Blockchain: Difference between revisions

A blockchain is a distributed record of information — transactions, contracts, whatever — stored across an interconnected network. Each transaction is approved by the whole a network: Each batch of transactions—a “block”—gets a cryptographic code which is posted to ''every'' computer in the network. You can’t futz with any transaction unless you can futz with the whole network. Once written, the blocks are, therefore, permanent. Blocks are linked into a public “chain” of approved transactions that cannot be edited.

Blockchain therefore allows parties who don’t trust each other to transact in confidence. What’s done is done — what’s on the blockchain cannot be reversed. There’s a permanent record. No one controls the market. It’s truly anarchic, like, man: no government. No mendacious banks. just pure, untrammeled laissez-faire. Thus, bitcoin — a currency without the backing of the full faith and credit of a sovereign state.

This makes loads of sense to a tech guy. It makes almost none to a banker.  

Because some bankers got a bit giddy - and some techo-unabomber types, but they were kind of giddy in the first place. Blythe Masters - she who invented the [[credit default swap]]<ref>I know what you’re thinking. The Midas touch!</ref> — thought it was so profound that she joined a startup in 2015. And folks listen to Blythe — why wouldn’t you?