your public key. So your public key can be derived from your private key but not vice versa. Assets are recorded on the ledger according to the blockchains public keys.