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Discussion on: Explain Blockchains, Cryptocurrencies Like I'm Five

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tux0r profile image
tux0r • Edited

Those are different things.

  • A "blockchain" is a decentralized way to store data. Basically, all participants keep a copy or, at least, a hashsum of the "database" on their computers. Every time a new dataset ("transaction") is added, it will be based on each previous transaction. (This is why Bitcoin transactions are taking so long to complete.) If any inconsistency is detected between the various participants (usually, many of them will have to "confirm" a transaction before it is considered valid), it will be dropped. (This is the ELI5 explanation. Technically, more things happen.)
  • Cryptocurrencies are Ponzi schemes, using blockchains to achieve their "goals".
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bauripalash profile image
Palash Bauri 👻

So we can create as many Bitcoins as we want?

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tux0r profile image
tux0r

Yes, you can. If you have enough computing power, that is.

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bauripalash profile image
Palash Bauri 👻

Thank You for Explanation! 😁

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bkmalan profile image
bkmalan

The total amount of bitcoins that can ever exist is 21 million, Of which ~18M is mined.